A recent report by e-commerce major Snapdeal and KPMG said that E-tail and allied ecosystem (logistics, warehousing, IT, ITeS) in India is expected to create direct employment for around 1.45 million workforce by 2021.
According to the report, logistics and warehousing sector is expected to be the largest contributor (approximately 55 per cent) to direct employment opportunities in e-tail.
Titled Impact of ‘E-commerce on Employment in India’, the study focuses on the role of e-tail in socio-economic development, outlining the alignment of measures with key Government initiatives like Make in India, Digital India, Start-up India and Skilling India, among others.
The study also outlines the potential challenges and shares recommendations on the different roles that various participants like the Government, industry bodies and e-commerce companies themselves can play in building more employment avenues and up-skilling.
The study further added that e-commerce is improving the socio-economic environment in India and e-tail is expected to add 0.4 million high-skilled jobs by 2021.
Speaking at the release of the report, Co-founder and CEO, Snapdeal, Kunal Bahl, said, “The impact of e-commerce industry on the entire employment landscape has been the most exciting part of India’s digital growth story, and yet often the least spoken about. Through this report, we aim to highlight how the industry is generating direct and indirect jobs in core and associated industries, creating entrepreneurship opportunities in the deepest pockets of India and how it is influencing the socio-economic fabric of the country for a more balanced development. We felt the need to conduct a systematic study to identify opportunities and challenges, that will further build models and skill sets to foster a mature, sustainable employment avenue. Our entrepreneurial culture and initiatives play a pivotal role in up-skilling our workforce for addressing the consumption needs of India.”
The report also said that the 70 percent of the online sellers are expected to come from smaller towns by 2018-19. And 20 per cent of the total online sellers today are women.
“With innovation and mobile e-commerce leading the way, this industry also looks to propel growth and generate abundant demand for IT/ITeS professionals in the years to come,” CEO, KPMG India, Richard Rekhy said.
This report is part of a series of initiatives that Snapdeal has undertaken to build wider understanding about the evolving e-commerce landscape, and its seen and unseen impact on the country’s economy.
This follows a previous study by KPMG, Impact of E-commerce on SMEs in India, which focused on creating an ecosystem for MSMEs and leveraging e-commerce for their growth.