The Indian information technology (IT) sector has recently witnessed a dip in hiring, hitting IT training companies as well.

However, a new study by the Indian Staffing Federation (ISF) suggests that the sector would see a 20 per cent increase in hiring of temporary workers a year.

The flexi-staffing industry in India is estimated to touch $950 million this year, while the global industry stands at $180 billion.

In India, the staffing industry has witnessed high resistance, given the preference for permanent employees among employers. Moreover, in India, temp workers are also not paid at par with permanent employees.

However, IT companies are now beginning to bridge the gap in the workforce with temp workers “to beat margin pressures, maintain lean benches and also facilitate just-in-time hiring in a highly volatile market,” K. Pandia Rajan, President, ISF, said in a release. Rituparna Chakraborty, Vice-President, ISF, said among the Asian countries, India had the highest potential in the flexi-staffing industry, given the sheer size of flexi-staff deployed in the formal sector.

According to ISF, about 10 per cent of the overall workforce in India could be employed in the flexible capacity by 2025. IT staffing alone accounts for 66 per cent by value and 35 per cent by volume of the entire staffing industry and is the fastest growing segment. By 2020, temp staffing in the IT sector could increase to 20 per cent from 10 per cent currently.

aesha.datta@thehindu.co.in

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