EY recently launched the ‘Future of jobs in India: A 2022 perspective’ report, jointly commissioned by FICCI and NASSCOM. It provides an overview of the job creation rates across various sectors including retail, textile and apparel and the new jobs that will emerge in the next five years.
In India, the future of jobs in 2022 would be determined by the country’s response to 12 megatrends captured by the EY framework, which includes, under globalization –
i) the level of exports of India based companies,
ii) rapid adoption of exponential technologies in the advanced markets and its impact on offshoring,
iii) increasing/shrinking overseas job market for Indian workforce and
iv) level of FDI flows.
Under adoption of exponential technologies by Indian companies – i) business innovation,
ii) creation of highly optimized supply chains,
iii) launch of smart connected products/services,
iv) new work arrangements, and
v) the demand for resourceful planet and sustainability.
Lastly, under demographic changes –
i) increasing urbanization,
ii) rising middle-class and
iii) high proportion of young population including millennials.
Anurag Malik, Partner – People & Organization, Advisory Services, EY, says: “The new business models such as ecommerce and mobile based e-tailing is increasingly becoming popular in India across Tier I, II and III cities. The impact of this growth is already visible on the job market. Ecommerce companies are creating new job proﬁles in logistics, warehousing, web and app design, system integration, customer service, big data and machine learning. Hence, the need of the hour is to acquire new skill set through training, learning and development, adopt technology and be market ready for the changing job roles in the retail sector.”
Key highlights from the report with respect to retail sector in India:
– 90 per cent of the respondents believe that collaboration with other industry partners for creation of a larger ecosystem and making changes in existing processes are key initiatives by industry players.
– Reskilling of employees was rated as a key initiative by 71 per cent of the industry players.
– 52 per cent of the respondents view smart connected products/services as a megatrend that is materializing as Indian retailers adopt them in their operations. This adoption is further getting propelled with the increase in the number of smartphones.
– 95 per cent expects big data and cloud shall be the key technology trend in the coming years
– The potential new job roles that the retail industry respondents have listed are retail data analyst, digital imaging leader, IT process modeler, digital marketing specialist and customer experience leader.
– Some of the threatened jobs in the sector are cashier, inventory associate, sales representative and stock boy. The maximum impact of adoption of technology on jobs will be felt in warehouse management.
Pinakiranjan Mishra, Partner and National leader, Consumer Products and Retail, EY, says: “As the survey suggests highly optimized supply chains will be the biggest megatrend impacting the retail industry. Retail companies in India are evaluating investments in new technologies such as big data, robotics, IoT and RFID. These systems will support supply chain, warehouse management and also optimize daily operational activities. Hence, retailers need to view digital opportunities more holistically, as part of their strategy to leverage the benefits across all areas of the business.”
Key highlights from the report with respect to Textile and Apparel sector in India:
– Rising middle class and increasing exports of Indian companies are the two primary megatrends that drive growth in the sector.
– 81 per cent of the industry leaders view that increased spending of the middle-class on apparel will have an impact on the sector in the next ﬁve years
– Reskilling of employees was rated as a key initiative by 90 per cent of the industry players.
– The weaving and garmenting sub sector would continue to hire at a rate of 8-8.5 per cent year-on-year against a historical growth rate of 9-9.5 per cent to reach 40.7 million in 2022.
– 45-55 per cent of the jobs in 2022 would require new skill sets.
– Some of the potential new job roles in the sector include environment specialist, apparel data analyst/scientist, PLC maintenance specialist, IT process engineer and E-textiles specialist.
– Some of the threatened job roles in the textiles and apparel sector include helper/ material handler, packer, checker, and folder.
Key highlights with respect to both Retail and Textile & Apparel sector in India:
– By 2022, 5-10 per cent of Indian workforce in the Retail sector would be deployed in new jobs that do not exist today; similarly 5-10 per cent in the Textile and Apparel sector
– For 2017, 15-20 per cent in Retail sector and 15-20 per cent in Textile and Apparel sector will face an existential threat to their jobs owing to the evolution of new job roles.
Appendix 1: The following trends were identiﬁed by respondents to have an impact on the retail sector in the next ﬁve years:
Appendix 2: Key initiatives by industry players in the retail sector:
Appendix 3: Changed job scenarios in 2022 in food and grocery sub sector:
Appendix 4: Changing job roles in the retail sector
Appendix 5: The following trends were identiﬁed by respondents to have an impact on the textile and apparel sector in the next ﬁve years:
Appendix 6: Changed job scenario in 2022 in textiles and apparel sector
Appendix 7: Changing job roles in the textiles and apparel sector