Despite the ongoing debate on job creation in the country, HR tech platform BetterPlace forecasts 21 lakh new blue-collar jobs to be created in the next one year, with delivery personnel and drivers accounting for nearly 14 lakh of these jobs.
BetterPlace, in its first-ever comprehensive report on blue collar jobs data in India, said the growth rate of blue collar jobs in the gig economy is much higher than that of traditional jobs.
In a gig economy, temporary or freelance workers are hired as they are cheaper than full-time employees. The trend towards the gig economy is catching up with many foreign companies, including Uber, Walmart and others, hiring gig workers to meet their business needs.
The migration from traditional blue-collar jobs to gig based jobs is due to increased flexibility, higher salaries, attractive incentives and higher take-home due to minimal deductions, according to the report.
The report said that wages for the new set of blue-collar workers are set to increase, with 50 percent of the workforce set to earn more than Rs 20,000 a month.
But high attrition will remain a key challenge, with the report estimating that 50 percent of the workforce moves out of jobs within 90 days.
“This is a huge concern for companies employing this workforce, which can be addressed through employee benefits such as health insurance,” BetterPlace CEO Pravin Agarwala said.
Here are some other highlights of the report:
First Published: Mar 14, 2019 10:41 AM IST
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