Logistics, EV & EV infra, agriculture & agrochemicals, e-commerce to lead workforce expansion

Nov 25, 2024

Driving the growth are sectors such as logistics, EV & EV infrastructure, agriculture & agrochemicals, and e-commerce, which are investing heavily in infrastructural and technological advancements.
The Indian employment market is likely to see a 7.1% workforce growth in H2 FY25 (October 2024-March 2025), up from 6.33% in H1 FY 24 (April-September 2024), according to employment outlook data of 1300-plus companies surveyed by staffing firm TeamLease Services.

About 59% of surveyed employers across 23 industries – compared to 56% in the last half year – said they are planning to grow their workforce in the coming months, with 22% maintaining their current staffing levels and 19% foreseeing reductions, showed the findings of the survey released on Monday.

Driving the growth are sectors such as logistics, EV & EV infrastructure, agriculture & agrochemicals, and e-commerce, which are investing heavily in infrastructural and technological advancements.

Logistics leads the pack with a 14.2% net employment change, as 69% of companies in the sector look to increase headcount on the back of the sector’s adoption of 5G logistics, green supply chain initiatives, and benefits from National Logistics Policy implementations.

Closely following logistics are EV and EV Infrastructure (12.1%), agriculture and agrochemicals (10.5%), and e-commerce and tech startups (8.9%), where startups are capitalising on AI-enabled customer insights, Web 3.0 applications, and seasonal demand from the festive period. As technology continues to evolve, the automotive industry is also seeing 8.5% growth, spurred by integrated smart technologies, while the retail sector’s 8.2% growth reflects the popularity of hyperlocal deliveries and smart-store concepts.

While Bengaluru (53.1%), Mumbai (50.2%), and Hyderabad (48.2%) remain central employment anchors, the demand in cities like Coimbatore, Gurgaon, Jaipur, Lucknow, and Nagpur signals a broader spread of job growth across India. Locations like Coimbatore (24.6%) and Gurgaon (22.6%) are becoming job hubs.

Companies are seeking specific skills that align with the current market’s operational and technological needs. New jobs for competencies such as problem-solving (35.3%), time management (30.4%), and after-sales service (28.4%) are becoming critical, while existing jobs with competencies like communication (57.8%), sales and marketing (44.6%), and critical thinking (37.3%) remain in demand. Technical skills, including machinery operation and maintenance (24.1%) and team collaboration (23.1%), continue to find many takers as organisations expand.

An upsurge in technology adoption sees 59% of companies prioritizing cloud-based solutions to facilitate remote and hybrid work models, indicating a shift toward flexible work environments. Automation tools, preferred by 45% of companies, are key in reducing repetitive tasks, and emerging technologies such as IoT (37%), AI/ML (36%), and advanced analytics (29%) are enabling real-time decision-making in sectors like automotive, healthcare, and manufacturing.

Kartik Narayan, CEO of TeamLease Staffing said in a statement: “The employment landscape is increasingly shaped by technology and policy-driven shifts. Our latest findings underscore the diversity in job growth across India, from established urban hubs to emerging cities, and reveal a workforce that is evolving rapidly to meet demands in sectors like logistics, EV, and tech startups.”

“As companies embrace flexible staffing models, digital skillsets such as problem-solving, critical thinking, and cloud technology are not only in demand but essential for maintaining a competitive edge in today’s economy. Furthermore, our government’s infrastructure investments and initiatives like the Semiconductor Mission are not just creating jobs but establishing India as a global leader in high-tech manufacturing,” he added.