- 71% of the flexi workforce is under 30, showing a youth preference for project-based jobs
- Women’s share at 25%, below the national average of 34%
- Karnataka, Haryana, and Maharashtra lead; Tier 2-3 cities emerging as hubs
A new study by the Indian Staffing Federation (ISF) has revealed a generational shift in India’s job market, with 71% of the country’s flexi workforce under the age of 30, underscoring young professionals’ growing preference for fixed-term contracts and project-based roles. However, women account for only 25% of this workforce, compared to the national average of 34%, a gap attributed to the prevalence of male-dominated roles in sectors such as logistics, automotive, and IT that are increasingly adopting flexible staffing models.
The report, The Indian Flexi Staffing Industry 2025: Sectoral & State Analysis, says that the projected steady growth for the sector, with the flexi workforce expected to rise from 7.23 million in FY25 to 8.09 million in FY26 and further to 9.16 million by FY27, reflecting a CAGR of 12.6%. Revenue from formal flexi staffing is forecast to climb from Rs 1.9 lakh crore at present to Rs 2.2 lakh crore in FY26, with additional expansion likely to generate Rs 68,000 crore in revenue by FY27. The study attributed this momentum to rising demand across high-growth industries and the accelerating shift of companies toward flexible work models.
Lohit Bhatia, President of the Indian Staffing Federation, noted that the flexi-staffing trend is gaining momentum with the growing pool of skilled labor in Tier 2 and 3 cities, such as Coimbatore, Mysuru, Salem, Hosur, Indore, Bhopal, Noida, Kanpur, Surat, and Vadodara. Karnataka leads the adoption of flexible employment, with 24% of its formal workforce engaged in flexi roles, followed by Haryana at 16% and Maharashtra at 15%. On the revenue front, Maharashtra (Rs 41,204 crore), Karnataka (Rs 32,423 crore), and Tamil Nadu (Rs 15,703 crore) together contribute 47% of the industry’s turnover, driven largely by sectors such as IT, BFSI, automotive, and ITeS. Overall, five states, Maharashtra, Karnataka, Uttar Pradesh, Tamil Nadu, and Telangana, dominate the flexi staffing landscape.
The report further added that the flexi workforce will continue to expand over the next five years, fueled by seasonal demand in sectors like e-commerce, retail, and hospitality, alongside sustained growth in IT, manufacturing, and allied industries. Companies are increasingly relying on temporary staff to manage peak workloads and short-term projects, while formal staffing is also shifting into specialized roles and expanding beyond metropolitan areas into emerging cities.
