Why India Growing So Fast In unemployment Market ? The rising automation means there will be obviously immense unemployment problem for the smi-skilled labours.
India’s economy is one of the fastest-growing in the world. But is its growth including everyone? As jobs move out of villages and into cities, migration from rural to urban areas follows, on a massive scale. Cities are bursting at the seams. India’s carbon footprint is increasing. And in the world’s largest democracy.
Women and girls still struggle for gender equality. But just as China harnessed its rapid expansion and met its Millennium Development Goals, now all eyes are on India to achieve its Sustainable Development Goals (SDGs) by 2030.
The route to sustainable and inclusive growth lies where one might least expect. Rural India is home to nearly 70% of the country’s population. It hosts tremendous untapped potential. But it is missing many links to the wider economy. The country just has to connect the dots.
Globally, fashion and lifestyle markets are growing. Those with a strong creative focus, anchored in design and connected to tourism. Labor-intensive light manufacturing, and in particular creative manufacturing, is an ideal industry for inclusive job growth. In India, more than 60 million people work in this sector.
India’s population is nearly ten times that of Bangladesh, yet its smaller neighbor is second only to China in the global apparel industry. Creative manufacturing has enormous potential for growth both within the country and in export markets.
India has many advantages over its competitors: a rich traditional skill base coupled with cutting-edge technology and a huge workforce. But despite the potential of light manufacturing, the country’s skilling programs are geared towards sectors like IT, automotive, health, security, and construction. This employ just seven per cent of the workforce.
This migration causes innumerable social, economic, and environmental problems. It takes jobs further away from the majority of the population, which lives in rural areas. But the missing links between urban and rural economies, and between skilling and employment, provide an opportunity for models of inclusive growth to emerge. Currently, 93% of India’s workforce is in the informal sector.
Solutions For Unemployment Growth In India
Unemployed youth is a dangerous phenomenon. We saw it lead to the Arab uprisings not so long ago. And rising youth unemployment is becoming a big problem in the West too.
The survey covers eight employment intensive sectors. According to the Bureau, the average for the last eight quarters was just over 100,000 jobs per quarter (2013-15). This was lower than the 150,000 jobs created in the period 2011-13 and much lower than the 300,000 jobs per quarter in the period 2009-11.
But with the rising automation means there will be more focus on skilled labour in the country. But this will obviously give rise to immense unemployment problem for the smi-skilled labours. On the other hand the growth in skilled jobs is simply not fast enough to accommodate India’s growing population.
Only a handful of sectors have helped the job market grow, while large employers such as telecom and real estate struggled.