Delhi, 1st May, 2024: A recent analysis conducted by TeamLease Services highlights a notable increase in employment demand within the retail lending sector in BFSI, particularly in Tier II and Tier III markets. The analysis, based on data from the firm’s top clients, totalling a base of over 45,000 temp employees, underscores a significant trend in the industry.
Over the past two financial years, the retail lending sector, which includes Personal Loan, Home Loan, Credit Cards and Micro Financing has exhibited remarkable growth, with a 29% increase in overall employment figures. Notably, the Tier II and Tier III segments have witnessed substantial growth rates of 21% and 26%, respectively, YoY between FY23 and FY24. This surge in employment demand reflects the expanding footprint of retail lending institutions in non-metro and semi-urban areas.
| Percentage Increase | |||||
| Row Labels | FY22 | FY23 | FY24 | YoY Growth Between FY22 and FY23 |
YoY Growth
Between |
| Tier I | 12,018 | 12,600 | 13,725 | 5% | 9% |
| Tier II | 9,348 | 10,148 | 12,264 | 9% | 21% |
| Tier III | 14,628 | 14,988 | 20,367 | 2% | 26% |
| Grand Total | 35,994 | 37,736 | 46,356 | 5% | 23% |
Top Tier 2 and Tier 3 cities which are driving workforce demand
| Tier II | Tier III |
| Jaipur | Patiala |
| Chandigarh | Bhatinda |
| Coimbatore | Meerut |
| Surat | Jamnagar |
| Ludhiana | Yamunanagar |
| Indore | Trichy |
| Amritsar | Hassan |
| Mysore | Kota |
| Nagpur | Aurangabad |
| Vizag | Rohtak |
“This data sheds light on the evolving dynamics of the retail lending industry, particularly in Tier II and Tier III markets,” stated Krishnendu Chatterjee, VP and business head – BFSI, TeamLease Services. “With employment demand soaring by 29% over the past two financial years, underscores the urgent need for skilled professionals to fuel the growth engine of the retail lending industry.”
Teamlease anticipates that this trend will persist in the current fiscal year as retail lending institutions continue to prioritize market penetration and customer outreach strategies in emerging markets.
Disclaimer/Disclaimer: This press release serves for informational purposes only and does not constitute professional advice. Any reliance on the information provided is at the reader’s discretion.