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HomeTechnologyIndia’s IT flexi staffing industry to grow by 7% through 2026, says study

India’s IT flexi staffing industry to grow by 7% through 2026, says study

GCCs have an 8.2% penetration rate in the flexi staffing sector, largely due to the rapid growth of new centres in India

November 14, 2024 / 15:53 IST
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India’s information technology (IT) flexi staffing industry is poised for a 7 percent annual growth through 2026, an Indian Staffing Federation (ISF) employment trends report has said.

The IT flexi staffing industry focuses on supplying temporary or contract professionals to client organisations.

The report assumes significance as the IT industry had put a stop to hiring for the past couple of quarters. IT companies have now started visiting and hiring from campuses. The turnaround in the sector, which hires engineering graduates in bulk, is also reflected in staffing firm TeamLease's view that IT companies have converted contract workers to full-time employees.

Global capability centres (GCCs) have also seen an uptick in flexi hiring recently, with an 8.2 percent penetration of temporary workers in the sector. This is largely due to the rapid growth of new GCCs and a high demand for flexible staffing to meet diverse operational requirements.

The BFSI and fintech sectors show the highest flexi-staffing penetration at 17.1 percent, followed by logistics, energy and utilities at 14.6 percent, indicating a shift towards temporary or project-based roles.

Demand for IT flexi-talent, especially among emerging tech hubs like Ahmedabad, Coimbatore, Vishakhapatnam, Surat, Kochi, and Nagpur is seeing a surge.

Tech hubs such as Bengaluru, Hyderabad, Chennai, Mumbai, Kolkata, and Delhi NCR remain at the forefront of IT flexi-staffing demand, reflecting their established status in the industry.

These trends suggest an evolving landscape where gender inclusivity and flexible staffing models are being adopted variably across regions and sectors, catering to both established and emerging tech hubs in India.

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Moneycontrol News
first published: Nov 14, 2024 03:53 pm

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