What is Employment Scenario in India 2014-15 ?.
India is going through a very challenging phase right now. The rupee is riding on the low wave, inflation is plaguing industrial growth, the GDP of the country is truggling below five, the economy is on a jobless growth, and investor sentiment is not something to be proud of. The number of jobs available is at a pathetic low point and elasticity of employment is almost zero. Nevertheless, there is a slim silver lining to the huge black cloud looming over the country. With economy showing signs of revival, employment figures are set to paint a rosier picture.
Employment has emerged as an important subject in the development agenda of most national governments and several international organisations over the past two decades. In recent years, the processes of globalisation have also resulted in certain trends in labour markets in both the developed and developing countries.in the developing countries, fears have been expressed of displacement of workers in the hither to protected sectors as a result of international competition.
Current scenario of India:
As a belong to India, I would like to emphasize on the current education and employment scenario in India. In India, The educational system follows 12 years of schooling and then a 3-4 years of graduation course, and 2 years of post graduation course. India has a total of 253 universities and 12,732 colleges right now. Growth rate of employment is 3.29% in 2009. Highest rate of Employment is observed in agriculture , fishing and forestry- 296.62 million. The Lowest rate of employment is in Electricity, Gas and water supply – 1.5 million. The country is having a population of 1.2 billion while the total employment is 529.87 million. It indicates that major portion of the youth remain unemployed.
Employment Scenario in India
The sectoral allocation of personnel in India during the period 1983 to 2004 – 05 discloses that the structural alterations in terms of employment have been dawdling in India as the primary segment continued to absorb 56.67 percent of the total workforce even in 2004 – 05, followed by the tertiary and the industrial sectors, 24.62% & 18.70% respectively. There has been uneven augmentation of tertiary sector, as its contribution in employment has been far less when evaluated to its contribution to Gross Domestic Product
It is significant to point out that, within the services sector the employment growth rate is maximum in insurance, finance, & business services, followed by trade, restaurants, hotels & transport etc. The community personal & social services take up the last rank in growth rates of employment.
Further, there was a quick plunge in labour absorptive capacity of growth in the economy from 0.40 to 0.15 for the period of post –reform, originally, reflecting the observable fact of jobless growth. On the other hand, during 1999 – 2000 to 2004 – 05 the employment elasticity of growth listed an increase from 0.15 to 0.51.With the exemption of one sub – sector of tertiary sector all other sub – sectors of services sector showed signs of an increasing trend in employment elasticities and thus overall elasticity of employment augmented from 0.15 to 0.51.
What do government surveys and reports show?
According to the recent NSSO survey, 2011 – 12 provided 13.9 million more jobs when compared to 2009 – 10.
The percentage of salaried people in India has increased from 15.6 percent to 17.9 percent. Also, underemployment has decreased by 1 percent from 6.6 percent to 5.6 percent. The quarterly survey of Labour Bureau threw light on the fact that in 2011 alone, nearly 6.5 lakh jobs were created.
The survey showed the self employment dominates over employment in corporate or government sector. In India, self employment is the major source of income for 51.2 percent households. Combined with casual and temporary labour, this figure increases to almost 80 percent. This implies that nearly 80 percent people in India do not have a reliable salaried job.
In India, Sikkim registers highest employment rate while Chattisgarh registers the lowest figures. In Sikkim, there are 136 unemployed for every 1000 people. In Chattisgarh, there are only 14 unemployed people for every 1000. These statistics are provided in the 2012 – 13 Annual Employment and Unemployment Survey report released by the Labour Bureau. Comparing urban and rural india, the report showed that unemployment is higher in the urban areas. While 4.4 percent of people are unemployed in the rural areas, urban areas register 5.7 percent unemployment. One of the reasons for this trend could be the struggling corporate and private sector. With right-sizing being implemented in most of the private sector companies, not only is there a scarcity of employment opportunities, but currently employed people also have a sword dangling over their jobs. The Labour Bureau, comparing unemployment rates between men and women, said that more women are unemployed than men. While 4.4 percent of men are employed, the figure increases to 7.2 percent when it comes to women.