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Skilled workforce: Driving the future of EV manufacturing
Articles- Jul 27,24
An analysis reveals that out of over 30 EV-related job categories, only a third require skills similar to those in the ICE sector.
India, renowned for its automobile market and manufacturing, is rapidly embracing EVs. There is a need on reskilling the workforce to shift from ICE to EV skills, highlighting the critical need for continuous learning and adaptation in this evolving landscape, says Neeti Sharma, CEO, TeamLease Digital
India, the world’s third-largest automobile market and a leading manufacturer of three-wheelers, passenger vehicles, and tractors, is experiencing a significant transformation. The country’s move towards electric vehicles (EVs) is accelerating rapidly, with projections estimating 2.5 million EVs on the roads by 2025. This swift transition is dramatically affecting traditional automotive roles, which have seen a staggering decline of nearly 70%. The demand for internal combustion engine (ICE) and powertrain designers has plummeted by 50% to 62% over the past two years.
For decades, internal combustion engines powered billions of vehicles with minimal disruption, even as advancements in performance and fuel efficiency were made. However, the advent of electric cars is now shaking up the automotive industry’s core. Batteries and drive units are replacing IC engines and their associated components, signaling a major shift in product portfolios and creating a need for new talent. This shift has led to emerging job opportunities and a transition away from the ICE sector.
An analysis reveals that out of over 30 EV-related job categories, only a third require skills similar to those in the ICE sector. This highlights the urgent need for continuous upskilling and reskilling of the current workforce. Around 22% of new jobs in the EV ecosystem will demand entirely new skill sets, while the rest can be filled through adequate reskilling and upskilling.
Skilled talent
The demand for talent in the Indian EV sector is robust. There is a strong focus on both fresh graduates and experienced professionals who are willing to adapt and learn new skills relevant to the evolving automotive landscape. The sector is projected to create 10 million direct jobs and 50 million indirect jobs by 2030, underscoring the urgent need for a skilled workforce to support the industry's expansion.
To meet the current need for skilled talent, the industry is hiring experienced staff from EV-adjacent sectors like ICE and power. Additionally, there is a high demand for fresh talent in R&D, design, production, and techno-managerial roles. Between FY23 and FY24, most EV companies hired 30% of their new workforce from fresh graduates for roles in design, development, testing, and analysis.
Further exploring the talent landscape, it’s evident that primary hiring is concentrated in key urban centers like Delhi, Bangalore, and Hyderabad. These cities have become major hubs for employment opportunities due to their well-established infrastructure and technological ecosystems. Specifically, Delhi, Bangalore, and Hyderabad accounted for a significant portion of new hires. Delhi led with 53% of employers increasing their workforce sizes in the city, followed closely by Bangalore at 50.46% and Hyderabad at 47%.
Skill trends
As the electric vehicle (EV) industry undergoes rapid growth, the demand for specialised skills has surged, reflecting the sector's transformation and its pivotal role in the future of transportation. The industry's evolution requires expertise across various domains to drive innovation and ensure successful integration of new technologies. Given the rising demand for talent, there is ofcourse a skills shortage that the sector is experiencing. Addressing this broader talent deficit is crucial for sustaining the sector's growth. To bridge this gap, let’s look at the top 5 competency areas the sector needs:
Battery technology: Expertise in battery management systems (BMS), electrochemistry, and battery pack design is crucial. The sector is facing a talent shortage in professionals who understand advanced battery technologies and can design and integrate complex battery systems.
Electrical and electronics engineering: Skills in power electronics, electric motor design, and embedded systems are essential. There is a notable shortage of engineers proficient in designing and optimising power electronics and integrating sophisticated embedded systems into EVs.
Software development: Proficiency in embedded software, autonomous driving technologies, and vehicle-to-everything (V2X) communication is needed. The industry seeks more developers with experience in real-time operating systems, autonomous vehicle algorithms, and V2X communication.
Mechanical engineering: Expertise in lightweight materials, thermal management, and computer-aided design (CAD) is vital. There is a shortage of engineers skilled in designing with advanced materials and managing thermal challenges specific to EVs.
Systems engineering: Skills in integrating EV components, diagnostics, and quality assurance are important. The sector requires more professionals who can effectively integrate diverse EV systems and ensure high standards of product reliability and quality.
Emerging demographics
The evolving automotive sector is also witnessing a shift in its workforce demographics. Historically, women made up less than 15% of the industry’s workforce, primarily in finance, marketing, and HR roles. However, the rise of new technologies is paving the way for women to enter roles that were once predominantly male-dominated. From FY 2022 to FY 2024, EV sales in India surged by over 250%, leading to increased job opportunities for women in design, manufacturing, and leadership roles, as well as on the shop floor.
Women are now represented across various levels, from shop floors to middle management, and even in executive positions. Currently, women constitute about 11-15% of the 11 million-strong EV workforce in India, with expectations to reach 50% by 2030-33.
Conclusion
India’s automotive market is experiencing a dramatic shift towards electric vehicles, driving significant changes in job demands and creating new opportunities for those ready to adapt and upskill. This rapid growth underscores the need for a skilled workforce to support the sector’s transformation and highlights key urban centers as pivotal hubs for EV employment.
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About the author:
As the CEO of TeamLease Digital, Neeti Sharma leverages over three decades of rich and varied experience to guide the company with a blend of humility and purpose-driven focus. She is a distinguished leader known for her transformative contributions to the learning and staffing industry. Her tenure at TeamLease has been marked by numerous achievements and leadership across pivotal roles, cementing her reputation as a pioneering female leader and entrepreneur. Recognised as one of the ‘Top 200 women founders of EdTech companies’ by HolonIQ, Neeti’s journey continues to inspire many individuals and organisations.
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