India's Blue-Collar Hiring Trends In 2023 & Future of Work

Indeed, a leading global hiring and matching platform is introducing the 2nd edition of its Blue-Collar Hiring Tracker (BHT), unveiling noteworthy trends in India’s blue-collar job market in 2023 and the outlook for 2024. By providing curated data-driven insights, this report is a valuable resource for informed decision-making among corporations, employers and aspiring blue-collar job seekers. 

The blue-collar workforce saw a rise of 7.40 per cent in hiring in 2023. Logistics, construction and real estate, and tourism and hospitality emerged as the top sectors for lucrative job opportunities. Kolkata emerged as the leading metro city showing growth in hiring. Following closely behind, Pune and Chandigarh have emerged as the top-tier 2 cities displaying substantial progress in employment opportunities. Several factors, including the growth of SMBs, urbanisation, infrastructure development, expansion of the service sector, and a cost-effective labour market, are contributing to the thriving job growth in these cities. 

Top Sectors and Cities | Percentage Growth 

In 2023, blue-collar employers looked for GenZ talent, while white-collar sought millennial candidates: 49 per cent of blue-collar employers leaned towards hiring GenZ candidates (aged below 26), while 41 per cent of white-collar employers sought out millennial recruits (aged 27-41). The inclination displayed by blue-collar employers could be in response to rising automation and the resultant requirement of a digital-savvy workforce. At the same time, a younger workforce is also more adept at manually heavy tasks due to their higher physical endurance. Both digital literacy (27 per cent) and physical strength (83 per cent) are also among the primary hard and soft skills that employers aspire for while hiring. Conversely, the preference for millennial recruits by white-collar employers suggests a nuanced approach to tasks that may require experience and refined skill sets. 

Desired skill set: Other hard skills that employers prioritize include driving (53 per cent), knowledge and operation of machines equipment (33 per cent), while soft skills include teamwork (79 per cent) and communication (79 per cent). 

The top 3 sectors that exhibited significant hiring trends including logistics, construction and real estate, and tourism and hospitality, also had teamwork and communication emerging as the foremost skills essential for successful work execution and collaboration.

Entry-level positions experienced the highest volume of hiring: 2023 presented a promising landscape for newcomers as employers hired the most for entry-level positions. Employers across industries are showing interest in recruiting individuals who are at the initial stages of their career journeys thus indicating that individuals with different skill sets and educational backgrounds have avenues for employment. This investment might indicate a proactive approach to securing and training future professionals and skilled workers within their respective industries.

Employers are ready to embrace Next-Generation Technologies: The survey findings also show that employers are ready to embrace next-generation technologies. While 42 per cent of the employers indicated their interest in commencing integration with AI by taking small steps in 2024, 19 per cent of the employers conveyed that they have already put them into effect. This transition towards technological adaptation signifies that a substantial proportion of employers are increasingly leveraging AI's capabilities to streamline processes, increase efficiency, and innovate in their respective fields.

Regarding the findings, Sashi Kumar, Head of Sales at Indeed India, stated “2023 showcased substantial hiring growth, especially in tier-2 cities. Looking to 2024, organizations embracing new tech emphasize the need for upskilling among job seekers for a brighter future.”