TeamLease Services, an Indian staffing solutions company, has released its Employment Outlook Report for HY2 FY25, providing insights into workforce trends in the automotive sector.

Established in 2000, TeamLease Services is a recruitment and human resources services company headquartered in Bengaluru, Karnataka.

The automotive industry, which contributes approximately 7% to India's GDP, is witnessing significant hiring momentum driven by consumer demand, technological advancements, and an increasing focus on electric and connected vehicles. According to the report, 70% of employers in the sector plan to expand their workforce, indicating continued industry growth.

The report highlights a net employment change of 8.5% in the sector, attributed to increased production of electric vehicles (EVs) and advancements in vehicle technology. This has created a demand for specialised roles, including robotics experts, software engineers, and supply chain managers. However, workforce strategies vary across companies, with 17% of employers reducing their workforce and 13% maintaining current employment levels.

Regarding hiring locations, Chennai, Mumbai, and Delhi are the leading cities for workforce expansion in existing roles, with 63%, 62%, and 61% of employers, respectively, planning to hire. For new job opportunities, Gurgaon ranks highest, with 19% of employers considering expansion, followed by Mumbai, Indore, and Coimbatore, each at 15%.

The report further states that engineering roles account for the highest hiring intent at 66%, followed by sales at 60% and information and communication technology (ICT) roles at 56%. The increasing focus on EVs and smart vehicle technologies has driven demand for technical expertise in the sector.

Despite the rise in hiring activity, the report notes that 82% of employers are extending working hours to manage seasonal demand rather than solely increasing their workforce. This strategy reflects an effort to balance operational efficiency with workforce expansion.

Commenting on the findings, Subburathinam P., Chief Operating Officer at TeamLease Services, stated that the automotive sector is evolving with the advancement of EVs, connected vehicles, and premium models. He noted that companies are investing in specialised skills such as IoT, AI, and analytics while also optimising existing resources to remain competitive.

With changing consumer preferences and rising disposable incomes, the report suggests that the automotive sector will continue to support economic growth and employment opportunities in India.