e-commerce
E-comm ecosystem to create 1.45 million jobs by ’21: KPMG-Snapdeal
MUMBAI: Ecommerce sector is powering employment generation in India, a report by Snapdeal & KPMG has concluded.
Snapdeal, in partnership with KPMG today released the findings of a study examining the macro-impact of the e-tail industry and the associated ecosystem, on the employment landscape in India. The study titled Impact of Ecommerce on Employment in India focuses on the role of e-tail in socio-economic development, outlining the alignment of measures with key government initiatives like Make in India, Digital India, Start-up India and Skilling India, among others.
| Highlights from the Study |
| o E-tail and allied ecosystem (logistics, warehousing, IT, ITeS) is expected to create direct employment for around 1.45 million workforce by 2021 o Logistics and warehousing sector is expected to be the largest contributor (approximately 55%) to direct employment opportunities in e-tail o E-tail is expected to add 0.4 million high-skilled jobs by 2021 o E-commerce in improving the socio-economic environment o Impacted employment generation beyond metros – 70% of the online sellers expected to come from smaller towns by 2018-19 o Driving women empowerment and self-sustainability – 20% of total online sellers today are women o Government initiatives like Make in India, Digital India, Start-Up India, Skill India will fuel growth and generate further employment for e-commerce |
The study further outlines the potential challenges and shares recommendations on the different roles that various participants like the government, industry bodies and e-commerce companies themselves can play in building more employment avenues and up-skilling.
Snapdeal Co-founder and CEO Kunal Bahl said, “The impact of e-commerce industry on the entire employment landscape has been the most exciting part of India’s digital growth story, and yet often the least spoken about. Through this report, we aim to highlight how the industry is generating direct and indirect jobs in core and associated industries, creating entrepreneurship opportunities in the deepest pockets of India and how it is influencing the socio-economic fabric of the country for a more balanced development. At Snapdeal, we are working towards building the most reliable and frictionless digital commerce ecosystem in the country and we recognize the deep-seated role of our talent pool, our sellers and other associated partners in achieving this. We felt the need to conduct a systematic study to identify opportunities and challenges, that will further build models and skill sets to foster a mature, sustainable employment avenue. Our entrepreneurial culture and initiatives play a pivotal role in up-skilling our workforce for addressing the consumption needs of India.”
KPMG India CEO Richard Rekhy said, “The contribution made by the e-commerce industry in employment creation is something that has been recognized for a while now. This report highlights how this impact can be increased multi-fold by facilitating an ecosystem of growth for the industry – developing a skilled workforce, promoting entrepreneurship, improving physical infrastructure, facilitating participation of SMEs and MSMEs, defining clear regulatory frameworks, and providing easier access to funds, etc. to name a few areas which require attention. These measures will ensure that growth in this industry becomes self-sustaining to support the expanding employment opportunities that it can offer. With innovation and mobile e-commerce leading the way, this industry also looks to propel growth and generate abundant demand for IT/ITeS professionals in the years to come.”
This report is part of a series of initiatives that Snapdeal has undertaken to build wider understanding about the evolving e-commerce landscape, and its seen and unseen impact on the country’s economy. This follows a previous study by KPMG, Impact of E-commerce on SMEs in India, which focused on creating an ecosystem for MSMEs and leveraging e-commerce for their growth.
e-commerce
Flipkart rolls out 105 per cent bonus for 20,000 employees
Strong FY25 performance drives payouts even as layoffs and shifts unfold.
MUMBAI: In a year where belts were tightened and rewards loosened, Flipkart seems to be playing both offence and defence trimming roles on one hand while handing out a generous 105 per cent bonus on the other. The Walmart owned e commerce major has rolled out a 105 per cent bonus payout for 2025, covering nearly 20,000 employees, signalling a year of steady operational momentum even as the company navigates restructuring pressures. The payout, communicated internally by chief human resources officer Seema Nair, is tied to performance across key metrics including growth, operational efficiency, financial outcomes and people indicators, a combination that suggests the company is inching closer to its long stated goal of sustainable profitability.
Employees at SD level and below are set to receive their bonuses in March, while payouts for senior leadership, including vice presidents and senior vice presidents, will follow after the close of the performance cycle. The elevated 105 per cent multiplier stands out in a sector where cautious payouts have increasingly become the norm, pointing to what appears to be a relatively strong internal scorecard for FY25.
Yet, the announcement arrives with a noticeable contrast. Earlier this year, Flipkart reduced its workforce by around 300 roles as part of its annual performance review process. While officially framed as performance driven, the juxtaposition of layoffs alongside above target bonuses reflects a more nuanced balancing act, one that prioritises cost discipline while continuing to reward and retain high performing talent.
This dual approach is becoming increasingly common across the technology and e commerce landscape, where companies are navigating an uneven hiring environment while under pressure to deliver profitability. Rewarding top contributors, even amid selective workforce reductions, allows firms to maintain morale and retain critical talent without losing sight of financial prudence.
At the same time, Flipkart is also undergoing leadership shifts that hint at a broader strategic recalibration. Nishant Verman has been appointed senior vice president for corporate development and partnerships, while group chief financial officer Sriram Venkataraman is set to step down. Ravi Iyer will take on expanded responsibilities within the finance function, marking a reshuffle at the top as the company gears up for its next phase.
These changes come amid reports that Flipkart is planning to shift its holding structure back to India, a move widely interpreted as groundwork for a potential public listing. While timelines remain fluid, the combination of stronger financial discipline, leadership restructuring and employee incentivisation suggests a company preparing itself for greater scrutiny and scale.
For employees, the 105 per cent payout offers a welcome boost in what has otherwise been a period of adjustment. For Flipkart, it is a signal that even as it cuts where necessary, it is willing to spend where it counts. In the high stakes game of growth versus profitability, the company appears to be hedging its bets carefully, rewarding performance while reshaping itself for what could be its most defining chapter yet.
