Wage share declines despite profit surge in GVA, says report
New Delhi: Despite a sustained increase in the share of profits in India’s Gross Value Added (GVA), this growth has not translated into higher wages for workers, according to recent estimates from the National Accounts of Statistics (NAS), as reported by the New Indian Express.
Data reveals that the share of employee compensation in GVA dropped from 53.5% in 2019–20 to 51.85% in 2023–24. While compensation continued to account for roughly one-third of overall GVA, it recorded a decline between 2022–23 and 2023–24.
Sectoral analysis shows that the steepest fall in wage share occurred in the electricity, gas, and water supply sectors, followed closely by mining and quarrying. While the real estate sector reported a marginal rise in the compensation share, the construction sector experienced a sharp decline.
Economists warn that this decoupling of profit growth from wage growth could deepen income inequality and suppress consumer demand. Over time, such trends may hinder job creation and impact overall employment levels adversely.
Adding to these concerns, the Centre for Monitoring Indian Economy (CMIE) has noted a dip in consumer sentiment, indicating a possible slowdown in demand.
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Kejriwal resorting to 'vendetta politics', says BJP after MP Sandeep Pathak booked
New Delhi (PTI): The BJP on Saturday accused Aam Aadmi Party's national convenor Arvind Kejriwal of vendetta politics after Punjab Police booked Rajya Sabha MP Sandeep Pathak, who recently defected to the BJP.
In an X post, BJP national spokesperson Shehzad Poonawalla claimed that Kejriwal is misusing the Punjab Police to settle political scores, and Chief Minister Bhagwant Mann has become a party to it.
"Two FIRs have been filed against Sandeep Pathak, who until recently was in the Aam Aadmi Party (AAP) as a Rajya Sabha MP and general secretary (organisation). What is baffling is the shameless, brazen vendetta politics being pursued by Arvind Kejriwal, with Bhagwant Mann complicit in it," Poonawalla said.
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"It is clear this has been done out of vendetta politics by Kejriwal, who is extremely vengeful and vindictive, and misuses the Punjab Police to pursue such political vendetta," he alleged.
Questioning the timing of the FIRs, Poonawalla said, "If these cases existed from the beginning, why were FIRs not filed earlier? If he was corrupt, why was he kept in the party for so long, especially when he was the general secretary (organisation)? Has any new material surfaced in the last few days, or has the alleged corruption occurred only now?"
He alleged that Kejriwal has an "old habit" of targeting political opponents and dissenters.
"We have seen how he has used the police against rivals, including Congress leaders. This is his old habit," Poonawalla said, referring to the withdrawal of Rajya Sabha MP Harbhajan Singh's security.
Poonawalla claimed that several leaders who had left AAP over the years, including Yogendra Yadav, Mayank Gandhi, Ashish Khetan, Ashutosh and Alka Lamba, were "hounded".
He accused the party of failing to introspect.
"Instead of introspecting on how they have changed -- from Anna to Lalu, from Lokpal to corruption -- they are indulging in vendetta politics, trying to victimise people using the strong arm of the law. This reflects an Emergency-like mindset and a dictatorial, Hitlerian mindset," he said.
According to sources, two FIRs have been lodged against Pathak under non-bailable sections.
No further details about the FIRs have been disclosed yet.
On April 24, the AAP suffered a jolt when seven of its 10 Rajya Sabha MPs quit, alleging that Arvind Kejriwal's party has strayed from its principles, values and core morals.
Of the seven MPs -- who were Pathak, Raghav Chadha, Ashok Mittal, Harbhajan Singh, Rajendra Gupta, Vikramjit Sahney and Swati Maliwal -- six were from Punjab.
Later, Rajya Sabha Chairman C P Radhakrishnan officially accepted their merger with the BJP, reducing AAP's strength in the Upper House to three.
