E-commerce Sector Adds 15.8 Million Jobs, Including 3.5 Million for Women

New Delhi, Aug 22 (KNN) In a report released Wednesday, the e-commerce sector has emerged as a powerhouse for job creation in India, generating a staggering 15.8 million jobs, including 3.5 million for women.

The study, titled "Assessing the Net Impact of e-Commerce on Employment and Consumer Welfare in India," was unveiled by Commerce and Industry Minister Piyush Goyal.

Conducted by the Delhi-based Pahle India Foundation (PIF), the research paints a vivid picture of e-commerce's transformative impact on India's retail ecosystem.

With approximately 1.76 million retail enterprises now participating in e-commerce activities, the sector is reshaping employment patterns and consumer behavior across the nation.

The employment boost brought about by e-commerce is particularly noteworthy. Online vendors employ 54 per cent more people than their offline counterparts, with nearly double the number of female employees. This significant increase in job opportunities is not limited to a single skill level.

The e-commerce boom has created jobs across various skill levels, from high-skilled roles in management and marketing to medium-skilled positions in customer service and operations, and low-skilled jobs in warehousing and logistics.

The impact of e-commerce on business growth is equally impressive. According to the report, 60 per cent of vendors reported increased sales, while 52 per cent noted higher profits since going online.

This positive shift in business performance extends beyond just sales and profits, with vendors experiencing improvements in various aspects of their operations since embracing e-commerce.

Interestingly, the e-commerce revolution is not confined to major urban centers. The study reveals that e-commerce is penetrating tier 3 cities, with consumers in these areas showing robust online spending habits. In fact, a higher percentage of Tier 3 city consumers spend more than Rs 5,000 per month on online shopping compared to consumers from bigger cities, highlighting the potential for e-commerce to drive economic growth in smaller urban areas.

Consumer engagement with e-commerce platforms is also on the rise. Over 50 per cent of survey respondents spend more than two hours weekly on e-commerce platforms, with 70 per cent making purchases in the last month alone.

This high level of engagement indicates a significant shift in consumer behavior, with more Indians embracing online shopping for its convenience, product variety, and accessibility.

Former NITI Aayog Vice Chairman Rajiv Kumar hailed e-commerce as a revolutionary force in India's retail landscape. Meanwhile, Saurabh Garg, Secretary of the Ministry of Statistics and Programme Implementation, praised government initiatives for expanding digital infrastructure, facilitating e-commerce growth.

This report underscores e-commerce's role not just as a job creator, but as a catalyst for economic inclusion, particularly for women and entrepreneurs in smaller cities. As India continues its digital transformation, the e-commerce sector stands poised to play an increasingly pivotal role in shaping the nation's economic future.

(KNN Bureau)