New Delhi, 29th August, 2024: The Govt. initiative to establish 50- E-Commerce Export hubs have the potential to generate around 2.5 lakh jobs in the sector, predicts new study released by TeamLease Degree . It will significantly be enhancing India’s export capabilities. Additionally, this expansion is poised to transform the logistics sector, which is currently experiencing a 12% CAGR.
E-commerce has emerged as a powerful engine for job creation and economic development. Recent data shows that online vendors have generated 15-16 million jobs, including 3-4 million for women, contributing to greater workforce diversity. This expansion has extended beyond entry-level positions, with a marked increase in marketing, merchandising, and management roles, reflecting the sector’s growing complexity and scope.
However, the logistics industry faces considerable challenges due to its largely unorganised structure, with only 10% of the sector comprising formal players and just 4.5% of the workforce being skilled. This lack of formalization poses a significant hurdle to the industry’s potential for job creation, particularly as the demand for skilled labour grows. The widespread shortage of skilled workers, especially in crucial areas like advanced equipment handling and complex international consignment management, further limits the sector’s ability to harness new technologies fully. Additionally, with only 41% of offline vendors engaging in digital upskilling or creating new employment opportunities, there is a pressing need for initiatives focused on workforce skilling and formalization to support the logistics industry’s ongoing development and technological advancement.
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Sharing his insights on bridging the gap, Ramesh Alluri Reddy, CEO of TeamLease Degree Apprenticeship, stated – “These hubs are creating a demand for a highly skilled workforce, especially in the logistics sector, due to the rapid expansion of e-commerce. With logistics apprentices growing from 400 in 2018-19 to over 20,000 in 2023-24, and given the expansion of e-commerce hubs and the logistics sector, we project a 50% year-on-year increase in apprentices over the next three years. Government programs such as NATS, PMKVVY, and the Skill India Mission are emphasizing hands-on experience through Work Based Learning Programs (WBLPs) and apprenticeships to support this growth. These initiatives will play a crucial role in equipping workers with the necessary skills for complex roles, ensuring India’s competitiveness on the global stage”.
Dhriti Prasanna Mahanta, Vice President & Business Head of TeamLease Degree Apprenticeship, emphasised, “The creation of E-Commerce Export Hubs aligns with India’s vision to become a global manufacturing leader, opening new international shipping and supply chain management opportunities. With the increasing embrace of automation in logistics and warehousing – through AI-driven inventory management, robotics, and automated cargo handling – the demand for expertise in advanced technology and logistics operations is rising. Work Based Learning Programs (WBLPs) bridge the employment-employability gap by training workers in critical skills like predictive analytics, process automation and route optimisation. By integrating theoretical knowledge with real-world experience, WBLPs equip workers with specialized competencies to optimize sophisticated systems, supporting India’s leadership in the logistics supply chain”.
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