Composite staffing firm TeamLease has launched a unique report on “PLI Impact on Job Creation”. The report, which analyses the impact of PLI on job creation across sectors, projects that 60 percent of employers expect hiring to increase due to PLI over the next two years. The higher positive hiring sentiment is attributed to the pharmaceutical industry (68 per cent), followed by white goods industry (67 per cent) and textile products (62 per cent). The boost from the PLI scheme is also estimated to impact the MSME ecosystem and bring more women to the workforce.
From an organisation size perspective, small and medium-sized organisations (70 per cent each) lead from the forefront, followed by large organisations (22 per cent). The overall intent to hire across small and medium sized organisations is highest in Indore (86 per cent), Chennai (73 per cent) and Pune and Gurgaon (65 per cent each). The report further finds employers from cities such as Indore, Pune and Ahmedabad anticipate more than 20 per cent incremental growth in employment in the next two years.
Sumit Sarabhai, Business Head – Emerging Vertical, TeamLease Services, shares that the PLI scheme will not only boost investments and growth across industries but is also expected to lead a significant surge in employment opportunities. Over 60 per cent of employers in India Inc. are planning to hire more due to the PLI scheme over the next couple of years. Another major aspect that PLI will address is diversity of the workforce. It is expected to bring more women to the forefront. According to our report, while cities like Gurgaon and Indore (71 per cent each), Kolkata (69 per cent), Delhi (67 per cent) and Nagpur (67 per cent) still prefer hiring male candidates; cities like Chandigarh (31 per cent), and Chennai (30 percent) are more inclined towards female employees, especially across industries like textiles, pharmaceuticals, and large-scale electronics manufacturing. Interestingly, the pharmaceutical industry is also inclined towards hiring from the LGBTQ community. However, a few industries such as Textile Products (37 per cent), Pharmaceuticals (36 per cent), and Large Scale Electronics Manufacturing (30 percent) believe that there will be a preference for hiring female employees as a part of the PLI scheme.
Even for the MSME sector, which contributed to about 30 percent of India’s GDP, the PLI scheme is a positive foot forward as it will boost investment in MSMEs especially in textile products, specialty steel and automobile and auto components industries.
In terms of the job profiles, the large scale electronics manufacturing industry (70 percent) employers hiring blue collar workers and (60 percent) employers hiring for temporary staffing is foreseeing up to 10 per cent net incremental growth. On the other hand both large scale electronics manufacturing (60 percent) industry and textile industry (66 per cent) is foreseeing up to 10 per cent net incremental growth for female workers. Besides hiring, employers also anticipate that PLI-related benefits will boost employee productivity and contribute to business growth.
The TeamLease PLI Outlook Report is created on the basis of the employer’s reaction toward job creation based on the incentives mentioned by the government in the PLI scheme and their projection towards hiring in the next two years. It has surveyed 344 mid to senior-level, general managers / talent acquisition managers across 14 cities and eight industries in India. The survey is specially tailored to highlight both moderate and significant changes in terms of hiring as a result of the PLI scheme.