In the first half of the financial year 2023-24, India sustained robust demand for frontline workers, reaching a substantial 3.9 million job openings, as revealed in a Tuesday report despite prevalent macroeconomic challenges.
BetterPlace, a SaaS and frontline workforce management platform, conducted a comprehensive year-end insights report analyzing over a million data points. It highlighted that the logistics and mobility sectors were primary contributors, accounting for over 50% of the overall job demand.
Following closely, e-commerce held the second position with a 27% contribution, trailed by IFM and IT sectors at 13.7%.
Conversely, sectors like BFSI barely accounted for 0.87%, while retail and QSR stood at 1.96%, making the smallest contribution to the overall job demand.
The report also noted a significant decline in attrition rates within IFM and IT, dropping by 20.9% from H1FY23 to H1FY24. This shift was attributed to these sectors offering higher salaries, resulting in reduced attrition among workers seeking better-paying opportunities.
Logistics and mobility witnessed a 12.9% decrease in attrition, owing to stabilized salaries despite sustained high demand.
However, BFSI experienced a steep rise in attrition, soaring by 28% from H1FY23 to H1FY24, followed closely by retail and QSR at 19.3%. The report attributed this trend to dynamic regulatory changes in BFSI and the direct impact of inflation on the retail sector.
BetterPlace's Co-founder and Group CEO, Pravin Agarwala, highlighted the evolving work landscape, noting a shift towards gig-sectors. Sectors like IFM and IT, along with logistics and mobility, showed a notable transformation marked by reduced attrition due to increased earning potential.
Further insights from the report indicated a substantial 20.3% salary decline in IFM and IT from H1FY23 to H1FY24. Meanwhile, the manufacturing sector witnessed a notable 19.6% salary increase, reaching Rs 22,500 in H1FY24 from Rs 18,800 in H1FY23, attributed to substantial growth fueled by governmental initiatives.
Retail and QSR sectors followed closely with a 15% salary surge between H1FY23 and H1FY24, largely attributed to heightened attrition levels.
Agarwala emphasized the promising outlook for India's economy, particularly highlighting the surge in demand and salaries within the manufacturing sector. He urged both employers and employees to embrace technology swiftly to adapt and scale dynamically in the evolving work landscape.
(With Agency Inputs)
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