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'For millions of Indians, every heatwave now comes with a pay cut': Dvara KGFS CHRO

• By Samriddhi Srivastava
'For millions of Indians, every heatwave now comes with a pay cut': Dvara KGFS CHRO

Climate change is often discussed through the lens of rising temperatures, extreme weather and environmental degradation. 

Bikram Mishra, Chief Human Resources Officer at Dvara KGFS, believes the conversation needs to shift. For India, he says, climate change has become a workforce and livelihoods issue that is already changing how people earn, migrate and build economic resilience.

In an interview with People Matters, Mishra explains how rising temperatures, erratic monsoons and recurring climate shocks are affecting millions of workers, particularly those in the informal economy. From agricultural labourers and construction workers to gig workers and delivery personnel, climate risks are increasingly translating into lost income, disrupted livelihoods and long-term workforce shifts.

Climate is reshaping India's labour market

Mishra points out that nearly 90% of India's workforce operates in the informal sector, while around 75% of workers, or nearly 380 million people, depend on heat-exposed occupations such as agriculture, construction and street vending.

"Climate disruptions are fundamentally reshaping how India works, earns, and survives," he says.

He believes the rapid expansion of India's gig economy has created another layer of climate vulnerability. Delivery riders, app-based drivers, rural retail finance officers and field distribution partners now spend long hours outdoors, making them increasingly exposed to extreme weather conditions.

Agriculture, which still employs nearly half of India's population, remains particularly vulnerable.

"When climate change hits the fields, the shockwaves are felt across the entire labour market," Mishra says.

He cites heatwaves during wheat harvesting in northern India and rice and pulse harvesting in central and eastern India as examples where extreme temperatures have damaged farm incomes and disrupted agricultural activity. Consecutive crop failures driven by erratic monsoons or prolonged heat also force rural workers to migrate permanently to Tier I and Tier II cities, increasing competition for low-skilled urban jobs and putting downward pressure on informal wages.

Mishra also notes that the Economic Survey 2025-26 recognised climate resilience as a core driver of economic growth, highlighting India's climate adaptation spending of more than 5% of GDP.

Heat is becoming an economic shock

According to Mishra, climate change has moved beyond being an environmental concern and has become an economic disruptor for vulnerable communities.

"Extreme heat is effectively acting as a tax on physical wages," he says.

For outdoor workers, including agricultural labourers, construction workers and street vendors, rising temperatures often mean stopping work altogether during dangerous heat conditions.

For millions, this translates directly into lost earnings.

Smallholder farmers face an equally difficult challenge. Without access to climate-resilient seeds or advanced irrigation, a single failed crop season can erase an entire year's income. Many families are then forced to sell productive assets such as livestock simply to survive.

Climate disasters also deepen financial vulnerability. In the absence of formal insurance, households frequently rely on informal lenders to rebuild homes or replace damaged equipment, creating debt cycles that prevent long-term economic recovery.

Migration patterns are changing

Environmental uncertainty is also changing where people live and work.

Mishra says migration has traditionally been seasonal, allowing workers to return home during agricultural cycles. Climate pressures are now making these moves increasingly permanent.

Rather than returning to villages after harvests, many rural workers are settling in urban informal settlements in search of stable incomes.

This rapid urbanisation places pressure on city infrastructure while shifting workers from rural environmental risks to new urban vulnerabilities, including flooding, poor sanitation and extreme heat.

The result is a growing concentration of low-skilled workers competing for informal employment in cities.

Which workers face the greatest risk?

Mishra identifies several sectors already experiencing significant climate-related workforce challenges.

These include:

  • Agriculture and food production, where rising temperatures and unpredictable rainfall directly threaten crop yields and livestock.
  • Construction and utilities, where prolonged outdoor work increases the risk of heat exhaustion, dehydration and heatstroke.
  • Delivery and logistics, where growing e-commerce demand often pushes workers to continue operating during dangerous heat conditions.
  • Tourism and hospitality, which are increasingly affected by changing weather patterns.

Regionally, he points to western and central India as areas facing rapid climatic changes, while flood-prone regions around the Ganga and Yamuna river systems and cyclone-prone eastern coastal states continue to experience recurring disruptions to livelihoods and local economies.

Communities are adapting, but gaps remain

Despite mounting challenges, Mishra sees communities developing practical ways to improve resilience.

Families in vulnerable rural regions are diversifying income sources instead of depending entirely on farming. Some combine agriculture with seasonal trade, cottage industries or remittances from family members working in cities.

Small businesses are investing in rooftop solar systems and hybrid energy storage to reduce disruptions caused by unreliable power supplies during extreme weather.

Farmers and retailers are increasingly forming cooperatives to share the costs of resilient seeds, irrigation equipment and insurance.

Local resilience hubs, often based in schools or community centres, are also emerging to provide emergency food, clean water and backup power during disasters.

Resilience must become a workforce strategy

Mishra believes employers, policymakers, financial institutions and community organisations all have a role in strengthening climate resilience.

He says financial institutions must move beyond financial products alone and help build long-term resilience for both customers and employees.

At Dvara KGFS, he says one approach has been hiring talent from rural communities for field-based roles. Local hiring creates employment opportunities while reducing commuting challenges during extreme weather. Employees with deep community connections also understand local realities better and can provide more effective customer support.

Looking ahead, Mishra expects climate change to reshape India's labour market over the coming decade.

He sees growing opportunities in climate-resilient agriculture, renewable energy, sustainable infrastructure and adaptation-focused services. At the same time, workers will need to build new skills centred on resilience, diversification and technology adoption.

"The future of work in India," he says, "will depend not only on economic growth but also on our collective ability to build climate resilience into livelihoods, businesses, and communities."