I removed the industry from the Contact form, published, and then opened the workflow-update record form. The field started appearing in the bottom of form.
Then I completed the remaining workflow steps as per your advice. Ran the workflow on some test contact records. It is working fine.
Then I added the field in the form again, published, and then opened the workflow-update record form. Surprisingly, the field was again nowhere in the form. This is weird but good thing is that workflow is working perfectly. Thanks so much for the quick response and all the support.