At least 10 lakh gig workers to find jobs at e-commerce companies this festive season

At least 10 lakh gig workers, primarily from tier-2 cities, are likely to join the e-commerce workforce during the festive season from late August to late December, according to estimates by staffing firms.

While the hiring in e-commerce is likely to rise 20-25 percent from last year, retail and consumer durables sectors are expected to hire 15-20 percent more this year.

E-commerce, logistics, and last-mile delivery sectors are leading the way in hiring temporary and gig workers this festive season. These roles will help support the growth in volume and sales projected by e-commerce and quick commerce companies.

“Festive season sales are expected to be 30-40 percent higher than the previous year. Hence, the increase in the workforce will be around 25 percent at the very least, especially in the e-commerce and logistics space,” said Balasubramanian A, senior vice-president and business head of TeamLease Services. He added that e-commerce companies employ 80 lakh gig workers, with an additional 10 lakh delivery partners expected to join this season.

The hiring trend has started with the Independence Day sales and will continuing through upcoming festivals like Ganesh Chaturthi, Onam, Navratri, and Diwali. However, experts note that this hiring boom typically slows down after December as many temporary workers, particularly migrants, return to farming.

These migrant workers, as per experts, mostly come from the Gangetic plains, covering Bihar, Uttar Pradesh, Punjab, Haryana, Jharkhand, Odisha, West Bengal, and some northeastern states as well. They are not hired just for warehouses and delivery works, but also for call centre jobs.

This year's hiring surge is attributed to a revival in consumer spending and a recovery in rural demand, supported by easing inflation. Offers and discounts from automobile dealers, electronics retail stores, malls, and online channels are also expected to drive sales, as festivals are considered auspicious for purchases.

Yeshab Giri, chief commercial officer of Operational Talent Solutions at Randstad India, shared that they anticipate 600,000 to 650,000 temporary jobs will be created by December 2024. “We are looking at a 15-20 percent uptick in demand for temporary staff and an 18-20 percent increase in demand for gig workers in e-commerce and last-mile delivery over the next few months,” he said.

The hiring in the retail and consumer durables space is likely to be driven by product launches and improving rural demand. Electronic products, particularly home appliances and IoT solutions, see increased hiring as companies recover to their pre-Covid levels.

Hiring from Tier-2 cities

Tier-2 cities are likely to beat metros in terms of hiring this festive season because experts anticipate that retail sectors, including grocery, consumer durables, and apparel fashion, show a rise in demand in cities like Jaipur, Indore, Ahmedabad, Coimbatore, Lucknow, Vadodara, Surat, Bhubaneswar, Bhopal, Ludhiana, Chandigarh, and Vizag.

“These cities are witnessing an increase of nearly 25-30 percent compared to the previous festive season due to rising urbanisation, the rise of malls and quick-service restaurants, and improved consumer spending in these regions,” Giri noted. In contrast, metro cities see a 15-20 percent increase in demand for temporary workers.

The demand for roles such as warehouse personnel, delivery executives, and call centre operators is notably higher in tier-2 and tier-3 locations. This trend reflects a broader shift as companies expand their operations beyond major urban centres, driven by increased disposable income and a growing consumer base in these regions.

Randstad India’s Giri highlighted a 15-20 percent increase in mandates to hire women for temporary roles across various sectors this festive season.