EV job boom expected after Interim Budget, but talent crunch looms large

Even though jobs are plenty with every EV firm looking for talent, finding the right professional remains a major challenge.

Staffing and electric vehicle (EV) firms are bullish on growth factors in the EV sector with the Interim Budget 2024 placing a special focus on supporting EV manufacturing and charging infrastructure in line to achieve “Carbon Neutrality by 2070”.

Anticipating that the government will continue to give tax benefits and other financial support, industry leaders expect around 2.5 lakh direct and indirect jobs to be generated in the next five years.

“It is expected that the industry will generate direct and indirect job opportunities of around 2.5 lakh in the next five years, and at least 70,000 jobs in the current year,” said RP Yadav, CMD of Genius Consultants, an HR consulting firm.

According to Dr Amitabh Saran, CEO & Founder of Altigreen, a rough estimate of jobs keeping a steady state number of 50 companies that will finally settle in the various stakeholders of the EV ecosystem, i.e., 50 OEMs, 50 battery manufacturers, 50 EV motor manufacturers, 50 electronic controllers, 50 charger companies, 50 composite materials, the industry can conservatively generate several 6-10 lakh jobs.

“Beyond this, there will be workshop mechanics, production shop floor, service engineers, spares manufacturers and distribution, which will add another 5-10 lakh more,” he said.

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Currently, India has approximately 400 EV manufacturers and an 11 million strong workforce, with women accounting for 11-15 percent of the workforce, according to Munira Loliwala, AVP of Strategy and Growth at staffing firm TeamLease Digital.

The years 2022-23 and 23-24 witnessed a substantial increase in fresher hiring for women in research and development (R&D) and EV manufacturing with roles in design, product development, testing and component designing.

“Currently, almost 70-75 percent of the existing experience is enabling EV manufacturing with only 15 percent to 25 percent new skills in electrical and electronics engineering are needed,” Loliwala said.

Employees undergoing reskilling and upskilling through on-the-job training, fresh talent comprising 20 percent to 25 percent of the total team in the design domain, with 30 percent of them being women hired from colleges and institutions, will complete the EV talent distribution and support the almost 60 percent of automotive product designing for the automotive sector in India today, he added.

In demand skills

EV firms are ready with their robust hiring plans and competition seems to be increasing across job roles and functions. Major players and start-ups are hiring for niche talent offering advantages to those who have worked before in the automotive sector.

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Currently, Omega Seiki Mobility is looking for professionals with expertise in software development, data science, and engineering. These roles are crucial in the testing, designing, manufacturing, and implementation of safety systems in electric vehicles.

Looking ahead, if the government's push in the EV sector continues, Nida Khanam, CHRO at Omega Seiki Mobility said the hiring strategy will likely evolve to meet the demands of a burgeoning industry.

“We anticipate a continued need for professionals with expertise in software development, data science, and engineering, along with an increasing demand for roles across various functions such as manufacturing, research and development, and supply chain management,” she said.

Similarly, EV charging station firm Statiq is looking for electricians, technicians, customer service representatives, technical support personnel, and network administrators. The future hiring strategy will focus on recruiting talents in manufacturing and assembly, as well as specialists in battery production, according to Raghav Arora, Co-Founder & CTO of Statiq.

Talent hunt remains a challenge

Even though jobs are plenty with every EV firm looking for talent, finding the right professional remains a major challenge. This has forced the companies to prefer those who have a background of working in automobile firms for a substantial period.

“Securing top talent in the burgeoning EV industry presents unique challenges reflective of its relative novelty and rapid evolution. One primary obstacle lies in the scarcity of professionals with deep, directly relevant experience in electric vehicle technology,” said Pragya Goyal, CEO & Co-Founder at Vegh Automobiles.

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Given the nascent nature of the sector, she said, individuals with extensive prior expertise in EV engineering, design, and manufacturing are limited. Consequently, bridging the technology gap between existing skill sets and the specialised requirements of EV manufacturing poses a significant challenge.

Furthermore, as the EV industry continues to gain traction, talent competition intensifies, exacerbating the difficulty of recruitment, Goyal added.

It's not just EV manufacturing firms that are faced with a limited talent pool. Associated services such as battery manufacturers and charging stations too are battling talent poaching and finding it hard to retain their existing employees.

“In the dynamic field of electric vehicles and sustainable technologies, securing professionals with specialised skills in areas such as battery technologies, power electronics, and smart charging solutions presents a unique set of challenges,” said Niranjan Nayak, MD at Delta Electronics India.

‘Government needs to focus on talent supply’

Industry leaders say the government, including the state governments, should set up specialised centres for training youth in the EV sector. They say this should be followed by running an awareness campaign to motivate freshers to look for a career in the growing EV sector instead of just focusing on the traditional automobile sectors.

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Some of the firms are also partnering up with select institutes to help revamp the curriculum in line with the evolving needs of the EV sector.

“The concerned authorities need to revise and revamp the syllabuses at engineering institutes to train and develop industry-ready workforce. To meet the growing demand for skilled human capital, the government should focus on developing a healthy talent pipeline by setting up more institutes specialising in EV OEM and charging infrastructure manufacturing,” said Veer Singh, CEO of Lord's Automative.

Besides, Pritesh Mahajan, Founder of Revamp Moto suggested that the government could incorporate EV Engineering as a dedicated course in a broader range of institutions.