Gig economy has created millions of non-farm jobs, with e-commerce alone generating over 16 million roles. …reports Asian Lite News
India’s gig economy could add 90 million jobs, enabled by large multinationals, and add 1.25 per cent to the country’s GDP over time, according to a report on Thursday.
Gig economy supports sectors such as e-commerce, transportation and delivery services, among others, and the market is expected to grow at a compound annual growth rate (CAGR) of 17 per cent to reach a gross volume of $455 billion by 2024, according to the report by The Forum for Progressive Gig Workers.
Gig economy has created millions of non-farm jobs, with e-commerce alone generating over 16 million roles.
“The report presents an initial effort to analyse the evolving dynamics between large companies and gig workers. It is a valuable starting point for understanding the challenges and opportunities within this sector,” said K Narasimhan, Convenor, Forum for Progressive Gig Workers.
At a later stage, “we plan to collaborate with global organisations to release a formal report that provides deeper insights and actionable recommendations,” Narasimhan added.
The gig economy is set to play a crucial role in India’s future workforce and economic growth and will be instrumental in driving job creation, reducing income disparities, and promoting innovation across sectors.
However, it is imperative to adopt industry-best practices, flexible and standardized guidelines that will be critical to enhance efficiency, support gig workers, and contribute to the country’s growth.
“With tier 2 and 3 cities emerging as growth hubs, and platforms driving welfare initiatives, the future of gig work lies in leveraging AI, predictive analytics, and digital innovation to create sustainable, inclusive opportunities,” said Vinod Kumar, President, India SME Forum.
The government has also formed a committee to suggest a framework for providing social security and welfare benefits to gig and platform workers.
Gig workers and platform workers have been defined for the first time in the Code on Social Security 2020, which has been enacted by the Parliament. An advisory has also been issued by the Ministry of Labour and Employment to aggregators to register themselves and platform workers engaged with them on the e-Shram portal.
The ministry launched the eShram portal on August 26, 2021, for the creation of a comprehensive National Database of Unorganised Workers (NDUW) verified and seeded with Aadhaar. As on November 19, over 30.4 crore unorganised workers have registered on the eShram portal, on a self-declaration basis.
GCCs to Drive Talent Demand
The Global Capability Centers (GCCs) is expected to increase demand for fresh talent in India as well as boost the salaries for entry-level job roles across key functional areas in IT products and services and non-tech sectors in FY 2024-25, according to a report on Thursday.
The report by TeamLease Digital provides a glimpse into how the financial year will shape up for the burgeoning workforce in India.
The report showed that the software development and engineering domain is poised to offer lucrative opportunities with increasing demand for AI/ML skills in software development sector.
As a result, entry-level positions in this domain are expected to see an average salary of Rs 9.37 LPA in GCCs, followed by Rs 6.23 LPA in IT Products and Services, and Rs 6 LPA in non-tech sectors by the end of FY 2024-25.
In the cybersecurity and network administration domain, GCCs are expected to lead with an average salary of Rs 9.57 LPA — 40.12 per cent higher than IT professionals. This showcases the critical need for expertise in identifying vulnerabilities and mitigating risk exposure, while IT products and services may offer Rs 6.83 LPA, and non-tech sectors Rs 5.17 LPA.
The data management and analytics domain, which includes collecting, storing, and analysing data to support decision-making, is projected to see average salaries of Rs 8.73 LPA in GCCs, Rs 7.07 LPA in IT products and services, and Rs 6.37 LPA in non-tech sectors, in FY 2024-25.
“India’s entry-level job market is witnessing dynamic changes, as highlighted by our data for FY2024-25. While IT Services have seen a slowdown in fresher and entry-level hiring over the last 2-3 years, it is the GCCs and non-tech sectors that have emerged as the torchbearers for welcoming young talent and offering rich opportunities,” said Neeti Sharma, CEO, TeamLease Digital.
“GCCs are expected to lead the way, offering premium salaries, particularly in roles like penetration testing and data science, with average packages reaching Rs 11.8 LPA. This surge can be attributed to the rapid expansion of GCCs in India employing more than 1.66 million people and their need to maintain global standards,” she added.
Further, the domain of cloud solutions and enterprise applications management, focusing on scalability and cost-efficiency through cloud platforms and ERP systems, is set to offer entry-level salaries of Rs 7.67 LPA in GCCs, and Rs 6.07 LPA in IT Products and Services.
The non-tech industry is also poised to offer an average salary of Rs 6.53 LPA for cloud solution roles, approximately 8 per cent higher than the IT sector, driven by the strong adoption of cloud technology across key sectors like BFSI, healthcare, and manufacturing.
ALSO READ: Lulu launches ‘Al Emarat Awwal’ initiative