Skip to main content

India's job creation down by 64% in 2014-16 in manufacturing and service sectors, "suggest" Govt of India data

By Our Representative
The Government of India’s quarterly employment surveys (QES), which began in 2008, suggest that the rate of job creating in India has contracted sharply by 64 per cent after 2014, the year Prime Minister Narendra Modi took over reins of power in the country.
A fresh analysis of job creation in the non-farm sectors, based on QES data, shows that while the rate of rate of job creation in the two year period 2011-12 and 2012-13 was 7,40,000, it went down to just about 2,70,000 in the period 2014-15 and April-December 2016.
Carried out by Anamitra Roychowdhury, who teaches economics at the Jawaharlal Nehru University (JNU), New Delhi, the analysis says, “If the latter period is compared with the two year period 2009-10 and 2010-11 registering 17,99,000 fresh jobs, then there is a remarkable 84 per cent drop in job creation.”
Significantly, the sharp fall in job creation, according to Roychowdhury, has come about despite the fact that the Government of India brought about a major change in 2015 in survey methodology.
The new survey methodology does not cover just six selected manufacturing sectors and two services sectors only, which was the case till December 2015. Starting with April 2016, the data reflect the “whole of manufacturing sector along with two services sectors”, says Roychowdhury.
“Thus, although there is a problem with strict comparability, the conclusion of falling job creation is strengthened”, she adds.
Roychowdhury says, “Government economists claim that QES does not reflect reality as bulk of the jobs were actually created in the informal sector with many reporting themselves as self-employed”, but adds, “It must be remembered that in the absence of hard data such claims are baseless and no more than mere speculation.”
Screenshot from LocalCircles survey
Further pointing out that the Prime Minister’s dream of transforming India as the ‘skills capital of the world’ seems to have run out of steam, Roychowdhury quotes a recent government report, ‘Rationalization and optimization of the functioning of the sector skill councils’, to say how here also the government has faltered.
Thus, in imparting skills in 2015-16, the report notes, “only 58% of the total physical targets were achieved by the Ministry of Skill Development and Entrepreneurship, while all other Ministries combined together could do only 42%.”
The note continues, according to her, that “there is huge shortage of qualified trainers”, even as recommending reorientation of programmes to “concentrate on quality of training and focus on twin objectives, to meet industry skill needs and employment to youth”.
According to Roychowdhury, the report’s findings on the effectiveness of the skill programme in enhancing employability of the youth notes that ‘in 2014-15, a total of 873 students ((0.19%) were placed in various trades against an enrolment of 4, 47,350’.”
“This remains a grave concern as other reports suggest that less than 12% of those trained under Skill India programme got jobs. It appears then that the promise of massive job creation was largely belied”, she adds.
Rowchowdhury’s revelations acquires significance, as it comes close on the heels of a major survey by LocalCircles which says that 63% of urban youths said unemployment rate “has not reduced”, up from 43% last year – a whopping rise of 21 per cent who believe Modi has failed to deliver on the jobs front.
The top consultant, which otherwise finds huge support for Modi, comments, “There has been spate of layoffs in the e-commerce and IT sector this year, which were absent last year. New jobs are not being created leading to limited career opportunities and earnings growth for most professionals.”

Comments

TRENDING

Vaccine nationalism? Covaxin isn't safe either, perhaps it's worse: Experts

By Rajiv Shah  I was a little awestruck: The news had already spread that Astrazeneca – whose Indian variant Covishield was delivered to nearly 80% of Indian vaccine recipients during the Covid-19 era – has been withdrawn by the manufacturers following the admission by its UK pharma giant that its Covid-19 vector-based vaccine in “rare” instances cause TTS, or “thrombocytopenia thrombosis syndrome”, which lead to the blood to clump and form clots. The vaccine reportedly led to at least 81 deaths in the UK.

'Scientifically flawed': 22 examples of the failure of vaccine passports

By Vratesh Srivastava*   Vaccine passports were introduced in late 2021 in a number of places across the world, with the primary objective of curtailing community spread and inducing "vaccine hesitant" people to get vaccinated, ostensibly to ensure herd immunity. The case for vaccine passports was scientifically flawed and ethically questionable.

'Misleading' ads: Are our celebrities and public figures acting responsibly?

By Deepika* It is imperative for celebrities and public figures to act responsibly while endorsing a consumer product, the Supreme Court said as it recently clamped down on misleading advertisements.

A Hindu alternative to Valentine's Day? 'Shiv-Parvati was first love marriage in Universe'

By Rajiv Shah*   The other day, I was searching on Google a quote on Maha Shivratri which I wanted to send to someone, a confirmed Shiv Bhakt, quite close to me -- with an underlying message to act positively instead of being negative. On top of the search, I chanced upon an article in, imagine!, a Nashik Corporation site which offered me something very unusual. 

US 'frustrated' with India’s discomfort: Maritime exercise in South China Sea

By Vijay Prashad*  In early April 2024, the navies of four countries -- Australia, Japan, the Philippines, and the United States -- held a maritime exercise in the South China Sea. Australia’s Warramunga, Japan’s Akebono, the Philippines’ Antonio Luna, and the United States’ Mobile worked together in these waters to strengthen their joint abilities and -- as they said in a joint statement  -- to “uphold the right to freedom of navigation and overflight and respect for maritime rights under international law.” 

Magnetic, stunning, Protima Bedi 'exposed' malice of sexual repression in society

By Harsh Thakor*  Protima Bedi was born to a baniya businessman and a Bengali mother as Protima Gupta in Delhi in 1949. Her father was a small-time trader, who was thrown out of his family for marrying a dark Bengali women. The theme of her early life was to rebel against traditional bondage. It was extraordinary how Protima underwent a metamorphosis from a conventional convent-educated girl into a freak. On October 12th was her 75th birthday; earlier this year, on August 18th it was her 25th death anniversary.

Palm oil industry 'deceptively using' geenwashing to market products

By Athena*  Corporate hypocrisy is a masterclass in manipulation that mostly remains undetected by consumers and citizens. Companies often boast about their environmental and social responsibilities. Yet their actions betray these promises, creating a chasm between their public image and the grim on-the-ground reality. This duplicity and severely erodes public trust and undermines the strong foundations of our society.

India 'not keen' on legally binding global treaty to reduce plastic production

By Rajiv Shah  Even as offering lip-service to the United Nations Environment Agency (UNEA) for the need to curb plastic production, the Government of India appears reluctant in reducing the production of plastic. A senior participant at the UNEP’s fourth session of the Intergovernmental Negotiating Committee (INC-4), which took place in Ottawa in April last week, told a plastics pollution seminar that India, along with China and Russia, did not want any legally binding agreement for curbing plastic pollution.

No compensation to family, reluctance to file FIR: Manual scavengers' death

By Arun Khote, Sanjeev Kumar*  Recently, there have been four instances of horrifying deaths of sewer/septic tank workers in Uttar Pradesh. On 2 May, 2024, Shobran Yadav, 56, and his son Sushil Yadav, 28, died from suffocation while cleaning a sewer line in Lucknow’s Wazirganj area. In another incident on 3 May 2024, two workers Nooni Mandal, 36 and Kokan Mandal aka Tapan Mandal, 40 were killed while cleaning the septic tank in a house in Noida, Sector 26. The two workers were residents of Malda district of West Bengal and lived in the slum area of Noida Sector 9. 

'Fake encounter': 12 Adivasis killed being dubbed Maoists, says FACAM

Counterview Desk   The civil rights network* Forum Against Corporatization and Militarization (FACAM), even as condemn what it has called "fake encounter" of 12 Adivasi villagers in Gangaloor, has taken strong exception to they being presented by the authorities as Maoists.