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Quick commerce expansion to spur FMCG job growth

According to a report by TeamLease Services, in the country’s Fast-Moving Consumer Goods (FMCG) sector there is a significant gender disparity in the FMCG workforce, with males comprising over 90 percent of the outsourced workforce.

February 29, 2024 / 14:07 IST
The report highlights that Mumbai, Bangalore, Chennai, Delhi, and Hyderabad are among the top five Indian cities that showcase a strong intent to hire in the FMCG sector.

Quick commerce will drive demand for jobs in areas like last-mile delivery and operations within e-commerce companies in the FMCG sector due to the shift in sales channels, said Balasubramanian A, vice-president and business head at staffing, overseeing the FMCG domain.

Balasubramanian noted that with the incorporation of artificial intelligence (AI) and machine learning (ML), the job space is evolving. “There is more need for skills like using digital tools and knowing basic English for employment.” he added.

According to a report by TeamLease Services, in the country’s Fast-Moving Consumer Goods (FMCG) sector there is a significant gender disparity in the FMCG workforce, with males comprising over 90 percent of the outsourced workforce.

Balasubramanian said that the nature of jobs in the FMCG sector do not favor women. “Jobs like a salesperson often lead to abuse. The unavailability of clean toilets is also a factor for the low participation of women.” he added.

However, he pointed out that nearly two-thirds of the female workforce in FMCG are employed as salespersons in the beauty products sector.

The report highlights that Mumbai, Bangalore, Chennai, Delhi, and Hyderabad are among the top five Indian cities that showcase a strong intent to hire in the FMCG sector. Essentially, the increased concentration of jobs in these cities is due to higher earnings and disposable incomes among residents.

“This rise in disposable income is the primary driver of demand. Consequently, with greater demand, there's a corresponding need for more manpower.” said Balasubramanian. “Therefore, we anticipate these cities to remain significant drivers of manpower demand in the upcoming quarters.” he added.

The report indicates that metros experience the highest attrition rates at 27 percent, followed by Tier 1 and 2 cities at 26 percent. Conversely, Tier 3 and 4 cities show lower attrition rates, reflecting the comparatively lower demand in rural markets. The average age of active employees is above 36, while for those who have left, it's nearly 34, suggesting that younger employees tend to leave more frequently.

According to Teamlease Services, the average CTC for both current and former employees is highest in southern India. Despite a negligible gap in salaries between active and former employees, there's a significant disparity in incentives earned. This suggests that incentives are a stronger factor influencing attrition than salaries, as salaries appear to have less impact, the report noted.

Pritha Pahari
first published: Feb 29, 2024 02:07 pm

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