Delhi, December 19, 2024: TeamLease Services, India’s leading staffing solutions company revolutionizing employment and workforce dynamics, successfully hosted a leadership roundtable discussion titled ‘Decoding People Supply Chain’ in Delhi. The event, spearheaded by Subburathinam P, COO of TeamLease, brought together industry leaders, HR experts, and business strategists to discuss critical challenges and opportunities in workforce management amid a rapidly evolving economic landscape.
The discussion addressed pressing global challenges such as layoffs, the Great Resignation, supply chain disruptions, and rising attrition rates, particularly among Gen Z employees. The conversation also focused on India’s unique position as the fifth-largest economy globally while grappling with a low per capita income of only $2,730 annually and a predominantly informal workforce. The panel highlighted the bright spot India represents with its aspiration to achieve a $35 trillion economy and $18,000 per capita income by 2047. However, these goals are juxtaposed with workforce challenges, including the fact that of India’s nearly 59 crore active workforce, only 11.4 crore are employed in formal sectors.
Attrition emerged as a key concern, with entry-level roles experiencing an attrition rate of 40-50% in industries, including automobile, industrial & engineering, construction, and telecom, resulting in productivity losses of up to 1.5 months per replacement. Companies also face significant financial challenges, spending 8-10% of total workforce costs on backfilling positions and an opportunity cost of 10% of total revenue lost due to attrition. Panellists identified solutions such as focusing on essential skills during recruitment, offering structured career progression plans, and fostering retention through initiatives like buddy programs, gamified incentives, and internship pipelines that provide continuous access to fresh talent.
The roundtable also highlighted the importance of adapting to generational shifts, particularly the entry of Gen Z & Gen A into the workforce. With the median age of Indians at around 28 years, this demographic demands career flexibility, clear growth paths, and well-being initiatives. Technology-driven changes like generative AI were noted as transformative factors, requiring organizations to invest in upskilling and fostering cross-functional expertise.
Subburathinam P, Chief Operating Officer, TeamLease Services, said, “India is poised to achieve its aspiration of a $35 trillion economy by 2047, but this requires overcoming key workforce challenges. Today, only a small portion of our active workforce is in the formal sector, and entry-level roles face high attrition rates. This leads to significant financial and productivity losses for businesses. To succeed, organizations must rethink their talent strategies, adopt innovative models like ‘buy-build-borrow,’ and focus on retaining and developing their workforce to unlock its full potential.”
As a symbolic gesture of sustainability and growth, a tree was planted for each participant, who also received a ‘Tree Certificate’ with a unique identification number. By bringing thought leaders together, TeamLease continues to lead the way in shaping the future of work and building a resilient workforce ecosystem.