Skip to main content

It's now official: Developed Gujarat's regular, casual workers earn less than 19 top states

Casual labour market in Vadodara, Gujarat
By Rajiv Shah
Though not as low as state chief minister Vijay Rupani claims it to be (0.9%), Gujarat’s unemployment rate, at least as reflected in a recent report released by the Government of India, is 4.8%, lower than the national average, 6%. Yet, ironically, the same report, released soon after the Lok Sabha polls came to an end in May 2019, brings to light an even grimmer reality: Lower wages in "model" and "developed" Gujarat compared to virtually the whole of India, including the so-called Bimaru states.
Published by the Ministry of Statistics and Programme Implementation, and based on a survey carried out across India between July 2017and June 2018, the report, “Annual Report: Periodic Labour Force Survey (PLFS)”, suggests that per month average wages or salary earnings for regular employees in Gujarat during April-June 2018 was Rs 14,528.24, which is lower than all major 21 states with the exception of West Bengal (Rs 11,978.99).
Low wages aren't just characteristic of what are called “regular employees”; things are no different with regard to casual labour. Thus, according to the PLFS report, average earnings of a casual worker in Gujarat during April-June 2018 was found to be just Rs 223.57 per day, lower than all major 21 states with the exception of two states -- Chhattisgarh (Rs 189.05) and Maharashtra (Rs 208.88).
The PLFS report finds that, among 21 major states, regular workers’ average wages/salaries per month during April-June 2018 were the highest in Jammu & Kashmir (Rs 21,197), followed by Jharkhand (Rs 20,460), Kerala (Rs 19,433), Haryana (Rs 18,890), Maharashtra (Rs 18,736), and Telangana (Rs 18624). On the other hand, Kerala’s average casual wages per day were found to be the highest in India (Rs 605), followed by J&K (Rs 374), Himachal Pradesh (Rs 365), Telangana (Rs 306), and Tamil Nadu (Rs 331).
The all-India average for the wages/salary earnings of regular earnings is Rs 16,847.65, and for casual workers Rs 270.78, much higher than  Gujarat. Interestingly, while the PLFS report refuses to give any explanation for the reason behind such low wages for both regular and casual workers, the Modi government’s thinktank Niti Aayog asserted in 2017 that while there have been “low and stable rates of unemployment over more than three decades”, the more serious problem, instead, is “severe underemployment.”
Citing acceptance of jobs with poor wages, a report gave anecdotal evidence to prove this. It said. “A recent advertisement for the post of 14 sanitary workers in Tamil Nadu secretariat attracted 4,000 applications, and these included a large number of engineers and MBA graduates. Goutam Das, in his book ‘Jobonomics’, estimates that India would have as many as 20 crore underemployed people with ‘bad jobs’ or no jobs by 2025.”
Taking a more focused view, the world’s top consultants, McKinsey, has suggested that low official unemployment rate “hides the fact that India has a huge army of underemployment”, pointing out, in India’s context “unemployment is not really an option”, and here “entering the informal sector as a worker is the norm.”
“Some 86% of India’s workforce is employed in the informal sector, and more than 90% is in informal employment”, the McKinsey Global Institute report says, underlining, “Rarely would a poor rural boy who had dropped out of school remain ‘unemployed’ – he would typically be put to ‘work’ on his family’s small piece of land or would lend a hand at the local kirana shop owned by his uncle.”
Not without reason, the data provided by the PLFS report, too, suggest that among the poorer sections very few poorer were “unemployed” compared to those who were educated, whether in Gujarat or in India. Thus, among those identified as “not literate” in the survey, just 1% reported as having been unemployed in Gujarat and 1.2% all-India. As for those educated up to primary level, the survey found 1.7% unemployment rate in Gujarat and 2.7% all-India.
On the other hand, in Gujarat, the unemployment rate among those who are finished higher secondary is 6.3%, those with diploma or certificate course a whopping 22.6%, among graduates 8.7%, and among post-graduates and above 10.8%. One witnesses a similar trend all-India: 10.3 among those who have finished higher secondary, it is 19.8% among those who have diploma or certificate courses, 17.2% among graduates, and 14.6% among post-graduates and above.
While it is a mystery what percentage of people in Gujarat, or for that matter in India, are underemployment, according an expert definition, “Underemployment refers to people who are working in a lower capacity than they are qualified for, including in a lower-paid job or for fewer hours than they would like to work. It’s different from unemployment in that the person is in fact, working, just not as much as they’d like or to the full extent of their abilities, skills, or education.”

Comments

Peter Thompson said…
Brilliant work!
sanu said…
Unemployment will rise further as market is floor with poor quality candidates
Uma said…
It is more important to look after cows than to worry about unemployed youth

TRENDING

Academics urge Azim Premji University to drop FIR against Student Reading Circle

  By A Representative   A group of academics and civil society members has issued an open letter to the leadership of Azim Premji University expressing concern over the filing of a police complaint that led to an FIR against a student-run reading circle following a recent incident of violence on campus. The signatories state that they hold the university in high regard for its commitment to constitutional values, critical inquiry and ethical public engagement, and argue that it is precisely because of this reputation that the present development is troubling.

Was Netaji forced to alter face, die in obscurity in USSR in 1975? Was he so meek?

  By Rajiv Shah   This should sound almost hilarious. Not only did Subhas Chandra Bose not die in a plane crash in Taipei, nor was he the mysterious Gumnami Baba who reportedly passed away on 16 September 1985 in Ayodhya, but we are now told that he actually died in 1975—date unknown—“in oblivion” somewhere in the former Soviet Union. Which city? Moscow? No one seems to know.

UAPA action against Telangana activist: Criminalising legitimate democratic activity?

By A Representative   The National Investigation Agency's Hyderabad branch has issued notices to more than ten individuals in Telangana in connection with FIR No. RC-04/2025. Those served include activists, former student leaders, civil rights advocates, poets, writers, retired schoolteachers, and local leaders associated with the Communist Party of India (CPI) and the Indian National Congress. 

The ultimate all-time ODI XI: A personal selection of icons across eras

By Harsh Thakor* This is my all-time best XI chosen for ODI (One Day International) cricket:  1. Adam Gilchrist (W) – The absolute master blaster who could create the impact of exploding gunpowder with his electrifying strokeplay. No batsman was more intimidating in his era. Often his knocks decided the fate of games as though the result were premeditated. He escalated batting strike rates to surreal realms.

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

Aligning too closely with U.S., allies, India’s silence on IRIS Dena raises troubling questions

By Vidya Bhushan Rawat*  The reported sinking of the Iranian ship IRIS Dena in the Indian Ocean near Sri Lanka raises troubling questions about international norms and the credibility of the so-called rule-based order. If indeed the vessel was attacked by the American Navy while returning from a joint exercise in Visakhapatnam, it would represent a serious breach of trust and a violation of the principles that govern such cooperative engagements. Warships participating in these exercises are generally not armed for combat; they are meant to symbolize solidarity and friendship. The incident, therefore, is not only shocking but also deeply ironic.

Asbestos contamination in children’s products highlights global oversight gaps

By A Representative   A commentary published by the International Ban Asbestos Secretariat (IBAS) has drawn attention to the challenges governments face in responding effectively to global public-health risks. In an article written by Laurie Kazan-Allen and published on March 5, 2026, the author examines how the discovery of asbestos contamination in children’s play products has raised questions about regulatory oversight and international product safety. The article opens by reflecting on lessons from the COVID-19 pandemic, noting that governments in several countries were slow to respond to early warning signs of the crisis. Referring to the experience of the United Kingdom, the author writes that delays in implementing protective measures contributed to “232,112 recorded deaths and over a million people suffering from long Covid.” The commentary uses this example to illustrate what it describes as the dangers of underestimating emerging threats. Attention then turns...

The kitchen as prison: A feminist elegy for domestic slavery

By Garima Srivastava* Kumar Ambuj stands as one of the most incisive voices in contemporary Hindi poetry. His work, stripped of ornamentation, speaks directly to the lived realities of India’s marginalized—women, the rural poor, and those crushed under invisible forms of violence. His celebrated poem “Women Who Cook” (Khānā Banātī Striyāṃ) is not merely about food preparation; it is a searing indictment of patriarchal domestic structures that reduce women’s existence to endless, unpaid labour.

Buddhist shrines were 'massively destroyed' by Brahmanical rulers: Historian DN Jha

Nalanda mahavihara By Rajiv Shah  Prominent historian DN Jha, an expert in India's ancient and medieval past, in his new book , "Against the Grain: Notes on Identity, Intolerance and History", in a sharp critique of "Hindutva ideologues", who look at the ancient period of Indian history as "a golden age marked by social harmony, devoid of any religious violence", has said, "Demolition and desecration of rival religious establishments, and the appropriation of their idols, was not uncommon in India before the advent of Islam".