As India’s next sunshine sector, logistics is shedding its image as a stopgap employer and emerging as a bridge that connects aspirations across a rapidly transforming, diverse nation, asserts Deepesh Gupta.
The logistics industry in India is no longer just about moving goods; it is about creating millions of jobs, enabling digital innovation, and powering inclusive growth. With new highways, multimodal hubs, and digital supply chains getting created under reforms like PM Gati Shakti, and e-commerce and retail penetrating deeper into every corner of India, logistics is emerging as the country’s next sunshine sector. It’s an area that holds immense promise of inclusive employment and long-term growth.
Globally, logistics has been at the heart of economic competitiveness, whether in China’s export engine, the US retail backbone, or ASEAN’s manufacturing hubs. India is now catching up rapidly, with logistics positioned not just as a service but as a strategic enabler of the $5 trillion economy vision. A well-oiled logistics ecosystem is what connects producers to consumers, farmers to markets, and exporters to global supply chains.
With more than 22 million people already employed, spanning drivers, warehouse staff, delivery personnel, freight handlers, third-party logistics (3PL), and allied services, the sector is one of the nation’s fastest-growing employers. What stands out, however, is the pace of expansion. We see an average of 20,000 open mandates every month, which spikes to 150,000-200,000 during the festive season. Talent demand is rising by 20-25 per cent year-on-year, reflecting its resilience and sustained momentum.
This surge is particularly visible during festive seasons, when companies expand dark store operations, increase last-mile delivery fleets, and build up temporary warehouse capacity to meet consumer demand. Unlike traditional infra-linked sectors such as construction or aviation, logistics hiring shows far more agility and seasonality, making it a dynamic employment engine.
Yet another important dimension is the rise of gig work. Thousands of drivers and delivery executives today operate under platform models, and their gradual transition into formal employment marks a significant shift in the sector’s stability. It is estimated that nearly 20-25 per cent of gig-linked logistics roles will shift to formal contracts in the next three to five years, potentially impacting over 4.7-5.9 million workers directly and unlocking access to social security benefits and skill-building opportunities.
Force multipliers
Interestingly, several powerful forces are converging to make it a high-growth employment engine. The expansion of e-commerce, which already accounts for nearly 45 per cent of logistics-linked jobs, continues to push demand in warehousing, last-mile delivery, and reverse logistics with deeper penetration across markets. Retail and fast-moving consumer goods (FMCG) contribute another 30 per cent, deepening logistics penetration into tier-2 and tier-3 cities, and fuelling further employment.
Meanwhile, green logistics is opening up fresh avenues, with roles in EV fleet management, renewable-powered warehousing, and sustainable packaging to expand 20-35 per cent faster than baseline hiring. This segment alone is projected to generate 250,000 new-age jobs over the next five years. Alongside this, policy interventions such as Gati Shakti, multimodal hubs, and Production Linked Incentive (PLI) schemes are formalising the sector, while digitalisation and automation in verticals across warehouse management systems to supply chain analytics are generating demand for a new class of digitally skilled professionals.
Beyond this, we are also witnessing global capability centres (GCCs), third-party logistics (3PL), and even fourth-party logistics (4PL) providers expand their footprint in India. These players are introducing advanced supply chain management practices and creating a new layer of white-collar and supervisory roles. Cold chain logistics, critical for pharma, food processing, and agri exports, is another frontier, with demand for temperature-controlled storage, monitoring systems, and skilled cold chain specialists rising sharply. Similarly, defence and aerospace supply chains are demanding specialised logistics services, opening up niche opportunities and highly skilled roles.
Digital first!
At the workforce level, logistics has traditionally been dominated by blue-collar roles, but the sector is now steadily broadening into supervisory and digital-first positions. Today’s most in-demand roles include materials handling equipment (MHE) operators, warehouse operations executives, delivery boys and drivers, data entry operators, and supervisors. Alongside these, newer roles such as drone operators, cold chain specialists, supply chain data analysts, and logistics technology specialists are raising the sector’s overall skill intensity.
And this shift is increasingly evident in compensation offered: entry-level workers earn around `18,000 per month, supervisors average `25,000, while digital-first roles command `25,000-30,000. Such figures signal upward mobility and new aspirations being created within the sector.
Building on this, a key change is the emergence of career ladders in logistics. A delivery executive today can transition into a team supervisor, then a warehouse manager, and eventually into supply chain planning roles, pathways that simply didn’t exist a decade ago. This mobility is being fuelled by digital-first logistics startups, which are creating demand in areas like AI-led route optimisation, IoT-based fleet tracking, and blockchain-enabled inventory management. Anecdotal evidence also shows how these new roles are reshaping the sector; drone pilots are being trained for agricultural logistics, while EV mechanics have become indispensable for fleet operators.
From a geographical standpoint, the logistics boom is no longer confined to metros. Lucknow is benefiting from infrastructure expansion, Assam and Guwahati are strengthening their position as gateways to the Northeast, and cities such as Chandigarh, Jaipur, Indore, Bhubaneshwar, and Coimbatore are fast emerging as warehousing and industrial clusters. This regional spread is making job creation more inclusive and ensuring that India’s workforce beyond the metropolitan hubs also reaps the benefits of this growth.
Port-led clusters such as Visakhapatnam, Mundra, Chennai, and Kochi are also turning into employment hotspots, thanks to India’s rising export competitiveness. Dedicated freight corridors are further driving demand for warehousing and allied services along their routes, creating thousands of jobs in adjoining towns. The role of regional consumption hubs is equally important here. Townships such as Surat (textiles), Indore (FMCG), and Coimbatore (auto components) are generating logistics hiring tailored to their industry specialisations.
Currently, 69.5 per cent of logistics jobs remain informal. As the sector is expected to create 8-10 million new jobs by 2030, sector formalisation is critical to improve stability for millions of workers and enhance professionalism across the value chain. Of these, roughly 60 per cent are expected to be blue-collar roles such as drivers, delivery staff, and warehouse operators, 20 per cent will be supervisory positions, and another 20 per cent will be specialised or digital-first roles such as analytics, automation, and sustainability.
Markers of transition
Formalisation is emerging as a critical pillar for the logistics sector, integrating workers into foundational welfare schemes such as the Employees’ Provident Fund Organisation (EPFO) and Employees’ State Insurance (ESI), alongside structured training frameworks. This not only secures livelihoods but also enhances productivity, stability, and career progression. Initiatives such as the Logistics Skill Council and Pradhan Mantri Kaushal Vikas Yojana (PMKVY) are playing a vital role in equipping workers with new-age skills, while dedicated upskilling programmes are helping them transition from purely physical roles to more technology-enabled responsibilities.
At the same time, the nature of logistics jobs is shifting. Manual sorters are being retrained to operate automated systems, while supervisors are evolving into data-driven coordinators managing AI-enabled workflows. Far from displacing jobs, automation is creating opportunities for workers to climb the skill ladder and access higher-value roles. It is estimated that formalisation and structured upskilling, coupled with technology adoption, could positively impact nearly 10 million workers in the next five to seven years, making the logistics workforce more resilient, productive, and future-ready.
In conclusion, logistics is transforming into a career destination rather than a stopgap employment option. By offering clear career pathways, integrating digital-first roles, and expanding across regions, it is set to remain one of the largest and most inclusive job creators in the country. For organisations, this is an opportunity to help companies scale rapidly while ensuring that India’s workforce is equipped, formalised, and future-ready. Logistics is no longer a silent enabler; it is the backbone of India’s consumption economy and the bridge connecting Bharat and India.
About the author:
Deepesh Gupta, Director & Head of General Staffing, Adecco India
India’s Logistics Boom: Scale Meets Speed $380 Billion by 2025
India’s logistics market is projected to reach $380B, driven by consumption and infrastructure.
14% of GDP
Logistics contributes a significant share to India’s
economic output.
E-commerce Acceleration
Online retail and quick commerce are reshaping last-mile delivery models.
Warehousing Surge
Grade-A warehousing demand is rising across tier-1 and tier-2 cities.
Policy Push
PM Gati Shakti and NLP are streamlining multimodal logistics and infra planning.Jobs on the Move: Logistics as a Career Catalyst
Million New Roles
Logistics expected to generate over a million jobs by 2026.
Diverse Skill Demand
Roles span driving, warehousing, tech, analytics, and customer service.
Tier-2 & Tier-3 Uptick
Hiring is expanding beyond metros into emerging consumption hubs.
Women in Logistics
Inclusive hiring is gaining traction, especially in sorting and fulfilment centres.
Skilling Partnerships
Industry-led training is bridging gaps in employability and readiness.
Logistics 2.0: Tech, Talent, Transformation
AI & Automation
Predictive routing, smart warehousing, and robotic sorting are redefining operations.
EV Fleets & Green Jobs
Sustainability is creating new roles in fleet electrification and carbon tracking.
Platform Logistics
Aggregator models are enabling gig-based logistics employment.
Cross-border Expansion
Global trade corridors are opening up new demand for skilled manpower.
Digital Twin Adoption
Simulation tools are enhancing planning, safety, and workforce productivity.