Contract of 3 out of 4 flexi workers lasted more than 6 months in FY23

More than three out of four flexi workers had a contract that lasted more than 6 months in the financial year 2023 (FY23), leading workers to remain gainfully employed for a large part of the year, in turn enhancing their skills and employability.

The share of flexi workers staying in a job for more than 6 months has increased to 78 per cent in FY23 from 71 per cent in FY22, the latest report released by the staffing firm Indian Staffing Federation (ISF) on Thursday showed. Meanwhile, the share of workers having a contract of more than 12 months also increased to 44 per cent in FY23 from 36 per cent last year.

The report titled ‘Flexi Employment Social Impact Report’ looked at the social impact of the flexi staffing industry on the temporary workforce in India and found that nearly two out of five flexi workers (38 per cent) received training and upskilling during their tenure as a flexi worker, thus greatly enhancing their career prospects and employability.

 “There has been a gradual shift towards slightly long-term contracts, evidently showing confidence in employment cycles through increase in the project’s duration towards 3 - 6 months from less than 3 months project,” said Lohit Bhatia, president, ISF.

Besides, the report also noted that there was an increase of 5 per cent in the share of flexi work as compared to other employment formats to 66 per cent from 61 per cent last year.

 “The growing trust in the flexible employment model underscores the positive perception and reliability that come with this format of employment, providing social security, continual employment opportunities, and upskilling for a significant number of workers. Formal staffing companies empower the contract/flexi workforce, elevating their economic mobility and the increasing adoption and use of flexible staffing solutions by both employers and employees underscore its effectiveness in meeting the ever-evolving needs of today’s labour markets,” added Bhatia.

However, the share of women in flexi employment dipped by 2 per cent in FY23 to 25 per cent from 27 per cent in FY22, as the flexibilities provided during the pandemic have been replaced and firms call for a return to the workplace.