New Delhi, Sep 25 : Indias structural transformation has been slower than desired resulting in a situation that there has been an absolute decline in employment post 2013, with the rate of unemployment among the youth now at 16 per cent, says a report by one of the country's noted private universities released on Tuesday.
The State of Working India (SWI) report by the Centre for Sustainable Employment at Azim Premji University said there is an urgent need to think comprehensively about employment and for the government to formulate a focused National Employment Policy.
"Even as GDP growth rates have risen, the relationship between growth and employment generation has become weaker over time. Growth creates fewer jobs than it used to. A 10 per cent increase in GDP now results in less than 1 per cent increase in employment," the SWI report said.
"Between 2013 and 2015, total employment actually shrank by seven million. More recent data from private sources show that the absolute decline has continued past 2015," it said.
"A recent study claims, to the contrary, that the economy generated 13 million new jobs in 2017. Unfortunately, this optimistic conclusion depends on selective use of data and unjustified assumptions. As a result, the rate of unemployment among the youth and higher educated has reached 16 per cent."
India's new payroll data prepared by the Employees Provident Fund Organisation (EPFO) shows that around 9.5 lakh jobs were created in the formal sector in July, as against the requirement of more than a million joining the workforce each month.
The SWI report conceives of India's ongoing structural transformation as composed of two processes -- movement of workers from agriculture to non-farm occupations and from informal to formal activities -- while it adds crucial considerations of social equity and ecological sustainability to this framework.
India's problem has traditionally been known as not one of unemployment but underemployment and low wages, according to the report.
"But a new feature of the economy is a high rate of open unemployment, which is now over 5 per cent overall, and a much higher 16 per cent for youth and the higher educated," it said.
"The increase in unemployment is clearly visible all across India, but is particularly severe in the northern states." According to SWI, adjusted for inflation, wage rates have grown in most sectors at 3 per cent per annum or more.
"But 82 per cent of male and 92 per cent of female workers earn less than Rs 10,000 a month," it said.
In this regard, the minimum salary recommended by the Seventh Central Pay Commission (CPC) is Rs 18,000 per month.
"Even in the organised manufacturing sector 90 per cent of the industries pay wages below the CPC minimum. The situation is worse in the unorganised sector," the report said.
Last but not least, gender disparities are still high but are reducing in some cases, according to the SWI.
Women are 16 per cent of all service sector workers but 60 per cent of domestic workers, while overall women earn 65 per cent of men's earnings.
"The Indian economy remains heavily gender segregated. Occupationally, women are under-represented among senior officers, legislators and managers. The situation has worsened with the proportion falling from 13 per cent in 2011 to 7 per cent in 2015," the report said.
The ratio of male to female labour force participation rate varies from less than 0.2 in Uttar Pradesh and Punjab to 0.5 in Tamil Nadu as well as Andhra Pradesh, and to above 0.7 in Mizoram and Nagaland, it added.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
Panaji (PTI): As part of a crackdown against tourist establishments violating laws and safety norms in the aftermath of the Arpora fire tragedy, Goa authorities on Saturday sealed a renowned club at Vagator and revoked the fire department NOC of another club.
Cafe CO2 Goa, located on a cliff overlooking the Arabian Sea at Vagator beach in North Goa, was sealed. The move came two days after Goya Club, also in Vagator, was shut down for alleged violations of rules.
Elsewhere, campaigning for local body polls, AAP leader Arvind Kejriwal said the fire incident at Birch by Romeo Lane nightclub at Arpora, which claimed 25 lives on December 6, happened because the BJP government in the state was corrupt.
An inspection of Cafe CO2 Goa by a state government-appointed team revealed that the establishment, with a seating capacity of 250, did not possess a no-objection certificate (NOC) of the Fire and Emergency Services Department. The club, which sits atop Ozrant Cliff, also did not have structural stability, the team found.
The Fire and Emergency Services on Saturday also revoked the NOC issued to Diaz Pool Club and Bar at Anjuna as the fire extinguishers installed in the establishment were found to be inadequate, said divisional fire officer Shripad Gawas.
A notice was issued to Nitin Wadhwa, the partner of the club, he said in the order.
Campaigning at Chimbel village near Panaji in support of his party's Zilla Panchayat election candidate, Aam Aadmi Party leader Kejriwal said the nightclub fire at Arpora happened because of the "corruption of the Pramod Sawant-led state government."
"Why this fire incident happened? I read in the newspapers that the nightclub had no occupancy certificate, no building licence, no excise licence, no construction licence or trade licence. The entire club was illegal but still it was going on," he said.
"How could it go on? Couldn't Pramod Sawant or anyone else see it? I was told that hafta (bribe) was being paid," the former Delhi chief minister said.
A person can not work without bribing officials in the coastal state, Kejriwal said, alleging that officers, MLAs and even ministers are accepting bribes.
