Indian Flexi Staffing market to be valued at € 3.6 billion: ISF
Indian Staffing Federation (ISF), an apex body of flexi staffing industry hosted India’s first Industry Staffing Conclave on 4th June themed around Employment in the age of Productivity with focus on Automotive, Retail & E-commerce and Infrastructure. These are among the top 15 sectors that employ 81% of formal sector workforce as identified in one of ISF’s report.Productivity has become crucial with automation like never before and at a time when India is likely to witness 69% of its jobs becoming automated as per a global study, ISF brings together HR leaders, corporates and bureaucrats to discuss how to stay productive in the age of automation, new age skillsets required and the dire needs of staying relevant in the job market.
ISFmentions the Indian staffing market size to be valued at € 3.6 billion as per a recent global staffing report published.The top 3 sectors - BFSI, Infrastructure, Construction and Energy and Logistics, Transport and Communications will together employ 1 million flexi-staff by end of 2018. With automation and innovation changing the nature of the work, BFSI contributes 12%, Infrastructure, Construction and Energy contribute 11%, Retail and Ecommerce together comprise 5% in the national Flexi staff. Perhaps, the retail market’s growth has not only been witnessed in the metropolitan cities, but also across numerous tier 2 and tier 3 cities, providing enhanced business and job opportunities for the local youth.
Accordingly to one of ISF’s member report, the organised retail will create 12,62,120 jobs, construction and real estate will create 1,37,280 jobs, BFSI will create 52,500 jobs while automobile sector to add 43,060 jobs by 2021.
Shri Heeralal Samariya, Secretary, Ministry of Labour and Employment, GoI mentioned in his keynote speech, “As per latest EPFO data, 6 lakhs employees get added every month in the form of new jobsresulting in formal workforce. Through Pradhan Mantri Rojgar Protsahan Yojana, we have employed 40 lac new job seekers and INR 725 crore have been given to those corporates providing jobs to them. In this year, we expect to spend INR 4000 crorefor the new jobs to be created. With a GDP rate of 7.4% coupled with the recent investments in the infrastructure sector, we are hopeful of creating more formal jobs and dignity of jobs simultaneously.”
According to Rituparna Chakraborty, President, Indian Staffing Federation, “India doesn’t have a job crisis, everyone who wants a job has a job; they simply don’t have the wages they aspire for. The country is suffering from acute low levels of productivity at workplace that emanates from the real crisis – which is lack of skills.As members of the staffing industry, we are sitting on large volumes of jobs however, we are able to hire only 5% of the youth that reach out to us on a daily basis. EPFO data suggests formalisation of workforce and rather than being sceptical about it.We should welcome this and alongside shift our debates to skills rather than on non-availability of jobs.Skilling is very much linked to Productivity. With changing technology, newer skillsets are being needed.”
Suchita Dutta, Executive Director, said, “ISF so far has created jobs for1 million youth through its 100 plus members. One of our biggest achievement for the staffing industry is the consideration of the National Licensing at the state and national level by the labour ministry. The move will simplify doing business for corporates, increase flexi hiring across sectors and formalise employment models leading to rapid economic growth. Hence we thought to focus on productivity and skilling which are directly linked employment. Through the staffing Conclave, we are focusing on the skills required in the four sectors picked from the top 15 sectors and thereby prepare the youth for future jobs.”