Apple's Expansion in India to Create Up to 600,000 Jobs by Year-End

by Harry N

8/27/2024

person using MacBook Pro
person using MacBook Pro

Apple’s growing presence in India is set to create a wave of employment opportunities, with projections indicating up to 600,000 new jobs by the close of this financial year. As the tech giant diversifies its manufacturing base, reducing its dependency on China, India is becoming a significant hub for its operations, according to a recent report by The Economic Times.

By March next year, Apple expects to have created around 200,000 direct jobs in India, with a notable 70% of these positions being filled by women. This substantial growth is fueled by Apple’s key manufacturing partners—Foxconn, Wistron (now Tata Electronics), and Pegatron—who have already generated nearly 81,000 direct jobs. Furthermore, other suppliers across various Indian states have collectively added an additional 84,000 direct jobs.

Apple’s impact on job creation in India is particularly significant in the blue-collar sector, where it has become one of the largest employers. Most of these roles are filled by women and individuals new to the industry, showcasing Apple’s commitment to fostering a diverse and inclusive workforce.

The report highlights that since the introduction of the smartphone Production-Linked Incentive (PLI) scheme in 2020, Apple’s vendors and suppliers have created around 165,000 direct jobs. This figure is expected to rise sharply as Apple continues to scale its operations in India.

Tata Group’s dual facility in Hosur, Tamil Nadu, is one of the key sites contributing to this employment surge. The iPhone production unit at this site is slated to begin operations in October, with plans to gradually expand its capacity. The facility is expected to employ around 50,000 people as production ramps up.

The Indian government estimates that for every direct job in the electronics sector, three additional indirect jobs are created. If this holds true, Apple’s ecosystem in India could generate between 500,000 and 600,000 jobs by March.

Originally, the smartphone PLI scheme aimed to create 200,000 direct jobs across 10 companies over five years. However, Apple has surpassed this target in just four years, reflecting the rapid growth of its operations in India.

Apple’s successful implementation of its China model in India has led to the creation of a robust ecosystem and significant employment opportunities. Over the past quarter-century, Apple has generated more than 4 million jobs in China, and its strategy in India appears to be on a similar trajectory.

Starting in 2021, Apple began assembling iPhones in India, marking its first production outside of China. The company’s Indian operations have grown steadily since then, with production reaching ₹1.20 trillion in FY24, of which ₹85,000 crore was exported. India now accounts for about 14% of Apple’s total production, up from approximately 7% in FY23, solidifying its role as a key player in Apple’s global supply chain.