The 2023 Frontline Index Report from BetterPlace reveals a significant drop in frontline job creation, down by 17.5 percent compared to the previous fiscal year (FY22). This decline has resulted in only 6.6 million new jobs being generated, compared to the 8 million created in the previous year. The report also highlights a concerning increase in the average monthly attrition rate, which has risen to 15 percent, while average salaries have declined by 4.5 percent throughout the year.

Pravin Agarwala, Co-Founder & CEO of BetterPlace, attributes the decline in job creation to investment cutbacks and slow economic growth. However, he anticipates a resurgence in hiring during the upcoming festive season.

The report highlights a slowdown in e-commerce sector hiring due to reduced demand and funding constraints. The state of Karnataka has also overtaken Maharashtra as the top contributor to frontline worker supply, which is a noteworthy shift.

Agarwala explains that many companies are prioritising profitability, leading to cost-cutting measures, including salary reductions. He expects this trend to persist over the next 12-18 months.

Additionally, Ruchir Arora, Co-Founder & CEO of CollegeDekho, discussed the company's future following its acquisition of ImaginXP, a Jaipur-based startup specialising in content and curriculum delivery services. With this acquisition, CollegeDekho aims to offer a comprehensive range of services, including enrolment, curriculum development, content delivery, and career services, to both universities and students. The goal is to bridge the employability skills gap and equip students with the skills necessary for job readiness.

Watch accompanying video for entire discussion.

(Edited by : Anushka Sharma)

First Published:Sept 29, 2023 10:20 PM IST