Frontline job demand falls by 17.5 percent in 2023 : Report
Demand generated for frontline workers by the e-commerce sector has decreased by 52 percent since FY22, but the sector remained the second-largest employer with a 33 percent share of the total jobs created.
Frontline job demand falls by 17.5 percent in 2023 a Better Places Frontline Index Report revealed
In the current fiscal year, the demand for frontline personnel has declined. According to reports, after experiencing a surge in demand in FY22 as the economy opened up, frontline workers appeared to lose favor in the year 2022-23 due to macroeconomic issues.
According to the Better Places Frontline Index Report, demand for frontline jobs in India declined by 17.5% in FY23, with 6.6 million positions generated compared to 8 million in FY22. However, women’s participation in frontline jobs increased from 3% to 6% between FY22 and FY23.
The paper also discusses the shifting landscape of industries that employ frontline workers, as well as salary changes.
“We are witnessing what I refer to as ‘The Great Variable-isation’ trend. Due to cost challenges, businesses are attempting to make expenses unpredictable, which has resulted in an increase in the hiring of gig workers. This is gradually becoming the norm for most businesses,” said Pravin Agarwala, Co-founder and Group CEO of human capital management platform Better Place.
This trend sees businesses attempting to make expenses flexible, resulting in an increase in the hiring of gig workers. The survey also finds that, with the exception of the Manufacturing and Logistics & Mobility sectors, women’s average monthly salaries in FY23 were 20.5% lower than the industry average.
The Logistics & Mobility sector surpassed e-commerce as the biggest employment industry for frontline workers in FY23, with demand increasing by more than 111 percent between FY22 and FY23. E-commerce demand has plummeted by 52% since last year, yet it remains the second-largest employer, accounting for 33% of total jobs.
In FY23, the average monthly salary for frontline workers fell by 4.5 percent to Rs 21,700. While Logistics and Mobility contributed the most to the demand for frontline workers, average monthly pay in this sector fell by 18%.
However, integrated facility management (IFM) and information technology (IT) not only had the highest monthly average pay at Rs 25,700, but their salaries climbed by 17% compared to FY22. According to the research, the most popular career roles in this area include Sales/Business Development, Technician, Customer Care, and Marketing Executive, among others.
In FY23, the average monthly attrition rate for frontline staff was 15%, with peaks reaching 23% in November, at the end of the holiday season.
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