{"id":52737,"date":"2019-10-01T19:00:44","date_gmt":"2019-10-01T13:30:44","guid":{"rendered":"https:\/\/blogadmin.forumias.com\/?p=52737"},"modified":"2019-10-01T17:28:07","modified_gmt":"2019-10-01T11:58:07","slug":"7-pm-creating-jobs-for-young-india-1st-october-2019","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/7-pm-creating-jobs-for-young-india-1st-october-2019\/","title":{"rendered":"7 PM | Creating jobs for young India | 1st October, 2019"},"content":{"rendered":"\n<p><strong>Context:\n<\/strong>Unemployment\nin India \u2013 reasons and some measures.<\/p>\n\n\n\n<p><strong>More\nin News: <\/strong>The\ngovernment\u2019s Periodic Labour Force Survey carried out in 2017-18 revealed that\nunemployment in the country reached an all-time high rate of 6.1%.<\/p>\n\n\n\n<p>Unemployment\nRate (UR) is the ratio of number of unemployed persons\/person-days to the\nnumber of persons\/person-days in labour force. <\/p>\n\n\n\n<p>Three\nsets of estimates of unemployment rates are obtained based on the estimates\nof&nbsp;unemployment obtained by the three different\napproaches used for classification of the activity statuses of persons. <\/p>\n\n\n\n<p>The different estimates of unemployment are:<\/p>\n\n\n\n<ol class=\"wp-block-list\"><li>number of persons usually unemployed based on \u2018usual status\u2019\napproach, <\/li><li>number of persons unemployed on an average in a week, based\non the current weekly status (CWS) approach,<\/li><li>Number of person-days unemployed on an average during the\nreference period of seven days preceding the date of survey, based on the\ncurrent daily status(CDS) approach.&nbsp;<\/li><\/ol>\n\n\n\n<p><strong>Unemployment rate\nFact-Sheet:<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" width=\"432\" height=\"208\" src=\"https:\/\/i0.wp.com\/blogadmin.forumias.com\/wp-content\/uploads\/2019\/10\/aa.jpg?resize=432%2C208&#038;ssl=1\" alt=\"\" class=\"wp-image-52738\"\/><\/figure>\n\n\n\n<ul class=\"wp-block-list\"><li>The Periodic Labour Force\nSurvey (PLFS) of the National Sample Survey Office (NSSO) showed the\nunemployment rate in the country in financial year 2017-2018 was at 6.1%.<\/li><li>In 2018, there were 471.5 million persons\nemployed and 30.9 million unemployed in India.<\/li><li>For the rural areas, the unemployment rate\nwas 5.3 per cent, while in the urban areas it was 7.8 per cent.<strong><\/strong><\/li><li>Among the rural men, the unemployment rate\nwas 5.8 per cent while among the women it was 3.8 per cent. <strong><\/strong><\/li><li>Among the urban men it was 7.8 per cent\nand 5.7 per cent among urban women.&nbsp;<strong><\/strong><\/li><li>The report notes that the youth (between\n20-24 years), who constitute around 40 per cent of India&#8217;s labour force, have\nan unemployment rate of 32 per cent.<\/li><li>The unemployment rate among the educated\nis worse. The rate among people with at least a graduate degree was 13.17 per\ncent in September-December 2018, up from 10.39 per cent in May-August 2017.<\/li><li>Estimates show that the potential\nnon-agricultural workforce in India grew at the rate of 14.2 million a year\nbetween 2005 and 2012, which rose further to 17.5 million a year between 2012\nand 2018.<\/li><\/ul>\n\n\n\n<p><strong>Reasons\nof Sudden rise in numbers of job seekers:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Expansion\nof working age population:<\/strong> The size of labour supply in India is\ngetting a boost from the rapid expansion of the working-age population in the\ncountry. The population of 15-59-year-olds increased at the rate of 14 million\na year in the 2000s.<\/li><li><strong>Nature\nof labour Force: <\/strong>The nature of labour supply is changing.\n31% of female in the age group of 15-29years were attending school\/college in\n2018 as against 16.3 in 2005.<\/li><li><strong>Agricultural\nand allied sector: <\/strong>The size of the workforce engaged in\nagriculture (and allied activities) has been declining in India from 258.8\nmillion in 2005 to 197.3 million in 2018.<\/li><li><strong>Fall in\nconstruction sector: <\/strong>New employment opportunities in\nconstruction created in rural India amounted to 18.9 million between 2005 and\n2012, which fell sharply to 1.6 million between 2012 and 2018.<\/li><li><strong>Manufacturing\nsector: <\/strong>The\nsize of the manufacturing workforce in India declined by one million between\n2012 and 2018, with micro and small firms in the informal sector suffering\nsevere setbacks.<\/li><li><strong>Demand-supply\nmismatch: <\/strong><\/li><li>From\n2005 to 2012, job creation in industry, construction and services in India (at\nthe rate of 6.3 million a year) was inadequate to absorb the increase in\npotential job seekers into these sectors (at the rate of 14.2 million a year). <\/li><li>Between\n2012 and 2018, while the supply of potential workers into the non-agricultural\nsectors accelerated (to 17.5 million a year), actual labour absorption into\nthese sectors decelerated (to 4.5 million a year).&nbsp;<\/li><li><strong>Women\nwithdrawal<\/strong>\nfrom labour market: Of all 15-59-year-old women in India, only 23% were\nemployed in 2018, down from 42.8% in 2005.<\/li><li><strong>Young\nmen<\/strong>\nof age group 15-29 years were indeed the main contributor to the sudden\nincrease in overall unemployment in India. There was an unprecedented increase\nin the number of the unemployed, from 6.7 million in 2012 to 21.1 million in\n2018.<\/li><\/ul>\n\n\n\n<p><strong>Measures\nto Solve Unemployment Problem in India:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>A\nChange in the pattern of investment: <\/strong>The planning\nprocess in the initial stages gave importance to an investment-allocation\npattern with a high capital-labour ratio. Therefore, a shift in the emphasis to\nmass consumer goods industries would generate more employment to absorb the\nunemployed labour force.&nbsp;<\/li><li><strong>Encouragement\nto small enterprises as against big enterprises: <\/strong>The employment\nobjective and the output objective can be achieved, if greater investment is\ndirected to small enterprises rather than to large enterprises. Now that the\nGovernment wants to undertake decentralised development with emphasis on\nsmall-scale enterprises, it would be desirable to reorient credit, licensing,\nraw material allocation and other policies in such a manner that both\nemployment and output are enlarged simultaneously.<\/li><li><strong>Problem\nof Choice of technique:<\/strong> During the period of rapid growth in the\nlabour force, it would be advisable to adjust the choice of techniques\nconsistent with the employment objective. Intermediate technology would be more\nsuited to Indian conditions.<\/li><li><strong>Encouragement\nof New Growth Centres in Small Towns and Rural&nbsp;Areas: <\/strong>Experience\nof planning has revealed that the overcrowded metropolitan centres have\nreceived a large share of investment. Therefore, the smaller towns should be\ndeveloped as new growth centres for the future. The establishment of small\nindustrial complexes can increase employment opportunities and provide\nflexibility to the economy.<\/li><li><strong>Reorientation\nof Educational Policy: <\/strong>One great defect of our educational system\nis that it leads one to take up the professional degree only. The high degree\nof unemployment among the educated signifies the urgent need to reorient our\neducational system to greater employment opportunities. Development of quality\neducation is a prerequisite for the development of a nation as it is the remedy\nfor all problems including the problem of unemployment in the country. Hence, a\nhigh priority needs to be accorded for education in public expenditure.<\/li><li><strong>Underemployment\nin Rural Areas: <\/strong>Failure of implementation of Rural Works Programme\nunderlines the relatively low importance given to the rural sector to provide\nadditional employment to millions of landless labourers and small and marginal\nfarmers. Urgent action is needed in this direction so that work opportunities\ngrow in the rural areas. This will raise the level of income and employment in\nrural areas and reduction in poverty levels.<\/li><\/ul>\n\n\n\n<p><strong>Source:\n<\/strong><a href=\"https:\/\/www.thehindu.com\/opinion\/op-ed\/creating-jobs-for-young-india\/article29559283.ece\">https:\/\/www.thehindu.com\/opinion\/op-ed\/creating-jobs-for-young-india\/article29559283.ece<\/a><strong><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Context: Unemployment in India \u2013 reasons and some measures. More in News: The government\u2019s Periodic Labour Force Survey carried out in 2017-18 revealed that unemployment in the country reached an all-time high rate of 6.1%. Unemployment Rate (UR) is the ratio of number of unemployed persons\/person-days to the number of persons\/person-days in labour force. Three&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/7-pm-creating-jobs-for-young-india-1st-october-2019\/\">Continue reading <span class=\"screen-reader-text\">7 PM | Creating jobs for young India | 1st October, 2019<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":49370,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[130,9],"tags":[],"class_list":["post-52737","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-7-pm","category-public","entry"],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2019\/07\/7-PM.png?fit=1000%2C500&ssl=1","views":{"total":0,"cached_at":1700772483,"cached_date":1704920282},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/52737","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=52737"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/52737\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media\/49370"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=52737"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=52737"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=52737"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}