Flipkart returns to salary steps and rent after two lukewarm years

Copyright © HT Digital Streams Limit all rights reserved. Flipkart plans to employ this financial year 5,000 employees on functions, including supply chain, product, design and engineering, with a special emphasis on artificial intelligence roles, (Bloomberg) Summary Flipkart distributed promotions to about 20% of its employees and exerted an extension option for a year of expense this year. Bengaluru: Online Marketplace Flipkart Internet Pvt. Ltd. is taking out 8-15% steps this year, even if it is to rent as many as 5,000 employees in its business segments, including the ten-month-old fast trading-service flip-off minutes. Last year, the Walmart-backed e-commerce giant selected for merit-based payments distributed in April and October instead of salary increases walked over a whole year. Several senior employees were also denied a wage increase for a second year in a row, as Flipkart tried to cut costs and increase efficiency. This year, the Bengaluru-based digital market is on an expansion drive, especially in the fast trading space, where it catches up younger but more established competitors such as Blinkit and Zepto. The salary increase projected for India’s e-commerce industry this year is 9.3%, higher than an average increase of 9.1% in 2024, according to consultant firm Aon’s annual salary increase and turnover 2024-25. The industry’s largest increase in the last 7-8 years was in 2022, when the salary increases were an average of 10.6%, according to AON. “This time the series was wide and the reason (for the salary increase) is meritocracy,” Seema Nair, head of human resource officer at Flipkart, told Mint in an interview. “So for someone who was either in the top two performance appraisals, or someone promoted in the last cycle, the ratings were even more rich.” Flipkart also distributed promotions to about 20% of its employees, in accordance with last year, Nair said. “In addition, our stock option has been expanded this year under a much larger employee pool.” In the industries, industries are expected to be worsened in industries, and this is exacerbated in 2024, as the slowdown of corporate earnings and slack economic growth has limited the budgets, which forced companies to become more closely. “Talent poaching and dismantling are making parts of the e-commerce workforce quite fragile,” says Kartik Narayan, CEO of Teamlease Staffing. “Companies give 10%+ hikes – sometimes double for top performers – just to hold on to key talent. With 80% of the firms struggling to rent, it is less about rewards and more about keeping your critical talent in the role of technology and market.” Read also | Flipkart on track to open dark stores by December 800, as Quick Commerce Booms Flipkart’s rental rush Flipkart plans to rent 5,000 employees in 2025-26 on business categories, including central and regional roles in the supply chain, travel booking platform, as well as technological roles in product, design and engineering. The company will also place special emphasis on artificial intelligence roles, Nair said. Nair centered a significant part of hiring around Flipkart’s fast trade, focusing on roles in hyperlocal trading and fashion, Nair added. Flipkart had about 22,000 employees last year. “The Plan of Flipkart to rent 5,000 people in 2025 (is a strong signal that they double on fast trade and fintech. Essentials promise in August last year to keep up with the competition of players such as Zepto, Blinkit in Zomato and Swiggy Instamart. Flipkart FinTech 2.0: Can Super.Hone -striking gold?