By 2025, about 10 per cent of the overall workforce in India could be working in a flexible capacity through staffing companies, accord-ing to Indian Staffing Federation (ISF), an apex body of flexi-staffing industry in India represent around 400,000 flexi staff.
The percentage share is expected to increase further to 20 per cent by 2020 and the growth is led by the ITôITeS industry.
K Pandia Rajan, President, ISF, said, despite tough times due to the economic slowdown, there has been buoyancy in flexi-hiring among IT companies in India, in order to beat the margin pressures, maintain lean benches and facilitate just-in-time hiring in a highly-volatile market. The firms are increasing their flexi staff count in non-core activities and services to focus more on core activities."
At the National Conclave, which recently held in Chennai, the federation stated India's current employable workforce is around 484 million, of which 273 million are in rural areas primarily in agriculture sector (many of them clearly underemployed), 150 million in services sector, services replaced agriculture as the dominant sector and 10 per cent vocationally trained, diploma holders, graduates and above comprise only of the overall workforce.
The Federation stated that flexi staff contribution is expected to grow from 1.3 million (3% of organised sector) in 2012, to 10 per cent of organised sector by 2025 and 20 per cent by 2020.
The ISF has said incremental demand for skilled workers is lead by logistics sector around 51 million, construction sector 15 million, retail sector 5 million, BFSI sector 5 million, healthcare sector 4.5 million, auto sector 2.5 million and creative industry 0.8 million. It was further stated that the opportunity for staffing 83 million (incremental) skilled workers required in India by 2015, the demand will go up to 300 million (incremental) - skilled workers by 2022 and PM's National Council on Skill Development - has a target of 500 million by 2022.
Considering the growth, the industry is optimistic about the future since it was felt that Skill gap between education and employment requirements need to be bridged and India to gain the ability of harnessing its manpower optimally.
