Lohit Bhatia: Very good afternoon. This is Lohit Bhatia from India and I am speaking on behalf of the World Staffing Summit here 2022. Love to be here and talk to all of you virtually though in the current context of COVID the world over, this is the new normal, and this is how most of the events have brought people together.
Lohit Bhatia: I hope that in the next one you get a context of what's happening in India, in the Indian Staffing space. Where would India primarily go after this? As far as staffing is concerned. What do we see might happen in the next one decade, as far as India and staffing is concerned. What are some of the key policy measures, which have given us the benefit of where Indian staffing has reached in the last 10 years and where is it expected to be in the next 10?
Lohit Bhatia: And what would be those policy measures, which would impact aid and help the growth of the staffing industry. But before I begin. A very brief introduction. As I said, my name is Lohit Bhatia . I represent the workforce management platform for Quest Crop Limited as the President. However, I'm talking to you too today as the president of the Indian Staffing Federation, the Federation, which was born and started 10 years ago.
Lohit Bhatia: We in fact very recently had the opportunity to have a physical event in New Delhi in India to commemorate our 10th anniversary celebration. And all our 100 plus members, the government, the policy makers and the industry at large were present at the gathering in the last 10 years. Indian Staffing Federation has come a long way from where Indian Staffing Federation was.
Lohit Bhatia: It was born 10 years ago with just six members and barely 30,000 associate employees deployed to customers. Today the Indian Staffing Federation. Is 1.15 million associates deployed with our customers and over a 100 members. So if you see the last 10 years of the Indian Staffing Federation, the growth is 30 times from where it had begun.
Lohit Bhatia: Rather now, more than 30 times today, I want to take you through some of the benefits and some of the advantages of the Staffing industry as far as India is concerned. Let me just pull up a small little brief presentation that I've put together for all of you.
Lohit Bhatia: I hope this is visible and all of you can hear me loud and clear as well.
Lohit Bhatia: So as I was mentioning, Indian Staffing Federation is the only representative body that speaks about the outsourcing manpower industry, the tripartite outsourcing manpower industry in India. And we've been there for 10 years. Today, there are 100+ members. Not only to bring about the best of talent, which is available to our customers, but they also increase the immediate impact to society.
Lohit Bhatia: What do I mean by this 100 plus members by giving over 1.1 million workforce and associates who are 60,000 plus user companies and clients in India today, ensure that fiction is removed. From anything that we are doing mobilization of talent, right? Sizing of talent, given the geographies, given the impact of seasonalities, given the impact of the different industries as required from time to time, ensuring that the people are on boarded at a rapid pace as required by the user companies and to ensure that they are compliant.
Lohit Bhatia: To ensure that at all times the government benefits that have to be given to the associate employees, reach out to them to ensure that the payroll and the other statutory benefits are processed well. We also, as Indian staffing Federation and Indian staffing industry, ensure that we manage these over 60,000 customers of ours.
Lohit Bhatia: And provide them an impactful workforce from time to time. This is not just general Staffing. My India Indian Staffing Federation today is both for General Staffing, IT and Professional Staffing today by one estimate by one of the leading investment banking houses in India. Very recently articulated that this market, as far as the industry is concerned, is close to about $10 billion.
Lohit Bhatia: We'll give you an overall context as members of the Indian Staffing Federation. With 1.1 billion associate employees that are deployed with customers contribute nearly one fourth to one third of the entire Indian flexi Staffing industry itself is concerned. So what's the labor impact? As far as India is concerned.
Lohit Bhatia: Let me just give you some macro contexts. India is one of the most populous countries in the world. And I'm sure most of you on this call today and at this summit today are aware that India is the second most populous country of China at 1.3 plus billion people. And this also became very paramount as far as discussion is concerned when the vaccination drive was happening.
Lohit Bhatia: But at the same time, let me also tell you 1.65 billion vaccine doses have already been given in India. About 90 to 93% of our adult population has already received that one dose and nearly 75% of the adult population has already received the second dose as well. And it was not very long ago that India started vaccination.
Lohit Bhatia: It started only on 16th of January, 2020. So all of this accomplishment has been achieved by Indians and the Indian government, just in the matter of barely last year. Of this 1.3 billion people in India. We have a working age population and in India we define the working age population as people above the age of 18, who are adults and who can take gainful employment going right up to the age of 60.
Lohit Bhatia: So that's about 870 million. You must also remember another data point. As far as India is concerned, we have 1 million youth joining the workforce every month. That's 1 million Indians who come off the age of 18 years of age and start looking for employment while that's a large number. And we have a huge demographic dividend.
Lohit Bhatia: As far as the population is concerned. One of our challenges is the formalization of our employment and formalization of the economy. A few years ago, a research paper given by the government and also carried by WEC. And the other organizations showed that India was one of the poorest. When it came to informal employment and the informal economy.
Lohit Bhatia: We had barely 15% of our workforce in the formal economy. Just a few years ago, though, this has been climbing. It was just about 11% a decade back. But the situation here is that off that formal economy and formal employment. We had only 75 million Indians who were present and who were readily working in a formalized economy in a formalized employment, which means that they have the benefit of an offer letter.
Lohit Bhatia: They have an identity, they have a bank account in which they receive their remuneration and above all, they have social security coverages, and they have commitment from their immediate employer and from the government. All of that. If we see the employment can further be subdivided into permanent and temporary, as it's been done on this chart, within which the temporary staffing and further be divided into casual employment, but as we can call it daily gig and the other form of employments and fixed term contracts, which is what we would get, essentially when you have a contract later for the defined period and the defined benefits within that fixed term contract.
Lohit Bhatia: The tripartite flexi Staffing, which is what Indian Staffing Federation stands for, which is what we grow, which is what we facilitate is nearly 3.3 million. This is data dating back about 2018 and 19. During this, you would also notice, as I was mentioning sometime back our Indian Staffing Federation at a 100+members itself contributes close to a third of this at about 1.1 billion workforce.
Lohit Bhatia: Interestingly while the formal workforce has grown at a very temperate 2.7%. The formalization is growing faster at nearly 11%. And within that, the tripartite flexi staffing workforce is growing even higher at about 16%. So what this tells us is that as India grows as a nation in its population, And the number of people coming into the workforce increases, formalization will run faster than the growth of the population.
Lohit Bhatia: And further tripartite flexi staffing will grow the fastest among all these categories. Let's see what that would translate into. Say if we were to look out a decade, We were talking about what we saw in the last. So here we've done a comparison as far as India is concerned and the ability for Indian staffing into grow even further from a population at close to 1.3 plus billion people it's anticipated in the next 10 to 12 years, this population will come and rest somewhere at about 1.5 by 1.56 billion people.
Lohit Bhatia: It's also said that India's population thereafter will remain steady for a few years before it starts to decline. And the aging and the decline of a population may happen somewhere closer to 2050. So this also tells us that India as a nation has a demographic benefit and a dividend at least for the next 20 to 30 years.
Lohit Bhatia: So we have more people coming into the working age population. You know, again, notice that the working age population is going up from 870 to 1,282 million. And likewise, the labor force is almost doubling from 493 to about 876 million. If we take the workforce participation rate in India and we extrapolate the same to continue.
Lohit Bhatia: Then the workforce participation from about 463 million will go up to about 785 million by the end of this decade in 2030. And as I mentioned in the previous slide as well, formally is now growing faster than the informal economy. And I pick a few ones as to why that's happened in the past and why it will continue into the future.
Lohit Bhatia: So we are expecting the formal employment to grow from 257 million to 580 million. And within which the temporary staffing is growing faster than permanent employment. And within that, the fixed term employment and tripartite, as I was mentioning growing at about 16.3%, if you filter this down, what it tells us is if we were 3.3 million as Researched in 2018, we will be close to 20 million or nearly six times the size in this industry in 2030.
Lohit Bhatia: Today. If the anticipated estimated value of this industry is close to $10 billion, we can safely assume that even without wage inflation, which I'm sure you all agree in India, there's a huge wage inflation. And world over as well because of the great resignation. There's wage inflation. This will become an estimated $60 billion of industry.
Lohit Bhatia: Let me also tell you currently at about three and a half to 4 million temporary staffing and six, $10 billion of industry sizing, we don't rank in the top 15 in the SIA report or the world employment Confederation report, but in our volume of people and pretty staffed right about eight at about 4 million people already ranked in the top five.
Lohit Bhatia: So if India were to go to the 20 million mark, as far as volume is concerned, there will be no doubts that India will be one among the top two industrial nations or developed nations, which would have the size of 20 million people. As far as tripartite staffing is concerned. So for anybody in this business, who's looking at India or who's already in India, as a staffing company will find that this is an industry which is growing and growing rapidly.
Lohit Bhatia: Let me take a few minutes to talk about what has happened in the last two years. All of us have been speaking about COVID and its impact just like the rest of the world. We also have gone through three waves of COVID. The first wave of COVID came in 2020 early part, which was in March and thereafter into the summer.
Lohit Bhatia: The second part of COVID wave came with the Delta wave, which again, started in March of 21 and went on till may and June of 2021. India runs a calendar of April to March. So this time as we go through the third way of the omicrone, We are in our fourth quarter of this financial year, 21 and 22. If you look at the initial part of the impact of COVID, it was sudden, and there was a sharp reduction.
Lohit Bhatia: In fact, if you see the chart on the right, you will realize that on March 20, when the Indian staffing Federation and our members put together what a little over a million workforce deployed with customers. There was a sharp reduction and we had shrunk below the 950,000 a month, almost losing over a 100 thousand people in the process.
Lohit Bhatia: During this period, it took about two quarters for the recovery to start happening. However, from quarter two of 2021, there was a steady recovery. Initially with one then with four and a half, and then eventually with five and a half percent of growth, the quarter four of last year, which is January, February and March of the year 2021 was one of the best.
Lohit Bhatia: As far as the Indian staffing industry is concerned. And we created a new high of 1.1 billion people. This growth rate in the current year as the Delta wave came in the first quarter, which is April, May, June of 2021, about nine months ago, saw that there was a reduction in the growth of the industry.
Lohit Bhatia: However, it did not go into a declining trend. This is very important, everyone out there, why this is important is because the difference between the first wave and the second wave were in the first wave, not only the number of heads reduced, but there was a decline or a degrowth in the industry. From its base pre COVID.
Lohit Bhatia: However, as far as the second wave is concerned, while there was a decline, it continued to be overall a growth in the industry itself, though at a lower rate of growth from 5.4 or 4.7% in the previous quarters to a modest 2%. The point I'm trying to make is that by the time we came into the second wave, which is the start of this financial year.
Lohit Bhatia: Last year, which is in April, 2021, the recognition of the customers, the recognition of the industry out there was very clear that staffing is an integral part of employment, and it is best suited to use staffing as your growth lever. Whenever you have to come out of a recessionary segmentation, the industry also realizes.
Lohit Bhatia: That staffing industry can provide them with immediate solutions to their manpower needs and manpower requirements. Be it startups, be it manufacturing, be it consumer durables, Retail, BFSI or any other industry out there. The customers realized that for them to hedge their cost, it was better to grow here.
Lohit Bhatia: On the Staffing roles rather than on permanent roles for their own entities or their own organizations, the customers realized that seasonality can be offset by the elements of choice that the staffing industry and the staffing employees give. They're going to have shorter term assignments, 3, 6, 9, or 12 months, and that enables the customer.
Lohit Bhatia: To have a balance of what they need and when they need, if I look at the quarter two, which went by on 30th, September, 2021, the recovery was phenomenal. This is also part of what we call the start off India season, August, September onwards. We have our various festival seasons and that continues. Right into the Dasara, Diwali, eid before that.
Lohit Bhatia: And we have Christmas thereafter. So quarter two is like the start of the period, the July, August, September period. When the company starts to invest in people because they are in anticipation of higher sales and higher growth in the months ahead leading up to December for every calendar year. So you would, that is why you would find that the Q2 2122 results were one of the best.
Lohit Bhatia: And that's how our industry Indian Staffing Federation finally crossed a new milestone of 1.15 millions flexi workers deployed to our customers. We are yet to do the finalization of our data for Q3. I wish I had that data readily available to share with all of you that would be available in about a month's time.
Lohit Bhatia: For the quarter ended 31st, December, 2021. So what are some of the elements which created and caused this growth? In the last few years, some of the situations in India have been very radical and the policy measures taken have demonstrated that India is ready as an alternative to any other country in the world when it comes to manufacturing.
Lohit Bhatia: When it comes to supply chain when it comes to strong domestic, as well as export oriented market functioning. So one of the things that the government of India announced was the goods and services as reform.. We had many different forms of taxation in India, starting from what manufacturing companies used to pay back used to be excised.
Lohit Bhatia: What services companies used to pay used to be solid stacks. What trading community used to pay used to be valued or value added tax or sales tax and OC dry and the others. All of them created a multitude of taxation. And it created an element whereby one form of tax could not be sent vetted against another form of tax.
Lohit Bhatia: And as a result, this was a learning of tax of sorts. If you could, India moved in 2018 to goods and services tax, it ranges anywhere from 0% for absolutely basic. Commodities, which are day-to-day food items, are in the 0%. Then there is 5, 12, 18, and then there is a threshold for commodities, which are supposedly not good for consumption, which are at a much accelerated rate of GST.
Lohit Bhatia: If you look at the GST, the biggest advantage that it gives is that if you receive an input credit, as far as GST is concerned, you can offset it and send it back against the GST that is payable. So what you take as your suppliers becomes your important, what you charge to your customers is your output and you have to pay only the differential between the two.
Lohit Bhatia: The biggest advantages to the staffing industry was also equally part of the GST. Dual kept at a higher rate at 18% in Indian Staffing Federation. Is working very closely with the government to try and see if this can be brought down to more meaningful numbers of 12 or 5% because employment generation is definitely a good mechanism to have to further the development of any society or any country.
Lohit Bhatia: And for us to be able to do that, we must bring down the taxation rates in the employment generation industry, but overall GST has been. Fixed on contract extension was primarily erstwhile given only for a few specific segments of our industries, expanding it across the board as broadened the possibility and the horizon for OnTrack staffing companies and the flexi Staffing workers, the skilling initiative, which the government started way back in 2014.
Lohit Bhatia: And having an ability to skill and up-skill people who could be readily deployable at customer locations provided the staffing company with billions of youth, which is readily available to be deployed to customers. And that skilling initiative is under the ministry of skills in India. And it's called the skill India initiative mission.
Lohit Bhatia: We have the PFO EPF and the ESI CFO. Well, these are the key social security measures over the years, the ability to charge the customer for EFP as well as the ESIC deposit with the government and the treasury and for our labor and for our associate employees to get the benefits of this at the time of their retirements is one of the biggest benefits of social security.
Lohit Bhatia: I talk about in the next slide, how the government of India is trying to encourage industry to expand further when it comes to these social security reforms, in terms of the coverage of people. And as we go from, say, 15, 17% of formalized Staffing in India, to formalized employment in India, we will definitely find that the social security coverage will also grow.
Lohit Bhatia: India also had a very radical reform in 2016 called demonetization. I'm sure many of you would have heard about it. And this was the time when overnight multiple currency notes were demonetized by the government. In short, it meant that companies had to organize their business. If they were doing any economic transaction without having a real invoice to back it up.
Lohit Bhatia: Or without paying the taxes, which you need to necessarily pay for such transactions or services. The companies had no choice, but to follow suit and structure themselves again in a formalized and an organized manner. The maternity benefits reform, we changed our maternity act in India from three months to six months.
Lohit Bhatia: And the idea was to ensure. That more and more people get covered and they get the benefit of social security. Today, one of the other problems which plagues formal employment in India is the fact that we have less than 25% of women participation in our formalized work and women at about 49% in India.
Lohit Bhatia: If even 35% of women were to be in the workforce. That itself will mean millions of more people will join the workforce on a daily basis. And you would obviously understand that creates a huge economic benefit and a huge economic output. When millions of women who today are not working, I've gainfully brought back to the formal economy.
Lohit Bhatia: And one of the ways to do that was to extend the benefit of the maternity act from three to six months.
Lohit Bhatia: There was some of the very recent reforms, which are there in the current context and which will be there in the coming period while India saw the first and the second wave of COVID in 2020 and 2021, 1 of the things the government double down was on ensuring that they should create an environment whereby.
Lohit Bhatia: There is a huge impetus to our industry and our economy. The government launched Atma Nirbhar Bharat scheme one, two, and three in quick succession. I will not go into all of them, but the reason I touch upon them is because through them. What the government tried to do was to provide the industry the much needed support that it needed.
Lohit Bhatia: The government ensured that when it comes to the micro small medium enterprises, MSME enterprises there was fiscal support available to them, both in terms of equity and debt. The government ensured that the benefits that these industries were getting up to 500 million rupees will be enhanced reboot 2500 million rupees or 2.5 billion Indian rupees.
Lohit Bhatia: And he does, they could grow, but not lose the status of MSME or the benefits of MSME. The government ensured that in many cases, the ability to import goods into India hurdles were created for that. Whereas at the same time, export-oriented industry was given benefits. One of them during that period was the PLI scheme, which was brought about for Indian industry today, more than 16 manufacturing industries.
Lohit Bhatia: I get what is called production, linked incentive schemes. And by one calculation, it shows that the government is willing to embark over five lakh crore rupees as 5% of the subsidy support to the industry, which participates in this creates new manufacturing and builds the manufacturing ecosystem and delivers that output before 2030.
Lohit Bhatia: That means 40 lakh crore of additional investment has to come in and additional output has to happen. This could entail a creation of over 12 million direct jobs and nearly five times indirect jobs, as far as just from the PLI scheme that the government doesn't. If you look at the benefit that the government is trying to give in terms of other industries.
Lohit Bhatia: Like defense and manufacturing in India, like one of the lowest taxation rates in the world when it comes to new manufacturing setup today, Indian tax rates for new manufacturing that you start up in India is only 17%. One of the lowest in the world when it comes to manufacturing, et cetera is concerned.
Lohit Bhatia: And at the same time, the government also embarked on massive labor reform. One of the biggest was the last year our parliament approved and our president consented on the labor reforms. India has had over thousands of labor rules and acts, and we have 100s and thousands of registers to comply with every month and every year for any company to operate.
Lohit Bhatia: As far as India is concerned to bring them down. From 100s of rules and acts to just for labor, the central labor code was a bot breaking reform that the government of India announced last year and has already been approved by parliament. As we speak it's at the stage where the union government has already drafted and sent it to the states, we had effective structure.
Lohit Bhatia: So the states also need to ratify this, but once. See the light of day. What we will see is that the hurdle for compliance, the hurdle to be regulated and to submit your documentation would not be such that someone would not want to expand or grow their business. The most important thing is that with the labor reforms, the companies can necessarily.
Lohit Bhatia: More investment into India, grow from India, export from India, and also use the power of the 1.3 billion domestic consumers, as well as part of the labor reforms itself and other parts in reform for our ISF Indian Staffing Federation is the national license, which has been there for the five-year period.
Lohit Bhatia: The national license has allowed staffing companies. To apply for a one time five-year license instead of applying for a license for deploying their workforce with customers. Every time you start a new project, we'll give you an example. Let's say you were a national staffing company in India. Currently under the old reforms.
Lohit Bhatia: Every time a customer gives you a new deployment in a new region or a new area. You have no choice, but to go ahead and apply for a unique labor license and only after getting the labor license, can you start the deployment with the customer? And the mandate can begin with the national lays license, thousands of such different project wise labor licenses can be subsumed into.
Lohit Bhatia: And each organization can apply for one mega national license and for a period of five years, not having to renew it every year, this will take away the hurdle and the time and the cost and deployment of workforce can happen faster. Even if the deployment is for a seasonal period for a short duration, the increase focused on a pre-internship.
Lohit Bhatia: You must have heard a lot being said about the apprenticeship program. And one of the biggest challenges as far as India is concerned is we don't have an apprentice ecosystem like Germany or Japan has the kind of evolution that Germany has seen in the apprentice ecosystem automatically enables people after their high school to go into apprenticeship programs from there, get picked up as trainees for industries and for manufacture.
Lohit Bhatia: And then move on to staffing roles and eventually to permanent employment in those organizations, this part of the ecosystem has been a little weak, and that is something that the government is trying to work closely with the industry. It also helps that when people come out of their education, if their education, for some reason, is not keeping pace with what is expected of industry.
Lohit Bhatia: It helps bridge that gap by doing an apprenticeship with the industry on campus itself. So it's earned while you learn the program. If you look at the fiscal incentives that the government has given for startups, I spoke about what they've done for MSME earlier. The most important thing is providing fiscal incentives for starting.
Lohit Bhatia: You must've already seen that in the last year or so. India already had 42 plus unicorns and almost every week, there is a new unicorn in terms of the new fundraise and the valuations that the companies are getting today. Our startup ecosystem itself, employees, billions of youth, which is coming and working for them and expanding along with, I must also touch upon the fact that as part of a social security reform under the foreign labor.
Lohit Bhatia: The government of India is one of the first in the world to accept and bring the gig and the platform worker under social security code. It's a recognition that gig work can be a form of employment in the future today, by some estimates, India can possibly be claiming to have over 20 million gig workers.
Lohit Bhatia: Obviously some of the bigger ones are known to all of us. They are the food aggregating companies or the ride hailing or the taxi aggregating companies. As we know them, besides that there are many other gig and platform workers as well. The government has already articulated that one to 2% of the gross merchandising value of the platform, or up to a maximum of 5%.
Lohit Bhatia: As paid out to the gig worker on a monthly basis via contribution, which will go to a social security fund, which will be managed by the government. We are yet to see the fine print, but our understanding is that they will possibly cover disability, debt, accidental benefits, insurances, family support, in case any of the above.
Lohit Bhatia: And most importantly, skilling and training and development for these people. We wait for the outcome, but I think this is again about breaking the reform that India has already announced.
Lohit Bhatia: So as I come to the end of this presentation, I just wanted to call out a few more points too. I think the most important aspect, being that India with its benefit of demographic dividend, that we have India with the size of the economy and the GDP that we have nearly at about $3 trillion economy and going up to a $5 trillion economy soon, we'll definitely rely on staffing in a big, huge.
Lohit Bhatia: If you look at from the charts that I had shared five years ago, the Indian Staffing penetration to our overall workforce was a pile 3.3%. Last year, when we looked at that number, it had already doubled in five years. And it was at about 0.6, 6% of participation of Staffing in overall labor and employee.
Lohit Bhatia: We anticipate that by the time we are in 2030 and the Staffing industry becomes, let's say, 20 million workforce for the size of workforce. At that time, it would automatically mean that 2.2% will be the Staffing penetration of this industry in India. Why 2.2% may not mean much, but you have to see it in context that five years ago.
Lohit Bhatia: We were at 0.3% today, we are hovering at 0.6, 6% by 2030. If we can go to 2.2%, the Indian Staffing industry will have moved up four X or 400% in a period of almost a decade or more. This will also mirror the likes of Japan, Germany, Europe, and some of the developed world where staffing penetrations range, anywhere between two to 4%.
Lohit Bhatia: And India has been a laggard when it comes to adopting formal employment, specially adopting temporary staffing employment as a form of employment. So if you really look at it from that perspective, that's the kind of growth. The second important point that I want to leave you with is that in the last 30 years, you would notice that a dominant amount of work done by India is on its white collar.
Lohit Bhatia: ID workers and knowledge economy. The liberalization in India started way back in 1991 and 92. It's been 30 years since during this period a services sector has galloped and almost today contributes 62 60 3% of total contribution to GDP. What has not kept pace is the manufacturing sector. Accepts people readily from the gray and the blue collar workforce.
Lohit Bhatia: If you see the pyramid of India, as far as its workers are concerned at the base, we have a huge base of population, almost 350 million Indians, which are even today responsible for the agriculture output and the ruler economy of India. Then we've got the blue and the gray collar workers. Well, traditionally they are in construction, in manufacturing, in warehousing, in goods and transportations it logistics industries and above all in manufacturing and industries and above that is the services sector.
Lohit Bhatia: So when the services sector disproportionately contributes to the GDP at over 60%, it takes less than the number of people when it comes to employment. And it's employment contribution is barely 25%. So it's a lopsided graph. And logically that it contributes nearly two thirds of economic output, but takes only one fourth of the people in employment.
Lohit Bhatia: What needs to change is for India to be able to employ more people in the middle of the gross domestic. And that is the manufacturing and the industrial segment. And which is why all of these policy reforms that we were talking about will create an environment with the lowest tax rates in the world, as far as manufacturing is concerned, with a domestic market of almost 1.3 billion people and an economic size of almost 3 trillion going to 5 trillion economy that is.
Lohit Bhatia: The number of consumers that India has our book appetite GDP today coming to a point of threshold where consumerism expands multifold at 2,600, 2,800, it was dollars as the book appetite, GDP, the benefit that we will be able to create for all global companies that look at India in a big way in the timestamp.
Lohit Bhatia: We'll be in the middle of the grass domestic output, which has manufacturing and industries. And if this is the part which strengthens some of the reforms that I was also mentioning the labor code and the GST reforms and the others, you will notice that more and more people get absorbed in Staffing in this part of the ecosystem, beta princes being manufacturing and industry.
Lohit Bhatia: And if that were to happen, then the lopsided graph that got created that the top of the pyramid disproportionately has the maximum output, but uses the least number of people will start to get corrected. And the people from the farm, the rural India and rural economy can migrate into gray and blue collar workers into constructions, transportations goods and transportations warehouses.
Lohit Bhatia: Manufacturing. And then eventually a decade later, the next generation can move up to other forms of employment within the offering, every form of employment, be it permanent, temporary staffing, and gig. It also, again, becomes another interesting land where you have an opportunity to give people the choice of the future of.
Lohit Bhatia: So while we say that the future of work will entail all of these categories of work and employment, we must be able to give people that choice. So India provides that choice. You have permanent deployment, temporary employment and gig employment with that choice, which is available from India. The aspect of what people can choose for themselves can also have.
Lohit Bhatia: When we were doing one survey very recently, we realized the majority of the people who come to Indian Staffing Federation and to staffing companies in India are first time employees and they come and Staffing employees, they come straight out of their colleges or their high schools. We feel in the future.
Lohit Bhatia: A lot of youth could also choose to go and work for a platform company or. And then there will be a migration at some stage also from gig and platform companies to gainfully employed Staffing companies. And to ensure that they get a monthly remuneration. So people will have the flexibility to move between gig and a staffing platform.
Lohit Bhatia: What do I sell myself from Staffing back to gig as book, the convenience that they want and ask for that, that. And that will be the other big driver in above other big mover. So with that, I end today a little apologies for my throat today. If there's any questions happy to take from the audience if anybody wants to inbox, I can see the QA section.
Lohit Bhatia: And if there are any questions, happy to take.
Lohit Bhatia: I believe there's a chat box for each one of you. If you have any questions, you can put it in the Q and a.
Lohit Bhatia: So, thanks once again to the World Staffing Summit 2022 and to Candidate.ly thank you very much for having me here and thank you very much for allowing us. To present from the Indian Staffing Federation on this session. Thank you. You can keep inboxing us. If you have any questions, we'll be happy to send this across to you as well.
Lohit Bhatia: Thanks a lot. Bye-bye.