1.78 Million got employment in Jan : Govt Data
Extract
from the article:
The recent government survey highlights a significant milestone in employment
growth within India’s formal sector. Over the course of one year, approximately
one million formal jobs were added, bringing total employment in establishments
with 10 or more workers from 30.8 million to an estimated 31.8 million. This
upsurge reflects a positive development in organized sector employment,
particularly considering the diverse sectors surveyed, which include
manufacturing, trade, and services.
A sample of nearly 11,000 establishments was meticulously
studied across nine major sectors, providing robust insights into the evolving
labour market. Labour economists emphasize that such growth signals a
strengthening of formal economic structures, potentially augmenting social
security coverage and formal wages for workers. This increment also contrasts
with the traditionally slower pace of employment growth, underscoring
government efforts and market dynamics fostering formal sector expansion amidst
broader economic challenges.
My
Take:
A. Hint:
Self Employment is Answer
Reflecting on my blog from early 2018, I remarked, “to August 2017, while only
about 1.5 million people were employed on an incremental basis, according to
survey data provided by BSE-CMIE… the country’s organised sector created 4 lakh
jobs in 2016-17.” My analysis back then highlighted how formal job creation was
sluggish and insufficient relative to the burgeoning workforce. Moreover, I
drew parallels with China, which had generated as many jobs as France’s entire
population since 2012, demonstrating a much more accelerated employment
momentum.
Reading the current update about one million formal jobs
added in just one year fills me with a sense of measured optimism. It signals a
follow-through on the trajectory I foresaw—although the pace remains modest
compared to global exemplars, the positive uptick in formal employment
validates the incremental progress of policy implementation and economic
adjustments. However, I would still urge caution; formal jobs must multiply
with greater velocity if they are to substantially alleviate unemployment pressures
and promote inclusive economic growth.
B. Re:
For Attn Shri Javadekarji Shri...
In this blog, I had underscored a disquieting reality: “During FY 13-15, when
25.9 Million degree-holders passed out from universities, only 1 MILLION jobs
were created.” This glaring mismatch between the supply of educated youth and
the scarcity of job opportunities raised critical questions about the quality
and capacity of our employment ecosystem. I further noted that “2 out of 3 jobs
in India’s informal sector are in businesses engaged in trade or providing
services” — a reflection of the dominance of unorganized, low-security work.
The recent survey showing growth of one million formal jobs
is a beacon, but it still represents only a fraction of the quantum required to
absorb graduate entrants and informal sector workers seeking formalization.
This calls for a holistic approach combining skill development,
entrepreneurship, and incentivization of labor-intensive industries. My earlier
views reinforce that the creation of formal sector positions must be
complemented with robust support systems for self-employment and informal-to-formal
transitions — otherwise, millions of capable youth will remain underserviced.
C. Statistic
This blog delved into employment statistics from the mid-1990s to explore
trends across public and private sectors, noting gradual year-on-year growth
with significant disparities between segmental contributions. For instance,
manufacturing and community/social services were major employment providers,
highlighting where job growth concentrated historically. I argued for targeted
policies fostering sectors with the greatest multiplier effects on employment
generation.
Connecting this historical perspective to today’s report of
one million new formal jobs, it becomes evident that while progress is
underway, structural challenges persist. The formal sector still grapples with
scaling employment beyond established hubs and industries. Drawing from the
data trends I discussed, dynamic policy emphasis on sectors like manufacturing
and trade—paired with ongoing regulatory reforms—could catalyze accelerated
formal job creation. My earlier insights impart the importance of sustained
commitment to sector-specific strategies that marry productivity improvement
with wider employment outreach.
Call to
Action:
To policymakers and government agencies, the message is clear: this encouraging
data on formal job growth should serve as a foundation—not a terminus—for
employment reforms. Accelerate skill development programs tailored to emerging
industry needs, incentivize labor-intensive manufacturing, and foster
entrepreneurship ecosystems to complement formal sector expansion.
Additionally, strengthen data collection mechanisms for real-time labor market
monitoring, enabling nimble and responsive policy interventions. By doing so,
the promise of formal employment can translate into durable livelihoods and
inclusive economic empowerment for millions of Indians.
With regards,
No comments:
Post a Comment