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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Palakkad: An explosion at the Vyasa Vidya Peethom primary school in Vadakanthara, Palakkad, has triggered panic and a political controversy in Kerala. The blast occurred on Wednesday evening when a 10-year-old student unknowingly threw an object that turned out to be a country bomb. The child sustained minor injuries, while an elderly woman nearby was also slightly hurt.

Following the incident, police recovered four more similar explosives from the school premises. Preliminary information suggests that the devices may have been kept for trapping wild boars. However, the discovery has sparked sharp political reactions, as the school is managed by RSS workers.

The CPI(M) and Congress alleged that the explosives were linked to RSS activities and intended for creating unrest ahead of the elections. CPI(M) leaders claimed that RSS training camps were previously conducted at the school, while the DYFI demanded statewide raids on RSS shakhas to check for explosives. The BJP-RSS camp dismissed the charges and alleged a conspiracy behind the recovery.

The Palakkad North police have registered a case under the Explosive Substances Act, while district education authorities have initiated a separate inquiry into the matter.