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GLOBAL ECONOMIC GROWTH

The global economy started 2024 with the confidence that inflation was largely beaten and that major economies would likely avoid recession. But as the year drew to a close, a nagging worry crept in: inflation proved to be much stickier than wed hoped. While the US economy powered ahead, many other developed nations struggled to keep pace. On top of that, many countries saw their currencies

lose value, a situation that could become especially tricky for developing economies.

Stepping in 2025, the global economic activity is expected to maintain modest momentum in 2025 owing to the likely shift in policy following numerous elections around the world. New policies could lead to new trajectories for inflation, borrowing costs, and currency values, as well as trade flows, capital flows, and costs

of production. According to the IMF, the global economy is expected to grow at 3.3% both in 2025 and 2026, primarily on account of an upward revision in the United States offsetting downward revisions in other major economies. Global headline inflation is expected to decline to 4.2% in 2025 and to 3.5% in 2026, converging back to target earlier in advanced economies than in emerging market and developing economies.

Global inflation is expected to ease gradually, dropping from 4.5% in 2024 to 3.5% in 2025, though it will still remain slightly above the 3.1% level seen in 2019. Advanced economies are likely to rein in inflation more quickly than emerging markets, but the path to price stability may not be smooth. Persistent wage and services inflation in some regions could lead to uneven monetary policy responses. Additionally, factors such as rising protectionism, geopolitical tensions, supply chain adjustments, and demographic shifts could keep inflationary pressures elevated, adding uncertainty to the global outlook.

Growth projections for advanced economies are taking different paths.

In the United States, strong consumer demand continues to drive momentum, supported by rising wealth, a relatively flexible monetary policy, and favorable financial conditions. The economy is expected to grow by 2.7% in 2025 - 0.5 percentage points higher than the previous forecast in October. This upward revision reflects the carryover effect from 2024, along with a resilient job market and increasing investments. However, by 2026, growth is anticipated to gradually ease, aligning with its long-term potential.

Growth in the euro area is expected to improve, but at a slower pace than previously anticipated. Ongoing geopolitical tensions continue to dampen confidence, and weaker-than-expected momentum in late 2024 - particularly in manufacturing - has led to a downward revision of the 2025 growth forecast to 1.0%, 0.2 percentage points lower than earlier estimates. However, by 2026, growth is projected to reach 1.4%, driven by stronger domestic demand as financial conditions ease, confidence strengthens, and uncertainty gradually subsides.

In emerging markets and developing economies, economic growth in 2025 and 2026 is expected to stay on par with 2024.

Chinas 2025 growth forecast has been slightly revised upward by 0.1 percentage point to 4.6%, mainly due to momentum

The economy is expected to grow by 2.7% in 2025 - 0.5 percentage points higher than the previous forecast in October. This upward revision reflects the :arryover effect from 2024, along with a resilient job market and increasing investments. However, by 2026, growth is anticipated to gradually ease, aligning with its long-term potential.

from 2024 and the fiscal stimulus announced in November, which is helping counterbalance the negative impact of trade policy uncertainties and challenges in the property sector. In 2026, growth is expected to remain steady at 4.5%, as trade concerns ease and an increase in the retirement age helps slow down labor supply decline.

Meanwhile, Indias economy is projected to maintain a robust growth rate of 6.5% in both 2025 and 2026, consistent with earlier forecasts and aligned with the countrys long-term potential.

Economic growth in the Middle East and Central Asia is expected to improve, though not as much as previously anticipated. A key factor behind this adjustment is the 1.3 percentage point downgrade in Saudi Arabias 2025 growth forecast, largely due to the extension of OPEC+ production cuts.

In Latin America and the Caribbean, overall growth is set to edge up to 2.5% in 2025, even as some of the regions largest economies experience a slowdown. Meanwhile, sub-Saharan Africa is projected to see stronger growth next year, while emerging and developing Europe is likely to face a slowdown.

Outlook

According to the IMF, factoring in recent market trends and the impact of rising trade policy uncertainty, the uncertainty surrounding the global economy is expected to persist throughout 2025. However, the probable impact of any potential policy changes that are still under discussion.

In 2025, energy commodity prices are expected to decline by 2.6%, largely due to weaker oil demand from China and increased supply from non-OPEC+ countries (which includes Russia), though rising gas prices - caused by colder weather, supply disruptions, and ongoing conflicts in the Middle East - partly offset the decline. Meanwhile, non-fuel commodity prices are projected to rise by 2.5%, mainly driven by higher food and

beverage costs due to adverse weather affecting major producers.

On the monetary front, major central banks are expected to continue lowering interest rates, though at different speeds, depending on their respective economic growth and inflation outlooks. Fiscal policies in advanced economies, including the U.S., are expected to tighten in 202526, with a lesser degree of tightening in emerging and developing markets.

Indian economy overview

Even in FY25, the Indian economy continued to emerge as of the fastest growing economies in the world, but at a sluggish pace compared to the previous years. Slower growth in the first half of

the fiscal (6%) led the RBI to bring down the annual projection to 6.6% (down from an earlier projection of 7%). However, according to the first advance estimates, Indias real GDP is expected to grow at 6.4% in FY25.

Some of the key factors which helped drive the growth of the Indian economy include, rural consumption has remained robust, supported by strong agricultural performance, while the services sector continues to be a key driver of growth. Manufacturing exports, particularly in high-value-added components (such as electronics, semiconductors, and pharmaceuticals), have displayed strength, underscoring Indias growing role in global value chains.

? GDP Growth at constant prices

(Source: https://pib.gov.in/PressReleasePage.aspx?PRID=2097921) [*1st Revised Estimate   **2nd Provisional Estimates  *** 1st Advance Estimates]

Indias current account deficit (CAD) widened to $11.5 billion in the third quarter (Q3) of FY25 from $10.4 billion in the year-ago quarter due to increase in merchandise trade deficit. However, CAD was unchanged at 1.1% in terms of percentage of GDP. However, on the positive side, CAD moderated from $16.7 billion (1.8% of GDP) in Q2 FY25 to $11.5 billion (1.1% of GDP). For Q4 FY25, it is expected that the current account to witness a surplus of $4-6 billion aided by a seasonal uptick in merchandise exports and the resulting moderation in the merchandise trade deficit, as well as healthy services surpluses. For the entire fiscal year (FY25), the CAD is expected to hover around 0.8% of GDP.¹

Indias foreign exchange reserves have continued their upward trajectory, reaching $676.3 billion as of April 4, 2025, according to the Reserve Bank of India (RBI). This marks the highest level in five months and reflects gains for the fifth straight week. With this achievement, India has firmly positioned itself as the worlds fourth-largest holder of forex reserves, following China, Japan, and Switzerland. The journey of Indias forex reserves has been remarkable — rising from just $29.3 billion in March 1997 to an impressive $644.39 billion by December 2024. More than just a number, these reserves are a testament to Indias economic resilience and prudent financial management.

In times of global uncertainty, they act as a vital buffer, strengthening market confidence and supporting economic

Indias economic growth momentum remains strong, with the real Gross Value Added (GVA) projected to expand by 6.4% in FY25. The agriculture sector is set for a healthy rebound, expected to grow at 3.8%, reflecting resilience in farm output.

stability. They also play a critical role in bolstering the national currency, facilitating debt repayments, and promoting vibrant trade activities.²

Indias economic growth momentum remains strong, with the real Gross Value Added (GVA) projected to expand by 6.4% in FY25. The agriculture sector is set for a healthy rebound, expected to grow at 3.8%, reflecting resilience in farm output. The industrial sector is poised for 6.2% growth, supported by a surge in construction activities and steady expansion in electricity, gas, water supply, and other utilities. Meanwhile, the services sector continues to be a key driver of economic activity, projected to grow at 7.2%, fueled by strong performance in financial and real estate services, professional sectors, public administration, and defense. This balanced expansion across sectors underscores the economys robustness and adaptability in the face of evolving challenges.³

Despite the overall positive outlook, certain challenges persisted, particularly

2 https://cleartax.in/s/indian-forex-reserves

3 https://pib.gov.in/PressReleasePage. aspx?PRID=2097921

in the manufacturing sector. Export growth in this segment faced a notable slowdown, largely due to subdued demand from key international markets. Additionally, the aggressive trade and industrial policies adopted by major trading nations further intensified the pressure, creating a more competitive and restrictive global landscape for manufacturing exports.

In its January 2025 update of the World Economic Outlook, the International Monetary Fund (IMF) revised Indias real GDP growth projection for FY25 to 6.5%, marking a 0.5 percentage point downgrade from its October 2024 forecast. This adjustment largely stems from an unexpected 12.3% contraction in the Government of Indias capital expenditure during the first eight months of FY25 - a stark contrast to the budgeted 17.1% growth over FY24s actuals, as reported by the Controller General of Accounts (CGA). The slowdown in public investment has, in turn, dampened gross fixed capital formation (GFCF) - a key indicator of investment activity - bringing its estimated growth down to 6.4% in FY25,

compared to 9.0% in FY24. On the external front, however, there is a silver lining. The estimated 1.7 percentage point positive contribution of net exports to real GDP growth reflects the benefits of lower crude oil prices, even as global economic uncertainties continue to pose challenges for the economy.⁴

Indias net direct tax collections for FY25 witnessed a robust 13.57% growth, rising to 22.26 lakh crore. This figure not only exceeded the initial budget estimates but fell just short of the revised target, largely due to lower-than-expected noncorporate tax receipts. Reflecting the strength of this performance, tax buoyancy — which measures the growth in direct taxes relative to GDP growth — improved to 1.57, up from 1.54 in FY24. For context, the net direct tax collection in FY24 stood at 19.60 lakh crore, underlining the strong momentum carried into the new fiscal year.⁵

Indian MSME sector

The Micro, Small, and Medium Enterprises (MSME) sector is a critical enabler of Indias socio-economic progress. Beyond driving economic growth, it plays a crucial role in shaping the nations entrepreneurial landscape, particularly in semi-urban and rural regions. Its contributions extend far beyond numbers, fueling innovation, creating jobs, and strengthening local economies. As a key engine of Indias GDP and exports, the MSME sector continues to be a catalyst for inclusive and sustainable development.

As a cornerstone of Indias industrial ecosystem, the MSME sector drives manufacturing, exports, and employment, shaping the nations economic fabric. With 5.93 crore registered MSMEs employing over 25 crore people, these enterprises

4 https://www.ey.com/en_in/insights/tax/ economy-watch/why-budget-2025-should-focus- on-restoring-india-s-capex-g rowth-momentum

5 https://economictimes.indiatimes.com/ news/economy/indicators/direct-tax-mop- up-g rew-13-6-in-fy25/articleshow/120628705. cms?from=mdr

form the backbone of economic activity.

In 2023-24, MSME-related products contributed 45.73% of Indias total exports, underscoring their pivotal role in establishing the country as a global manufacturing powerhouse. Recognizing this, the latest budgetary provisions focus on fostering innovation, enhancing competitiveness, and improving resource accessibility. By empowering MSMEs with the necessary tools and support, the government aims to expand their reach and amplify their impact on Indias economic growth.

Growth of MSME Exports (in lakh crore)

Exports from MSMEs have seen substantial growth, rising from 3.95 lakh crore in 2020-21 to 12.39 lakh crore in 2024-25. The number of exporting MSMEs has also surged, increasing from 52,849 in 2020-21 to 1,73,350 in 2024-25. Their contribution to Indias total exports has steadily grown, reaching 43.59% in 2022-23, 45.73% in 2023-24, and 45.79% in 2024-25 (up to May 2024). These trends underscore the sectors increasing integration into global trade and its potential to drive Indias position as a manufacturing and export hub.

Key Budget takeaways for the Indian MSME Sector6

Revised classification criteria: To

empower MSMEs with greater growth opportunities, the investment and turnover thresholds for classification have been significantly raised, by 2.5 times and 2 times, respectively. This strategic move aims to enhance operational efficiency, drive technological adoption, and create more employment opportunities, fostering a stronger and more competitive business ecosystem.

Enhanced credit availability: The credit guarantee cover for micro and small enterprises has been increased from 5 crore to 10 crore, enabling additional credit of 1.5 lakh crore over five years. Startups will see their guarantee cover double from 10 crore to 20 crore, with a reduced fee of 1% for loans in 27 priority sectors. Exporter MSMEs will benefit from term loans up to 20 crore with enhanced guarantee cover.

Credit cards facility for micro enterprises: A new customised Credit Card scheme will provide 5 lakh in credit to micro enterprises registered on the Udyam portal, with 10 lakh cards set to be issued in the first year. Support for startups and first-time entrepreneurs: A dedicated 10,000 crore Fund of Funds is likely to be launched to strengthen support for startups, fostering innovation and entrepreneurship across the country. Additionally, a new initiative will empower 5 lakh first-time women, Scheduled Caste, and Scheduled Tribe entrepreneurs by offering term loans of up to 2 crore over a five-year period. This initiative aims to create greater financial inclusion, encourage selfreliance, and unlock new opportunities for underrepresented entrepreneurs.

Focus on labour-intensive sectors: A

Focus Product Scheme for the footwear

6 https://pib.gov.in/PressReleasePage.

aspx?PRID=2099687#:~:text=Exports%20

from%20MSMEs%20have%20

seen,%2C73%2C350%20in%202024%2D25.

and leather sector aims to boost innovation, manufacturing, and nonleather production, creating 22 lakh jobs and driving a 4 lakh crore turnover. A new toy sector scheme will enhance cluster development and skill-building,

positioning India as a global manufacturing hub. Meanwhile, a National Institute of Food Technology in Bihar will accelerate food processing growth, unlocking opportunities in the eastern region.

EXPORT SCENARIO*

Export scenario¹

Despite the prevailing geopolitical tensions, the Indian goods and services exports is expected to cross $800 billion by the end of the current fiscal, signalling a robust economy and continued growth across sectors. This would be higher than the earlier record of $776.68 billion in the overall exports in FY24.

As demand for Indian products in the global market surges across categories, the countrys total exports reached about $778 billion in FY 2023-24, compared to $466 billion in FY 2013-14 - a whopping 67% growth. In 2023-24, merchandise exports stood at USD 437.10 billion, while services exports contributed USD 341.11 billion, demonstrating a well-balanced expansion. Key sectors like electronics, pharmaceuticals, engineering goods, iron ore, and textiles played a vital role in this surge. Strengthened by strategic policy measures, enhanced competitiveness, and broader market access, Indias export ecosystem is now more resilient and deeply integrated into the global economy.

Indias share in world merchandise exports also improved from 1.66% to 1.81%, with the country advancing in rankings from 20th to 17th position. The feat was achieved as the government implemented several initiatives to sustain and accelerate export growth.

Manufacturing and clean tech initiatives: A National Manufacturing Mission will provide policy support and roadmaps f or small, medium, and large industries under the Make in India initiative. Special emphasis will be given to clean tech manufacturing, fostering domestic production of solar PV cells, EV batteries, wind turbines, and high-voltage transmission equipment.

The momentum has continued into FY 2024-25, with cumulative exports during April-December 2024 estimated at USD 602.64 billion, a 6.03% increase from USD 568.36 billion in the same period of 2023. Strengthened by strategic policy measures, enhanced competitiveness, and broader market access, Indias export ecosystem is now more resilient and deeply integrated into the global economy.

Outlook

India is poised to sustain a robust 6.5% GDP growth in FY 2026, driven by favorable monsoons and stable commodity prices. This momentum is supported by a resilient manufacturing sector, moderated inflation, tax incentives, and strong urban consumption. Additionally, continued infrastructure expansion and economic reforms are reinforcing Indias ability to navigate global uncertainties.

Looking ahead, India is expected to maintain its potential real GDP growth of 6.5% YoY from FY26 to FY28, positioning itself as the worlds third-largest consumer market by 2026 and the third-largest economy by 2027, trailing only the United States and China. The countrys nominal GDP is projected to rise from USD 4 trillion in FY25E to over USD 6 trillion by FY30E.

This growth trajectory is likely to be fueled by a manufacturing and export push, increasing services exports, and accelerated digitalization, all contributing to higher productivity and efficiency gains. However, challenges persist, including the need to create productive employment for

(Source: https://pib.gov.in/PressReleasePage.aspx?PRD=2098447 & https://cfo.economictimes.indiatimes. com/news/india-on-the-path-to-hit-record-800-billion-in-exports-in-fy25/118059751#:~:text=News- ,India%20on%20the%20path%20to%20hit%20record%20%24800%20billion%20in,and%20continued%20 growth%20across%20sectors.)

The global staffing industry is poised to grow by 5% in 2025, reaching an estimated market size of $650 billion, unlocking new possibilities for businesses and job seekers across the globe. This growth in the global staffing industry is expected to be driven by three regions mainly, USA - 35%, EMEA (Europe, Middle East, and Africa) - 40% and APAC (Asia-Pacific) - 24%.

the expanding workforce, a less favorable global trade environment, and the impact of automation on jobs.

Global staffing industry overview

After two consecutive years of contraction, the global staffing industry entered 2025 with renewed optimism for a strong rebound. However, as the year progressed, a broad-based recovery remained elusive. While some regions have shown encouraging signs of growth, others continue to face headwinds, reflecting the uneven pace of economic recovery across global markets. The industry, meanwhile, remains in a state of flux—navigating evolving macroeconomic conditions, shifting regulatory landscapes, and rapid technological transformation.

Over the past few years, the staffing industry has been undergoing a significant evolution, driven by technological advancements, changing workforce demographics, and dynamic market expectations. Staffing firms and hiring organizations have been actively adapting—enhancing candidate

engagement, refining recruitment strategies, and aligning with the changing world of work. The demand for highly skilled professionals, particularly in domains like IT and software development, continues to rise sharply. However, the supply of qualified talent remains a pressing challenge.

Industry analysts project an annual growth rate of approximately 6% for the global staffing market, with the United States expected to lead in terms of revenue and market expansion. Still, this growth is not without its challenges. Talent shortages, intensifying competition for top-tier professionals, and the need for more agile and innovative hiring solutions are reshaping how the industry operates. Despite these hurdles, the global staffing industry is poised to grow by 5% in 2025, reaching an estimated market size of $650 billion, unlocking new possibilities for businesses and job seekers across the globe. This growth in the global staffing industry is expected to be driven by three

regions mainly, USA - 35%, EMEA (Europe, Middle East, and Africa) - 40% and APAC (Asia-Pacific) - 24%.

In 2024, global employment saw modest growth, largely keeping pace with the expanding labour force. As a result, the global unemployment rate held steady at 5%, mirroring the level seen in 2023. However, while these figures may suggest stability, the reality on the ground tells a more complex story. The pace of employment creation remained insufficient to meaningfully address the persistent gaps in decent work opportunities worldwide. One of the most concerning aspects remains the plight of young people, who continue to experience disproportionately high unemployment, hovering at around 12.6%, with little sign of improvement. This highlights the urgent need for more inclusive and targeted strategies to integrate youth into the workforce and ensure equitable access to meaningful employment.

Key trends shaping the global staffing industry

Technological innovation: AI-driven

recruitment tools and digital platforms are transforming the way organizations attract and hire talent. By automating processes and broadening access to diverse candidate pools, these technologies are making hiring faster, smarter, and more inclusive.

Workforce shifts: The demand for highly skilled professionals, particularly in IT and software, is growing rapidly. However, organizations continue to grapple with a widening talent gap, as shortages in specialized skillsets and the pressing need for continuous reskilling present ongoing challenges.

Flexible work arrangements: The

industry is witnessing a noticeable shift in the world of work, especially in developed markets, where more individuals are gravitating towards non-traditional forms

of employment, such as freelancing, consulting, and contract-based roles. This evolving trend reflects a desire for greater flexibility, autonomy, and work-life balance.

Gig economys continued expansion:

The gig economy continues to grow at a remarkable pace, as more individuals opt for flexible work arrangements such as freelance, contractual, or short-term roles. This shift in work preferences is clearly visible within the staffing industry, particularly in the United States, where the number of independent professionals has seen a substantial rise.

Challenges

Talent shortages: There continues to be a noticeable gap between the skills employers are seeking and the capabilities available in the talent pool, particularly when it comes to highly specialized roles.

Competitive pressures: Growing

competition for both talent and clients has made it essential to adopt more innovative and agile recruitment strategies to stay ahead in a dynamic market.

Regulatory changes: Varying labor laws and new AI regulations are impacting staffing operations, especially in Europe and APAC.

Economic uncertainty: In todays

uncertain economic climate, staffing firms worldwide are feeling the pressure, as fewer job requisitions from clients have become a pressing challenge.

Outlook

As the industry looks forward to 2025, the staffing industry is undergoing a fundamental shift. Emerging technologies like AI and blockchain are redefining recruitment, while evolving workforce expectations are driving a move toward flexibility and skill-based hiring.

Amid economic uncertainty and regulatory changes, the ability to adapt quickly, embrace innovation, and enhance the candidate experience will be key to staying competitive. Staffing firms that proactively respond to these shifts will be well-positioned to attract top talent, drive sustainable growth, and lead in a rapidly transforming market.

Indian staffing industry

Indias staffing industry has emerged as a cornerstone ofthe countrys evolving labour ecosystem, bridging the gap between ambitious businesses and a vibrant, ever- expanding talent pool. What was once seen as a niche service has now become a strategic driver of formal employment and workforce agility, especially as the Indian economy grows and workplace dynamics continue to shift. This article explores the dynamic landscape of Indias staffing sector, unpacking emerging trends, sector- specific insights, untapped opportunities, persistent challenges, and what lies ahead for this fast-evolving industry.

In recent years, Indias staffing and recruitment market has witnessed remarkable growth, reaching an estimated USD 20 billion by the end of 2024. This impressive expansion is powered by strong economic momentum, a large and youthful population, and an accelerating demand for skilled talent across diverse industries.

EMERGING GLOBAL GROWTH HUBS

Despite a mixed global market landscape, distinct regions are emerging as growth engines. Latin America—especially Brazil—is experiencing robust expansion in logistics and service center operations. In Asia, India and Japan are leading the charge, contributing significantly to regional momentum. Meanwhile, Southern Europe, with countries like Italy, Portugal, and Spain, is also witnessing encouraging economic activity. Across these regions, sectors such as healthcare, life sciences, cybersecurity, and high-value engineering continue to generate strong demand, underpinning broader economic resilience.

RESILIENT TALENT TRENDS IN A SHIFTING MARKET

Even amid global uncertainty, certain employment trends remain steadfast. Contract roles in technology, temporary staffing in light industrial and skilled trades, and executive hiring have shown remarkable resilience. Organizations are increasingly looking for strategic leaders who can steer transformation and foster innovation in todays dynamic environment. At the same time, with budgetary pressures mounting, businesses are gravitating towards cost-effective, tech- enabled staffing models—particularly those that leverage nearshore and offshore delivery centers. These models are proving vital in achieving both agility and efficiency in talent acquisition and workforce deployment.

While the general staffing segment recorded a healthy 16.2% growth, the IT staffing sector faced a modest 4.4% decline.

However, the IT domain is showing early signs of recovery, as companies increasingly focus on boosting productivity to navigate evolving market dynamics.

Rapid developments in key sectors such as Information Technology (IT), Banking, Financial Services and Insurance (BFSI), and healthcare have intensified the need for agile and efficient staffing solutions, making the role of staffing firms more critical than ever in shaping the workforce of tomorrow.

Valued at around USD 18.06 billion in 2022, the Indian staffing industry is projected to reach USD 48.53 billion by 2030, growing at a compound annual growth rate (CAGR) of 13.2%. This robust growth is driven by the increasing demand for flexible staffing solutions across industries such as IT, manufacturing, banking, financial services, and insurance (BFSI), telecom, healthcare, and retail. The sector has seen significant formalization, with 5.4 million contract workers engaged in formal staffing in 2023, contributing 48,215 crore in social security and GST contributions.

The surge in contractual and temporary staffing has played a pivotal role in bringing young talent into the formal workforce.

Remarkably, in FY24, nearly 61% of new additions to the Employees Provident Fund Organisation (EPFO) were individuals under the age of 29, a clear sign of growing youth participation in the formal economy. Over the past 12 years, the contract staffing industry has consistently expanded at a healthy pace of 14-16% annually, reaching a market penetration of 1.28%. According to the Indian Staffing Federation (ISF), its member organizations collectively onboarded 2.35 lakh new associates in the past year, contributing to a total flexi workforce of 1.81 million as of September 2024.

Indian flexi staffing industry

According to the Annual Employment Report by the Indian Staffing Federation (ISF), the flexi staffing industry saw a robust 15.3% year-on-year growth in new job creation during FY24. ISF member companies collectively added 220,000 new flexi workers to their rolls, bringing the total workforce to 1.6 million. This surge in employment was largely fuelled by strong demand from key sectors such as FMCG,

e-commerce, manufacturing, healthcare, retail, logistics, banking, and energy.

The flexi staffing industry maintained its strong momentum, recording an impressive 17.9% year-on-year growth in new employment in Q2 FY25 compared to Q2 FY24. Quarter-on-quarter, the industry also saw healthy progress, with net employment rising by 5.9% in Q2 FY25, underscoring the sectors resilience and its growing role in shaping Indias dynamic workforce landscape.

While the general staffing segment recorded a healthy 16.2% growth, the IT staffing sector faced a modest 4.4% decline. However, the IT domain is showing early signs of recovery, as companies increasingly focus on boosting productivity to navigate evolving market dynamics.

Beyond numbers, the report underscores the profound social impact of the staffing industry. It has emerged as a critical enabler for freshers and first-time job seekers, helping them secure their first formal employment. By facilitating the shift from informal to formal work arrangements, the industry has not only expanded access to social security and fair wages, but also promoted skill development and job readiness. Notably, these efforts have also contributed to increasing womens participation in the workforce, making the staffing sector a meaningful catalyst for inclusive and equitable employment growth in India.

General staffing industry

In FY25, the general flexi staffing industry experienced a healthy surge in new employment, recording an impressive year-on-year growth of 18.4%. The momentum continued quarter-on-quarter as well, with a strong 5.9% rise in new job additions in Q2 of 2024-25—reflecting the sectors growing relevance and resilience in todays dynamic job market.

As per the Indian Staffing Federation (ISF), Indias staffing industry witnessed a

significant boost, adding approximately 2.35 lakh temporary workers, including both white- and grey-collar roles, in the year leading up to September 30, 2025. This reflects a healthy 5.9% growth quarter- on-quarter and a strong 18.4% increase compared to the same period last year,

underscoring the growing demand for flexible talent across sectors.

The general staffing industry witnessed robust growth, fuelled by strong demand across diverse sectors such as FMCG, e-commerce, manufacturing, healthcare,

retail, logistics, banking, and energy. These industries increasingly relied on flexible and skilled workforce solutions to meet evolving business needs and drive operational efficiency.

In todays dynamic workplace, flexibility and adaptability arent just trends—theyre essentials. And staffing agencies have become indispensable partners, bridging the gap between companies and versatile talent ready to succeed in any environment.

Key trends shaping the Indian staffing industry

Hybrid work environments: The

COVID-19 pandemic fast-tracked the shift toward remote work, giving rise to the now-popular hybrid work model. In response, staffing agencies have evolved swiftly, offering businesses access to skilled professionals who can effortlessly navigate both in-office and remote settings. In todays dynamic workplace, flexibility and adaptability arent just trends—theyre essentials. And staffing agencies have become indispensable partners, bridging the gap between companies and versatile talent ready to succeed in any environment.

Skill-centric hiring: In 2024, the spotlight is shifting from traditional degrees to real- world skills. Employers and staffing firms are increasingly prioritizing what candidates can do over whats listed on their diplomas.

Theres a strong push toward upskilling and reskilling, especially to keep pace with fast- evolving fields like artificial intelligence, data science, and cybersecurity. This skills-first approach not only opens doors for more diverse talent but also helps businesses find the right people with the right capabilities—ensuring a stronger, more future-ready workforce.

Gig economy integration: Indias gig economy is witnessing remarkable growth, driven by a rising wave of freelancers and independent professionals redefining the world of work. At the heart of this transformation are staffing agencies, playing a pivotal role in bridging the gap between businesses and skilled gig workers. By facilitating short-term, project- based engagements, they empower companies to tap into niche expertise without the constraints of long-term commitments. The result is a more flexible, responsive, and diverse workforce— one thats better equipped to thrive in todays fast-paced, ever-evolving business landscape.

Embracing technology:

Technology is transforming the staffing industry like never before. With the rise of artificial intelligence, machine learning, and data analytics, the way agencies find, screen, and match candidates has become smarter and more efficient. Routine administrative tasks are now automated, freeing up time for recruiters to focus on what truly matters, building meaningful relationships and delivering tailored support to both clients and job seekers. AI-powered tools also offer valuable insights into emerging workforce trends, helping staffing firms stay ahead of the curve with proactive and strategic talent acquisition.

Focus on diversity and inclusion:

Diversity and inclusion are no longer just ideals, theyre at the heart of todays workforce strategies. Staffing agencies are taking meaningful strides to champion inclusive hiring, opening doors to talent from all walks of life. By actively nurturing workplaces where everyone feels seen, heard, and valued, these agencies are helping spark fresh ideas, fuel innovation, and create environments where people truly thrive.

Compliance and regulations: For staffing agencies, ensuring compliance with labour laws and employment regulations isnt just a legal necessity, its a core responsibility. In a landscape shaped by ever-evolving legislation and tax policies, staying ahead of regulatory requirements is essential to upholding the integrity of the industry. Thats why agencies proactively invest in strong compliance frameworks, not only

to safeguard the interests of their clients and candidates but also to foster trust and credibility across the employment ecosystem.

Remote talent acquisition: As remote work becomes increasingly mainstream, staffing agencies are no longer confined by geographical limits. They now connect businesses with skilled professionals from across regions and time zones, unlocking access to a truly global talent pool. This not only widens the spectrum of available expertise but also brings fresh perspectives and greater diversity into the workplace, enriching company culture and driving innovation.

Indian IT staffing industry

The IT staffing industry maintained its upward trajectory in Q2 FY25, registering a year-on-year growth of 5.4% compared to Q2 FY24. This momentum was driven by rising demand from newly established Global Capability Centers (GCCs) and expanding projects within the services sector. Encouragingly, this quarter also saw renewed hiring activity from non-IT sectors, which are increasingly investing in technology adoption. Notably, the industry recorded a significant milestone in employment generation, with a robust 4.1% quarter-on-quarter growth—marking its strongest performance in nearly three years (11 quarters).

(Source: https://indianstaffingfederation.org//isf-images/research(new)-img/Indian%20Staffing%20Federation%20-%20Staffing%20Employment%20Trends%20Q2%20 Report%202024-25.pdf)

As Indias economic momentum builds, the recruitment industry will play a vital role in enabling sectoral growth and workforce readiness. With technology, skill evolution, and structural reforms as key catalysts, 2025 is shaping up to be a landmark year for employment and talent strategy.

Outlook

Indias recruitment industry is poised for a dynamic phase of growth and transformation in 2025, supported by rapid technological advancements, evolving workforce needs, and expanding opportunities across key sectors. Industry estimates project over 5,00,000 new job opportunities, marking a 19% rise in hiring intent compared to 2024—a clear reflection of growing employer confidence. Staffing activity is also expected to surge by 40%, indicating strong hiring momentum nationwide.

The technology sector remains a major growth driver, with projected job creation rising by 15-20%, fuelled by increasing adoption of AI, machine learning, cloud computing, and data analytics. Demand for specialised tech talent is anticipated to grow by 30-35%, highlighting the sectors evolving skill requirements. Meanwhile, the manufacturing sector is expected to see a 25% increase in hiring intent, supported by policy tailwinds and capacity expansion. The automotive industry,

undergoing a tech-led transition, is set to register a 20% growth in staffing needs. Emerging sectors are also gaining ground. E-commerce is forecast to grow hiring by 25%, while renewable energy (20%), healthcare (18%), and logistics (15%) are showing strong upward trends, reflecting shifts in consumer demand and national development priorities.

As Indias economic momentum builds, the recruitment industry will play a vital role in enabling sectoral growth and workforce readiness. With technology, skill evolution, and structural reforms as key catalysts, 2025 is shaping up to be a landmark year for employment and talent strategy.

About Spectrum Talent Management Limited (STML)

Founded in 2008 by Vidur Gupta and Sidharth Agarwal, Spectrum Talent Management Limited (STML) has evolved into a trusted leader in the human resources industry. With capabilities spanning general staffing, IT staff augmentation, Recruitment Process Outsourcing (RPO), and apprenticeship programs under NAPS and NATS, we deliver end-to-end HR solutions tailored to meet the dynamic needs of modern businesses.

Over the past 17 years, Spectrum has grown from a founder-led startup into a global talent powerhouse. Today, we proudly serve clients across 30+ countries, supported by a proprietary database of over 1 million global candidates.

Our dedicated team of 562+ full-time professionals cater to a client base of 450+ companies, managing a workforce of over 35,228 associates worldwide.

Our deep industry insight, structured processes, and unwavering professionalism have earned us a reputation for delivering reliable, agile, and high-quality talent solutions.

What truly sets us apart is our commitment to quality, long-term relationships, and value creation. We have built a scalable, sustainable business grounded in client trust, operational excellence, and service-first values.

With a comprehensive suite of HR services and a strong global footprint, Spectrum Talent Management Limited continues to be the partner of choice for organizations seeking dependable, future-ready, and strategic workforce solutions.

Financial Highlights - FY25

For the fiscal year 2025, we delivered robust financial growth, with total revenue rising by 25.47% year-on-year to 12,566.42 million. This impressive growth was driven by strong performance across our core business verticals—manpower supply, recruitment services, and electronic goods exports—reflecting our operational agility and the continued trust of our clients.

Our Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)

stood at 111.04 million, representing an EBITDA margin of 0.89%. Despite prevailing margin pressures across the industry, we maintained operational efficiency through strategic cost control, process automation, and continued diversification of revenue streams.

Profit After Tax (PAT) for the year was 68.88 million, with a PAT margin of

0.55%. While profitability was moderate, it reflects the impact of purposeful strategic investments made to position the business for long-term growth. Key areas of investment included the development of new verticals—Retaspect and Speraspect—as well as our international expansion initiatives and digital infrastructure enhancements.

Financial Highlights

Our net worth increased to 1,532.93 million, up from 1,465.94 million in the previous fiscal year, underscoring our prudent capital management and strengthening financial position.

In conclusion, FY25 was a year of sustained revenue growth, disciplined financial management, and forward-looking investments. Although profitability was temporarily impacted by strategic spending, these actions align with our long-term objective of building a resilient, scalable, and future-ready enterprise. Our performance reflects sound leadership, operational strength, and an unwavering commitment to creating enduring stakeholder value.

Ratio Analysis and Operational Performance

In FY25, Spectrum continued to gain momentum across key verticals, driven by robust operational execution and a focused strategy to scale our workforce solutions. At the company level, total headcount rose by an impressive 29.7% year-on-year, reaching 35,228 by the end of the fiscal year. This growth was powered by steady expansion in both our staffing and apprenticeship programs.

We added 8,074 managed headcounts during FY25, with 1,767 of those additions occurring in the second half.

Our apprenticeship vertical also saw encouraging growth, with 7,907 new trainees onboarded. This operational expansion underscores Spectrums growing relevance across industries and our ability to serve dynamic workforce needs with agility and quality.

Key Developments in FY25 and Strategic Outlook

Spectrum proudly serves a global client base spanning over 30 countries, supported by a proprietary talent pool of more than 1 million candidates worldwide. Our delivery capability is driven by a team of 562+ full-time professionals, serving 450+ client organizations and managing a workforce of over 35,000 associates.

This scale, combined with deep industry insight, enables us to execute large-scale mandates while maintaining service excellence.

Our continued emphasis on structured processes, professionalism, and ethical practices has solidified our reputation as a trusted partner in the global human capital space. In July 2024, we further strengthened our leadership by welcoming Mr. Naman Nangiana to lead our Retaspect division, a dedicated vertical focused on the retail industry. His addition brings renewed strategic depth and direction to this fast-growing segment.

	FY24	FY25
Revenue	10,162.01	12,701.35
Other Income	24.61	32.51
EBITDA	118.4	114.68
EBITDA Margin	1.17%	0.90%
PAT	115.90	72.38
PAT Margin	1.14%	0.57%
Net Worth	1,465.94	1,532.93
Cash from Operations	-48.04	-669.77
Cash from Investments	-48.38	-83.52
Cash from financial Activities	757.93	390.08
Debt to Equity(x)	0.1	0.22
Current Ratio	3.58	2.64
BV ( Rs.)	24.2	69.10

Key ratios

	Resulted ratio (March, 2025)	Variance in (%)
Current Ratio	2.64	-26.19
Debt Equity Ratio	0.22	2101.86
Debt Service Coverage Ratio	9.46	-29.89
Return on Equity	4.73	-57.17
Inventory Turnover Ratio	116.88	-2.39
Trade Receivable Turnover Ratio	12.88	-14.65
Trade Payables Turnover Ratio	1320.13	-9.41
Net Capital Turnover Ratio	8.80	13.56
Net Profit Ratio	0.64	-30.74
Return on Capital Employed	4.86	-31.10
Return on Investment	NA	NA

Industry Outlook and the Future of Talent Management

The HR and talent management industry is undergoing rapid transformation, shaped by technological disruption, evolving workforce dynamics, and shifting organizational priorities. Several key trends are expected to define the sectors future:

1. Technological Integration

Artificial intelligence (AI), automation, and machine learning are reshaping recruitment and HR processes.

These technologies are enhancing candidate-job matching, automating administrative tasks, and increasing overall process efficiency.

2. Remote Work and the Gig Economy

The normalization of remote work and the growth of the gig economy are driving a shift toward more flexible, decentralized workforce models. Organizations are seeking innovative staffing solutions and digital collaboration tools to manage distributed teams effectively.

3. Diversity, Equity & Inclusion (DE&I)

There is a growing emphasis on inclusive hiring and diversity initiatives. Companies are designing targeted programs and adopting equitable practices to build workplaces that reflect a broad spectrum of backgrounds, skills, and perspectives.

4. Upskilling and Reskilling

The need for continuous learning is more critical than ever. As industries evolve, companies are investing heavily in upskilling and reskilling their workforce to stay competitive and adaptable.

5. Data-Driven Decision Making

Data and predictive analytics are becoming central to HR strategies. From recruitment and retention to workforce planning and performance tracking, data-backed insights are enabling smarter, faster, and more informed decision-making.

Opportunities and Threats Opportunities:

Opportunities

Indias staffing industry is on a strong growth trajectory, driven by increasing demand for human capital management solutions across sectors such as IT, telecom, infrastructure, and FMCG.

This momentum presents significant opportunities for Spectrum Talent Management to expand its service offerings, including innovative initiatives like the Degree Apprenticeship program, which offer enhanced value to clients seeking skilled and job-ready talent.

The nations current emphasis on employability enhancement, business- friendly regulations, and digitally enabled processes creates a favorable environment for companies with specialized HR expertise. Spectrum is well-positioned to capitalize on this shift by leveraging its deep industry insight and robust delivery infrastructure.

Additionally, the rise of remote work and digital transformation has created a growing demand for digital hiring solutions, an area where Spectrum can thrive through continued investment in technology and process automation.

The emergence of the gig economy has further accelerated the need for flexible and temporary workforce solutions, opening new avenues for growth. By aligning its offerings with these evolving trends, Spectrum Talent Management is well-placed to reinforce its leadership position in the staffing space while contributing to Indias dynamic and rapidly developing economic landscape.

Threats

While the industry outlook remains positive, certain external factors pose potential risks to business performance:

• A slowdown in economic growth in India could impact hiring demand, affecting revenues, margins, and cash flows.

• Regulatory uncertainty, including frequent changes in labor laws, tax regulations, and compliance norms, may disrupt operations and require continuous adaptation.

• Adverse application of tax laws or retrospective policy changes could result in unanticipated financial liabilities.

• Rising inflationary pressures could increase operational costs and erode profitability, particularly in a price- sensitive services environment.

Risk management

A thorough risk-management framework allows us to pre-emptively monitor risks emanating from the internal and external environment. As a result, we have been able to consistently create value for all our stakeholders, despite industry cycles and economic headwinds.

Our risk management process

IDENTIFICATION AND ASSESSMENT APPROACH

Forecasting and calculating the probability of occurrence, magnitude, category and rating of the risk.

MONITORING

Gauging the potency of controls, reacting to the revelations and continuously honing the method.

Our risk mitigation plan

The Board takes the following steps as a part of its risk management and mitigation plan:

• Defines the roles and responsibilities of the different board committees

• Participates in major decisions affecting the organisations risk profile

• Integrates risk-management reporting with the Boards overall reporting framework

The Company functions under a well- defined organization structure. Flow of information is well defined to avoid any conflict or communication gap between two or more departments. Second-level positions are created in each department to continue the work without any interruption in case of non-availability of functional heads. Proper policies are followed in relation to maintenance of inventories of raw materials, consumables, key spares and tools to ensure their availability for planned production

PREVENTION AND CONTROL STRATEGY

Devising plan of actions to prevent risk, temper its strength and reduce its aftermaths.

REVIEWING AND REPORTING ON THE RISK

Overseeing the process at regular intervals (at least annually).

programmes. Effective steps are being taken to reduce the cost of production on a continuing basis, taking various changing scenarios in the market.

Information Technology

Your Company recognizes the critical role of a robust IT infrastructure, both in scale and technology, as the cornerstone of stable IT systems and superior support. Boasting state-of-the-art IT systems, it possesses a comprehensive IT framework essential for managing service administration and delivery. The Companys IT setup is instrumental in generating a variety of business intelligence reports for production management, electronic procurement, paperless transactions, budgeting, forecasting, and cash flow analysis, supporting STML. It adheres to international benchmarks in information automation, performance metrics, remote working capabilities, and managerial excellence. The technical team is tasked with system programming and providing user support for technological advancements.

Internal control system and their adequacy

The Company maintains a robust Internal Control System (ICS) in alignment with the Companies Act, 2013. The Company has put in place a robust Internal Control System thoughtfully designed to match the scale, complexity, and nature of its operations. Guided by the Board of Directors, a comprehensive framework of internal financial controls, supported by well-defined policies and procedures, ensures smooth and efficient functioning. These controls are aimed at safeguarding assets, ensuring compliance with laws and regulations, preventing fraud, maintaining accuracy in accounting, and enabling timely and reliable financial reporting.

In accordance with Section 177 of the Companies Act and Regulation 17 of the SEBI (LODR) Regulations, 2015, our Audit Committee, comprising three members, including two independent directors, regular interval of statutory provision to review internal audit reports. These reviews are vital for identifying key audit observations and evaluating the robustness of our financial controls, internal systems, risk management practices, and compliance processes. To ensure these insights lead to meaningful action, our internal auditor conducts regular follow-up reviews, helping drive timely and effective implementation of recommendations.

Both the Statutory Auditors and the Audit Committee have consistently reaffirmed the adequacy and reliability of our internal financial controls throughout the year, underlining their effective and seamless functioning in support of accurate and transparent financial reporting.

Human resource

STML attributes its success to its resolute and resilient employees, who have been instrumental in propelling the Company to new heights. Recognizing the crucial role of its workforce, STML has continuously enhanced its HR-related processes,

The

Company has put in place a robust Internal Control System thoughtfully designed to match the scale, complexity, and nature of its operations. Guided by the Board of Directors, a comprehensive framework of internal financial controls, supported by well- defined policies and procedures, ensures smooth and efficient functioning. practices, and systems to further align with its organizational objectives. Through on- the-job training, workshops and external training programs, the Company ensures that its employees receive adequate opportunities for professional growth and development.

At our Company, human resources play a pivotal role as a strategic partner, working in close alignment with our overarching business goals. Weve thoughtfully crafted a suite of HR policies that not only comply with current legal frameworks, including the Companies Act of 2013 and SEBIs LODR Regulations of 2015. but also reflect our deep commitment to ethical conduct and a respectful workplace culture.

These policies span a wide spectrum of critical areas: from the Code of Conduct and Business Ethics for employees, senior management, and directors, to a well- defined Succession Planning policy. Weve put in place clear measures to prevent and address sexual harassment in accordance with the Sexual Harassment of Women at Workplace Act, 2013. Additionally, our Whistleblower and Vigil Mechanism, AntiBribery Policy, and Insider Trading Policy (as per SEBI regulations) further reinforce our dedication to transparency and integrity. All these policies are readily available on our official website, ensuring transparency and accessibility.

We believe that a strong organizational culture is built by empowered individuals. Thats why we continuously invest in our people — through regular technical and safety training programs and a performance management system that tightly integrates individual objectives with the Companys strategic direction. This alignment between personal development and organizational purpose drives our collective success and forms the foundation of our sustained growth journey.

Cautionary statement

The statements made in the Management Discussion and Analysis describing the Companys objectives, projections, estimates, expectations may be "forwardlooking statements" within the meaning of applicable securities laws & regulations. Actual results could differ from those expressed or implied. Important factors that could make a difference to the Companys operations include economic conditions affecting demand-supply and price conditions in the domestic & overseas markets in which the Company operates, changes in the government regulations, tax laws & other statutes & other incidental factors.

5.	Ceiling Limit	Subject to the provisions of Section 196, 197, 198 and 203 read with Schedule V and all other applicable provisions, if any, of the Companies Act, 2013, Articles of Association and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, Shri Sidharth Agarwal shall be eligible to get overall remuneration (including basic salary, House Rent Allowance, Perquisites, allowances, benefits etc) over and above 5% of net profits of the Company, provided that in case of more than one managerial person, overall remuneration payable to all executive directors and manager shall exceed ten percent together in a financial year.
		In the event of having no profits or inadequate profits in a financial year, the Company will pay remuneration to Shri Sidharth Agarwal by way of Basic Salary and Perquisites/ Allowances in terms of applicable provisions of the Schedule V of the Companies Act, 2013.
6.	Reimbursement of Expenses	All the expenses incurred towards travelling, aboard and lodging and attendant(s) during business trips, any medical assistance provided including for their respective family members; and provision of car for use on the Companys business and telephone expenses at residence shall be reimbursed at actual.
7.	Other terms and	- Shri Sidharth Agarwal shall not be liable for retire by rotation.
	conditions:	- The functioning of Shri Sidharth Agarwal shall be as Whole-Time Director of the Company, as approved by the shareholder in its general meeting held on 18.09.2025 which shall be subject to the supervision, control, and direction of the Board and following shall be the broad areas of coverage;
		- Drive the company planning, Compliance, Perform risk management by analyzing the organizations liabilities and investments, Decide on investment strategies by considering cash and liquidity risks, Control and evaluate the organizations fundraising plans and capital structure, Ensure cash flow is appropriate for the organizations operations, Supervise all finance personnel (controllers, treasurers etc.), Manage vendor relationships, Prepare reliable current and forecasting reports, Set up and oversee the companys finance IT system, Consolidation of Balance Sheets, Preparation and finalization of Balance Sheet & Profit & Loss Account, FBT,VAT, BPP, DTC Audit, Advance Tax calculations and planning, Compliance of all accounting Standards, Liaisoning with Bank & Financial Institutions, Project appraisal, C.C. renewal, CMA, QIS & QMR preparation and submission.
		- The Whole-Time Director will perform his duties as such with regard to all works of the Company, not limited to the aforesaid, and he will manage and attend to such business and carry out the orders and directions given by the Board from time to time in all respects and conform to and comply with all such directions and regulations as may from time to time be given and made by the Board;
		- The Whole-Time Director shall adhere to the Companys Code of Conduct & Ethics for Directors and Management Personnel;
		- The Whole-Time Director shall also adhere to the policies of the Companies such as Insider Trading Policy, Whistle Blower Policies and such other policies as may be framed and applicable from time to time.
		- Terms and conditions of Shri Sidharth Agarwal may be modified or altered or amended or varied from time to time by the Board of Directors and or committee thereof as it may be permissible and if deemed fit within the limits prescribed in schedule V of the Companies Act, 2013 or any amendments or modifications or re-enactments made thereto, subject to the approval of the Shareholders.
		- Further Shri Sidharth Agarwal is also holding employment as CFO of the Company.

RESOLVED FURTHER THAT in accordance with the provisions of Section 197 of the Companies Act, 2013, read with Schedule V and other applicable provisions, if any, of the Companies Act, 2013 and rules made there under (including any statutory modification(s) or re-enactment thereof for the time being in force) as per the recommendation of Nomination and Remuneration Committee and Board of Directors of the Company, consent of members of the Company be and is hereby accorded to pay total managerial remuneration to managerial person in excess of 5% of the net profits of the Company and if there is more than one such

Director/ managerial personnel remuneration in excess 10% of the net profits to all such directors taken together.

RESOLVED FURTHER THAT in the event of Company having no profit or inadequacy of profit in any financial year, during the tenure of Shri Sidharth Agarwal (DIN:05213023) as Whole Time Director of the Company, the aforesaid remuneration and allowances may be paid as the minimum remuneration payable to him subject to the provisions and necessary approvals in accordance with the limits prescribed in Schedule V of the Act.

“RESOLVED FURTHER THAT Directors of the Company be and are hereby authorised, for and on behalf of the Board, to file prescribed necessary e-forms and/ or returns along with such other agreements, deeds, documents, papers or writings with the office of Registrar of Companies, NCT of Delhi and Haryana and to do all such acts, deeds and things which may be necessary, incidental and ancillary thereto to give effect to the intent of this resolution."

4. To consider and approve the Re-appointment and fixation of remuneration of Shri Vidur Gupta (DIN: 05213073) as Whole-Time Director.

“RESOLVED THAT pursuant to the provisions of Sections 196, 197, 198 and 203 read with Schedule V and all other applicable provisions, if any, of the Companies Act, 2013, Articles of Association, the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 (including any statutory modification(s) or re-enactment thereof for the time being in force), and other applicable provisions of the Act, subject to approval of any other authorities, if required, as per the recommendation of Nomination & Remuneration Committee and Board of Directors of the Company approval of shareholders of the Company, be and is hereby accorded for re-appointment of Shri Vidur Gupta (DIN: 05213073) as the Managing Director of the Company, for a period of 3 (three) years with effect from December 1^st 2025, on such terms and conditions including remuneration as enumerated herein below:

1.	Term of Appointment:	1st December 2025 to 30th November 2028
2.	Remuneration: Basic Salary:	INR 8,33,333/- per month. However, the basic salary for the period from 1st December, 2025 to 30th November, 2028 shall be INR 3,75,000/- per month.
3	Commission:	5% of Net Profit of the Company minus compensation paid in the year by way of Salary and Perquisites and allowances
4.	Perquisites/ Allowances:	- House Rent Allowance upto 50% of the Basic Salary or rent-free accommodation will be provided by the Company
		- Gas, Electricity & Water (Evaluated as per Income Tax Act, 1961);
		- Reimbursement of all medical expenses including hospitalization and surgical charges incurred in India and Abroad for self and family;
		- Premium towards Personal Accident Insurance not more than INR 10,000/-
		- Contribution to Provident Fund in accordance with rules of the Company;
		- Gratuity payable at a rate not exceeding halfs month salary for each employed year of service;
		- Telephone/Mobile/Internet and/or other suitable communication facilities;
		- One Car with chauffeur for official and personal purpose
		- Subject to overall ceiling on remuneration mentioned herein point no. 5 of this item, Shri Vidur Gupta may also be given other allowances, benefits and/or perquisites, as the Board of Directors or any committee thereof may from time to time decide.
		Explanation: Value of aforesaid Perquisites/Allowances shall be calculated and considered as per respective/ applicable provisions of the Income Tax Act, 1961 and/or Companies Act, 2013 read with rules and/ or regulation made there under.
5.	Ceiling Limit	Subject to the provisions of Section 196, 197, 198 and 203 read with Schedule V and all other applicable provisions, if any, of the Companies Act, 2013, Articles of Association and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, Shri Vidur Gupta shall be eligible to get overall remuneration (including basic salary, House Rent Allowance, Perquisites, allowances, benefits etc.) over and above 5% of net profits of the Company, provided that in case of more than one managerial person, overall remuneration payable to all executive directors and manager shall exceed ten percent together in a financial year.
		In the event of having no profits or inadequate profits in a financial year, remuneration shall be payable to Shri Vidur Gupta in terms of applicable provisions of the Companies Act, 2013 read with Schedule V of the Companies Act, 2013.
6.	Reimbursement of Expenses	All the expenses incurred towards travelling, aboard and lodging and attendant(s) during business trips, any medical assistance provided including for their respective family members; and provision of car for use on the Companys business and telephone expenses at residence shall be reimbursed at actual.
7.	Other terms and conditions:	- Shri Vidur Gupta shall not retire by rotation whilst he continues as to hold the office of Managing Director;
		- The functioning of the Managing Director, shall be subject to the supervision, control, and direction of the Board and be vested with substantial powers of management of the Company;
		- The Managing Director will perform his respective duties as such with regard to all works of the Company and he will manage and attend to such business and carry out the orders and directions given by the Board from time to time in all respects and conform to and comply with all such directions and regulations as may from time to time be given and made by the Board and the functions of the whole-time director will be under the overall authority of the Managing Director;
		- The Managing Director shall act in accordance with the Articles of Association of the Company and shall abide by the provisions contained in Section 166 and all other applicable sections of the Companies Act, 2013 with regard to duties of directors;
		- The Managing Director shall adhere to the Companys Code of Conduct & Ethics for Directors and Management Personnel;
		- The Managing Director shall also adhere to the policies of the Companies such as Insider Trading Policy, Whistle Blower Policies and such other policies as may be framed and applicable from time to time.
		- Terms and conditions of Shri Vidur Gupta may be modified or altered or amended or varied from time to time by the Board of Directors and or committee thereof as it may be permissible and if deemed fit within the limits prescribed in schedule V of the Companies Act, 2013 or any amendments or modifications or re-enactments made thereto.

RESOLVED FURTHER THAT in accordance with the provisions of Section 197 of the Companies Act, 2013, read with Schedule V and other applicable provisions, if any, of the Companies Act, 2013 and rules made there under (including any statutory modification(s) or re-enactment thereof for the time being in force) as per the recommendation of Nomination and Remuneration Committee and Board of Directors of the Company, consent of members of the Company be and is hereby accorded to pay total managerial remuneration to managerial person in excess of 5% of the net profits of the Company and if there is more than one such Director/ managerial personnel remuneration in excess 10% of the net profits to all such directors taken together.

RESOLVED FURTHER THAT in the event of Company having no profit or inadequacy of profit in any financial

year, during the tenure of Shri Vidur Gupta (DIN: 05213073) as Whole Time Director of the Company, the aforesaid remuneration and allowances may be paid as the minimum remuneration payable to him subject to the provisions and necessary approvals in accordance with the limits prescribed in Schedule V of the Act.

“RESOLVED FURTHER THAT Directors of the Company be and are hereby authorised, for and on behalf of the Board, to file prescribed necessary e-forms and/ or returns along with such other agreements, deeds, documents, papers or writings with the office of Registrar of Companies, NCT of Delhi and Haryana and to do all such acts, deeds and things which may be necessary, incidental and ancillary thereto to give effect to the intent of this resolution."

By order of the Board of Directors of Spectrum Talent Management Limited

Place: Noida Date: 12.08.2025	Sd/- Nitesh Anand Company Secretary (Membership No.: A28698)
Regd. Off.: B-46, Retreat Apartments, 20 I.P Extension, Delhi-110092, India L51100DL2012PLC235573 Email id.: cs@stmpl.co.in Website: www.stmpl.co.