Demand for field workers grew rapidly in 2022 as the economy opened up, but growth appears to have slowed in 2023 due to macroeconomic issues.
According to BetterPlace’s Frontline Index report, total demand for frontline jobs fell by 17.5%. In India, he created 6.6 million frontline jobs in FY23 as against his 8 million in FY22.
This decline can be primarily attributed to global macroeconomic headwinds.
However, gig work is on the rise as more companies consider variable labor costs, the report said.
E-commerce contributed the most to field worker employment in FY22, but it declined significantly in FY23.
The dominance of the e-commerce sector has given way to the logistics and mobility, IFM and IT sectors, which together contribute more than 61 per cent of new jobs created.
However, e-commerce continues to be a front-line employer of women in 2023, accounting for 64% of all employed women workers.
Pravin Agarwala, co-founder and group CEO of BetterPlace, said: They are the first to feel the effects of the external economic environment. Macroeconomic headwinds are forcing companies in India and Southeast Asia to rethink hiring practices. As the workforce becomes more gig-based, the participation rate of women is also increasing. This creates a need for technology solutions that can adapt to rapidly changing dynamics while increasing productivity and retention. ”
Although the demand generated by e-commerce has decreased by 52 percent compared to last year, e-commerce remains the second largest employer, contributing 33 percent of total employment.
Women’s participation in the workforce doubled from FY22 to FY23. The female participation rate increased from 3% to 6% from 2022 to 2023. This is mainly due to changing perceptions among family members.
Research shows that 88% of women feel that their families fully or somewhat support them in the workforce. However, the average monthly salary for female field workers in FY2013 was 20.5% lower than the industry average. For female frontline workers, the gap between younger and older age groups is smaller, with 44 percent of women in the 20-30 age category and 37 percent in the 30-40 age category. Masu.
Young people contributed the most to frontline jobs, at 66%, but their participation is gradually decreasing.
According to the survey, labor force participation among young people decreased by 8% from fiscal 2022 to fiscal 2023, but participation among workers aged 30 to 40 increased by 25% during the same period. More than 80 percent of frontline workers are properly educated and have a high school diploma.
The average monthly salary for frontline workers decreased by a slight 4.5% to approximately $21,700 in FY23
Applications for upskilling courses increased significantly by 194% from 2022 to 2023. With less willingness to hire, companies are training existing employees to take on larger roles. According to the report, time spent learning increased by more than 165 percent from April 2022 to March 2023.
The government’s budgetary upskilling drive has led to several companies investing in upskilling their workforces. As a result, from January to February 2023, the number of new users on our platform reached 36 percent.
This report is based on data collected by the BetterPlace platform from April 2022 to March 2023. A sample of over 3 million data points was used for analysis and inference. This data details trends in employment, demand, attrition, migration, salaries, and upskilling of India’s frontline workforce.
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