About 7% Workforce Growth Expected in October-March FY25 Driven by Logistics, Ecommerce: Report
With 59% of employers planning to increase headcount in October-March FY25, a 7.1% workforce growth is predicted during this period. This boost is primarily driven by the logistics, e-commerce, and manufacturing sectors.
The findings, based on research involving 1,307 employers across 23 industries in 20 cities, reveal a dynamic hiring landscape influenced heavily by industry-specific demands and macroeconomic factors.
This growth will principally be fueled by sectors such as logistics, EV and EV infrastructure, agriculture and agrochemicals, and e-commerce. These sectors are making substantial investments in infrastructure and technological advancements.
In particular, logistics stands out with a substantial 14.2% net employment change, with 69% of companies in the sector planning to increase their workforce. This growth is attributed to the sector’s adoption of advanced technologies like 5G logistics, green supply chain initiatives, and benefits arising from National Logistics Policy implementations.
Following logistics, sectors like EV and EV Infrastructure expect a 12.1% growth, agriculture and agrochemicals anticipate a 10.5% increase, while e-commerce and tech startups foresee an 8.9% rise. Startups in these areas are leveraging AI-enabled customer insights, Web 3.0 applications, and the seasonal demand tied to festive periods to drive their expansion.
As technology evolves, the automotive industry is also witnessing growth, predicting an 8.5% increase, driven by integrated smart technologies. Similarly, the retail sector’s 8.2% anticipated growth indicates the rising popularity of hyperlocal deliveries and smart-store concepts.
Cities such as Coimbatore (24.6%) and Gurugram (22.6%) are emerging as new job hubs, indicating a shift towards the decentralization of employment opportunities beyond the traditional metropolitan centers. Meanwhile, cities like Bengaluru (53.1%), Mumbai (50.2%), and Hyderabad (48.2%) continue to be central employment anchors with significant workforce demand.
The expansion of employment opportunities in cities like Coimbatore, Gurugram, Jaipur, Lucknow, and Nagpur highlights the broader spread of job growth across India. These locations are increasingly seen as viable alternatives for job seekers and businesses, reinforcing the allure of smaller cities.
Major economic initiatives also play a pivotal role in shaping workforce expansion. For instance, policies such as global capability centers (GCCs), which are predicted to contribute $60 billion to India’s economy by 2025, are creating high-skill positions in technology and research and development.
The National Industrial Corridors aim to generate 1 million direct jobs and 3 million indirect jobs in manufacturing and logistics. Furthermore, the semiconductor mission plans to add 80,000 jobs by 2025 through an investment of Rs 1.25 lakh crore, highlighting India’s commitment to advancing high-tech manufacturing.
The employment landscape is increasingly steered by technology and policy-induced shifts, showcasing the diversity in job growth across India. From established urban hubs to emerging cities, the workforce is rapidly evolving to meet the demands in sectors like logistics, EV, and tech startups.
As businesses adopt flexible staffing models, there is a growing demand for digital skill sets such as problem-solving, critical thinking, and cloud technology. These skills are not only sought after but are also crucial for maintaining a competitive edge in today’s economy.
