Contractual Hiring Witnesses Growth at 15% CAGR Since 2022: Reveals Careernet Report
A recent research by Careernet, India’s leading talent solutions provider, on the ‘Contractual Hiring Trends in India,’ suggests that contractual jobs have been growing at a strong 15% CAGR since 2022. The comprehensive research highlights the outlook of India’s contractual hiring landscape while shedding light on the factors driving its consistent growth. The report highlights an even bigger leap of 20–25% in 2024 compared to the preceding year.
Delving into sector-specific data, the study found that Offshoring services companies continue to employ the largest share (around 55% of all contractual employees in IT Staffing vertical) about 30% with GCC and remaining 15% with domestic conglomerates & startups.
Careernet unveiled that role in the software development Discipline, in areas such as backend, full stack/Java, .NET, frontend will make up for the 50% of the flexible labour market for technology professionals. And the remaining 50% will be other roles such as ERP, Analytics, Testing and System/NW Administration by the end of 2024. And Automation testing, .NET and Java are the frontrunner as far as the demand is concerned.
Careernet’s research reveals the factors driving the demand for contractual hiring in India. It suggests that in a volatile business landscape, a lack of long-term visibility has led to increased contractual hiring. With this model, companies optimise costs by reducing permanent roles in their global operational setups. With more GCCs driving demand, the acceptance of contractual jobs is on the rise. Flexi hires can immediately bolster projects by accelerating the hiring process and plugging skill gaps.
Speaking on the state of contractual hiring in India, Anshuman Das, CEO and Co-founder of Careernet, said, “The upward trend in contractual hiring can be attributed to the shifting market dynamics and the changing nature of jobs. Companies are hiring talent with specialised skills for specific job roles to benefit from their expertise without the need for extensive training. The trend has been extremely beneficial to foreign companies and GCCs operating in the country, as contractual hiring gives them access to a huge pool of diverse talent while maintaining a lean workforce.”
About Careernet
Careernet is India’s leading talent solutions provider. Founded in 1999, the company’s mission is to shape the careers of talented professionals and scale the teams of organisations. We help companies acquire the best talent by making their recruitment experience seamless with technological innovations. We offer a comprehensive suite of talent solutions, some of the prominent ones being Recruitment Process Outsourcing, Permanent Hiring, Professional Staffing, Leadership Hiring, Diversity and Inclusion, Digital First Hiring, Talent Branding, Research and Consulting, Premium Hiring, and Career Transitions. Today, Careernet serves over 1,000 active clients across 3 business brands and has more than 2,000 employees with dedicated offices in multiple locations across the country.
