E-commerce sector is likely to generate an estimated 75,000 to 100,000 jobs or 20% of the current workforce engaged in the industry in 2017. A large part of this includes temporary employees, who are normally hired during the busy festival season around Diwali. The salaries offered to temporary workers is likely to go up by 5-6% this year, while that of permanent staff would vary between 10% and 12%, according to data furnished by staffing solutions firm TeamLease.
There are an estimated 5,00,000 people working in the e-commerce sector and this excludes the logistics sector, which supports the e-commerce industry and E-wallets or digital payments companies. Overall, this sector is expected to create a job opportunity of more than 3,00,000, of which around 40% would be logistics hiring, TeamLease said.
“E-commerce is maturing as an industry with a better understanding of utilisation of costs and resources. More and more retailers are getting on to the E-commerce platforms which will boost need for manpower and skills at the digital end,” Sudeep Sen, assistant vice president, TeamLease told FE.
More than 50% of the new jobs would be interns and off-roll employees. The midsized and small players are witnessing better growth and hiring plans, he said. Homegrown online retailer Flipkart and multinational giant Amazon are the biggest employers in the sector. They will be hiring mostly during the festive season sale that happens starting Dasara festival.
For example, Flipkart alone added around 10,000 jobs before the festival season last year. It currently employs 35,000 people, Flipkart sources told FE. On hiring plans for 2017, Flipkart said it is yet to firm up the plans.
However, Amazon declined to comment on its headcount and hiring plans for 2017. It is expected to take delivery of additional office space by end of this year in Bengaluru, where it will be adding more jobs. Normally, the e-commerce players outsource contract workers from third party contractors.
Overall in the last two years, temp staffing has grown by 18-21% across the industries, while it has grown by 25% in the E-commerce sector, thanks to the huge and every day demand of folks in the last mile delivery to meet customer delight and excellent customer experience. Other industries like retail, healthcare, services have done 15% incremental hiring in the capacity of contractual staffs, engineering and manufacturing units wherein outsourcing of blue collar employees has gone up by 7-9%.
E-commerce industry has given opportunity to youngsters under the tag of contract staffs or fixed term contract in the capacity of warehouse executives such as job of labelling, sorting and inventory management among others. Other than this, opportunities have come for web-based job profiles like catalog specialists, data entry, data interpretation, record maintenance, etc.
The recent move of the government to demonetise high value currency has created a new job opportunity with the E-wallet or digital money players such as Paytm. With the sudden demand for E-wallets, Paytm has found the need to spread awareness about its service and to do that it is hiring around 20,000 temporary workers for sales promotion.
Other players like AirTel, Freecharge, Zeta and MobiKwik among others are also recruiting temporary workers. “We expect an estimated 30,000 people to be hired for a temporary period of six months by other E-wallets for sales promotion, which is a direct fallout of Demonetisation,” Sen said.
The salaries offered to permanent employees by the e-commerce players is set to go up by 10-12% this year, while that of temporary staff such as delivery boys would go up by 5-6%, he said.
The temporary workers are paid anywhere between R9,500 to 12,000 per month with additional incentives.