[Answered] Justify treating employment as a national priority and analyze the need for a unified national framework in India. Evaluate its potential to enhance livelihood security.

Introduction

With over 133 million people entering India’s workforce by 2047 (CII estimate), employment generation is central to sustaining demographic dividends, inclusive growth, and social stability—necessitating its treatment as a national policy priority.

Employment as a National Priority

  1. Demographic Dividend and Growth Nexus: India’s working-age population will peak by 2043 (UNFPA, 2024). Harnessing this window requires quality employment creation. The World Bank (2023) highlights that each 1% rise in employment elasticity can lift 10 million out of poverty annually.
  2. Economic Equity and Social Stability: Employment ensures distributive justice and balanced regional growth. The ILO’s 2022 Employment Outlook warns that underemployment and informality (over 80% workforce) can erode India’s growth potential and deepen social inequalities.
  3. Growth and Resilience Linkage: In a consumption-driven economy, job creation broadens the demand base. According to CMIE (2024), India’s labour participation rate stands at 41%, with female LFPR below 25%. Enhancing quality employment is thus vital for sustained GDP growth and gender equity.

Need for a Unified National Employment Framework

  1. Despite multiple central and State schemes (PMKVY, MGNREGA, National Career Service, PM-DAKSH), India lacks a cohesive policy integrating employment, skills, migration, and livelihoods.
  2. Fragmented approaches lead to duplication and inefficiency.

Integrated National Employment Policy (INEP)

  1. Integrated National Employment Policy: As recommended by NITI Aayog (2023), should align industrial, trade, and education policies with labour market outcomes.
  2. Governance Architecture: Empowered Group of Secretaries at the Centre, with District Employment Committees for localized planning.
  3. Time-bound Sectoral Targets: Identifying high-employment sectors — textiles, construction, agro-processing, care economy, and tourism.

Labour Market and Skilling Reform

  1. Mismatch between graduate employability (only 48% job-ready, India Skills Report 2024) and sectoral needs necessitates Outcome-Based Skilling (OBS) linked to industry demand, AI, and green technologies.
  2. Timely implementation of four Labour Codes (2019–20) will formalize employment, improve flexibility, and ensure universal social security.

Employment Mobility and Data Systems

  1. A national framework must integrate migration policy, allowing seamless interstate worker movement.
  2. Strengthened real-time data via Periodic Labour Force Survey (PLFS) and a National Employment Data Grid can inform evidence-based policymaking.

Enhancing Livelihood Security: The Three-Pillar Impact

  1. Social Protection and Formalisation: Unified employment policy can converge welfare and work — linking e-Shram, EPFO, and ESIC platforms — to ensure portable, digital social security for 40 crore informal workers.
  2. Gender-Inclusive Workforce Expansion: Policies like Employment Linked Incentive (ELI) for firms hiring women, formalization of Anganwadi and ASHA roles, and investment in childcare and gig platforms can raise female LFPR to 35% by 2030.
  3. Green and Urban Jobs Transition: Emerging green sectors (EVs, renewables, circular economy) could create 3.5 crore jobs by 2047 (CEEW Report 2024). Urban employment guarantees in Tier-2 cities can cushion cyclical distress.

Way Forward

  1. Blended Finance for MSMEs: Access to concessional capital for labour-intensive sectors.
  2. Gig Economy Regulation: National registry and portable benefits for 9 crore expected gig workers by 2030.
  3. Data-Driven Governance: Real-time dashboards linking PLFS, GSTN, and EPFO data.

Conclusion

As Amartya Sen noted in Development as Freedom, “Employment is the surest path to dignity and capability.” A unified national framework can transform India’s workforce into engines of equitable, resilient growth.

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