India’s staffing industry grows 3.6% in Q3 FY24, employs 1.62Mn
NEW DELHI, INDIA — India’s staffing industry has shown a 3.6% growth in the December quarter of FY24, as reported by the Indian Staffing Federation (ISF).
This growth, observed in comparison to the July-September period, underscores a robust demand for flexible (contract) workforce across various sectors.
Growth highlights staffing industry’s resilience
The industry’s year-on-year growth stood at 16.4% from January to December 2023, highlighting the staffing sector’s resilience and adaptability amidst economic challenges.
The increase in employment was notably significant in key sectors such as e-commerce, retail, fast-moving consumer goods (FMCG), logistics, manufacturing, hospitality, tourism, aviation, and energy.
As of December 2023, the total formal flexi workforce employed by ISF members reached an impressive 1.62 million. This figure represents the collective efforts of both General Flexi Staffing and IT Flexi Staffing industries.
While General Flexi Staffing saw a quarter-on-quarter growth of 3.8% in Q3 FY24, the IT staffing sector experienced a slight decline of 0.4%.
Double-digit new employment growth trend
ISF President Lohit Bhatia commented on the industry’s performance, stating, “The flexi staffing industry continued a double-digit new employment growth trend at 16.4% YoY, reflecting its strong performance.”
He further highlighted the industry’s current valuation at Rs 1.34 lakh crore, indicating a positive trajectory for the staffing sector in India.
ISF’s role in advocating for temporary workforce
ISF serves as the apex body for flexi staffing companies in India, advocating for recognized employment, work choice, equitable compensation, social security, and health benefits for the temporary workforce.
The recent growth figures underscore the staffing industry’s vital role in India’s economy. It provides flexible employment opportunities and contributes to the overall development of the workforce.
