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Logistics workforce in demand again

“As consumer demand rebounds after subdued buying behaviour in the past few years, many companies are offering perks and higher compensations to retain talent.
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The sector is likely to recruit nearly 3,00,000-4,00,000 workers between August and November, according to Randstad. “As consumer demand rebounds after subdued buying behaviour in the past few years, many companies are offering perks and higher compensations to retain talent,” said Yeshab Giri, chief commercial officer, Staffing & Randstad Technologies, Randstad India.

Tides seem to have turned for people engaged in industries like logistics, ecommerce and warehousing as the need for talent for doorstep delivery and related functions has overtaken the supply fuelled by a robust economic recovery. This not only is resulting in a potential pay rise but also in festive-season benefits, according to experts at recruitment services and staffing firms like Quess, CIEL HR and Randstad.

Stating that they are observing a new trend this year where companies are offering joining and retention bonuses for roles of in-shop demonstrators, operations and supply chain, Aditya Misra, chief executive, CIEL HR, said these incentives are not statutory payments.

These are aimed at attracting and retaining employees until the end of the contract so that continuity is maximised, he told Economic Times. The incentives range from 30 per cent to 60 per cent of the monthly take-home salaries of such employees.

Bonuses and incentives

In view of the demand for talent, e-commerce major Flipkart is planning to give festival bonuses to its supply chain workforce this year, according to a spokesperson. “We offer bonuses and incentives to new employees who stay with the organisation for a specific time period and reward and recognise high performers during the festive season,” the Flipkart spokesperson said.

Likewise, Ecom Express is also working out lucrative incentive schemes to attract talent and drive retention while boosting productivity, its chief strategy officer Ashish Sikka shared. The company plans to hire close to 55,000 people across last mile, hubs, fulfilment and sort centres this year. “We see a rise in hiring by about 35 per cent over last year,” said Sikka.

They are also focusing on hiring across regions, especially tier 3 and 4 cities.

Bonus or retention packages may come into play due to sudden spikes in hyperlocal and food-delivery segments beginning with the Durga Puja and extending through the rest of the festive season, opined Lohit Bhatia, President-Workforce Management, Quess Corp.

Jobs galore

Not just Ecom Express, but several e-commerce and logistics providers have reported a 25-30 per cent on-year jump in compensation through bonuses and incentives, said Yeshab Giri, chief commercial officer, Staffing & Randstad Technologies, Randstad India.

The sector is likely to recruit nearly 3,00,000-4,00,000 workers between August and November, according to Randstad. “As consumer demand rebounds after subdued buying behaviour in the past few years, many companies are offering perks and higher compensations to retain talent,” said Giri.

Quess Corp also expects record hiring of seasonal workers this year with hiring initiatives expected to offer up to 60 per cent jobs in non-metros alone this year. “We expect the season to be better than the past three years across the key portfolios of retail, FMCG, FMCD, ecommerce and logistics,” said Bhatia. The number of people engaged across ecommerce, logistics, supply chain and warehousing segments is set to rise on the back of addition of new customers and expansion of geographic web-commerce coverage to new locations.

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