{"id":191373,"date":"2022-06-20T20:25:45","date_gmt":"2022-06-20T14:55:45","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=191373"},"modified":"2022-06-20T20:25:45","modified_gmt":"2022-06-20T14:55:45","slug":"on-indias-unemployment-issue-persistent-problem","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/on-indias-unemployment-issue-persistent-problem\/","title":{"rendered":"On India’s unemployment issue: Persistent problem"},"content":{"rendered":"\n

News<\/strong>: Poor state of employment creation in India is reflected in the recurrent protests against changes in the government\u2019s recruitment policy or delays in appointment.<\/span><\/p>\n

The ongoing violent protests against the change in the recruitment policy for armed forces, which have led to a massive loss of public and private property, are yet another example in this context. <\/span><\/p>\n

Has the unemployment rate declined?<\/h5>\n

Yes.<\/p>\n

Periodic Labour Force Survey (PLFS) annual report <\/a><\/strong><\/span>shows that the unemployment rate declined and the workforce participation increased. But, it is important to look beyond the headline numbers. <\/span><\/p>\n

– According to the report, the unemployment rate declined to 4.2%<\/strong> compared to 4.8% during the previous year, and 5.8% in 2018-19. <\/span><\/p>\n

Since this was the period when the economy was recovering from a stringent lockdown<\/strong>, the labour force participation rate increased to 41.6% compared with the level of 40.1% in the previous year. <\/span><\/p>\n

The female workforce participation rate, which has been a significant drag on labour force participation, also improved during this period. <\/span><\/p>\n

Has the unemployment actually gone down?<\/h5>\n

No.<\/p>\n

The improvement was not particularly on account of improved employment opportunities. <\/span><\/p>\n

–<\/strong> More people joined the workforce<\/strong> due to the decline in household income. This is also evident in the quality of employment.<\/span><\/p>\n