India’s Employment Growth To Hit 7.1% In H2 FY25, Led by Tech And Logistics Sectors

India’s employment growth rate is projected to reach 7.1% in the second half of FY25, according to a report by TeamLease Services. This marks an increase from the 6.33% recorded in the previous half-year, as 59% of employers plan to expand their workforce. An additional 22% aim to maintain current staffing levels, while 19% foresee reductions.

The report, covering October 2024 to March 2025, highlights sector-specific demands and macroeconomic factors as key drivers of employment trends.

Emerging Employment Hubs Beyond Metros

The study identified a shift in job creation from traditional metro cities to smaller hubs. Coimbatore (24.6%) and Gurgaon (22.6%) are becoming significant employment centers. Meanwhile, Bengaluru (53.1%), Mumbai (50.2%), and Hyderabad (48.2%) remain top job markets.

Sectors like logistics, electric vehicles (EVs), agriculture, and e-commerce are leading growth. These industries are heavily investing in technology and infrastructure to meet rising demand.

Technology and Skills Shaping the Workforce

Companies are prioritizing digital skills, such as problem-solving, time management, and cloud technology. Roles requiring communication (57.8%), sales and marketing (44.6%), and critical thinking (37.3%) remain in high demand.

A shift to remote and hybrid work models has driven 59% of companies to adopt cloud-based solutions. The BFSI, FinTech, and Power and Energy sectors are also expanding, fueled by AI integration, renewable energy, and digital financial inclusion.

Government initiatives like the Semiconductor Mission are boosting high-tech manufacturing and creating global opportunities. “India is evolving as a leader in tech-driven industries, supported by strategic workforce development,” said Kartik Narayan, CEO of TeamLease Staffing.

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