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UNEMPLOYM

ENT
IN INDIA
BY GROUP AG2
INTRODUCTION TO
UNEMPLOYMENT People without
jobs; actively
looked for work
but unable to
find work

A measure of the
Idleness of
health of the
manpower
economy

Unemployment
Differs according
rate =
to the level of
(Unemployed
economic
Workers / Total
development in a
labor force) X
country
100
TYPES OF UNEMPLOYMENT IN
INDIA
CAUSES OF UNEMPLOYMENT
Economic condition

Emphasis on capital intensive project

Slow growth process

Excessive foreign technology

Increase in labor force

Inappropriate education system

Population

Corruption
INDIAN UNEMPLOYMENT - TREND
Unemployment India- 1991-2012 source- world bank

5.00

4.50 4.40 4.40


4.30 4.30 4.30 4.20
4.00
4.00 4.00 4.10
3.80 3.90 3.90 3.90 3.90 3.90
3.50 3.50 3.40 3.40
3.00

2.50
Unemployment rate
2.00

1.50

1.00

0.50

0.00
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Years
PLANNING COMMISSIONS
ESTIMATES OF
UNEMPLOYMENT
Chronic unemployment / Usual principal
status unemployment

Weekly status unemployment

Daily status unemployment


MEASURES TO PROVIDE
EMPLOYMENT
Rural works programme
Marginal farmers and agricultural labourers
Small farmers development agencies
Integrated dry land agricultural development
Agro-service centres
Area development schemes
Crash programme for rural employment
SCHEMES BY THE GOVERNMENT OF INDIA
YEAR OF
EMPLOYMENT GENERATION
BEGINNIN OBJECTIVE/DESCRIPTION
PROGRAMME
G
Employment Guarantee Scheme of
1 1972 To assist the economically weaker sections of the rural society.
Maharashtra
National Rural Employment Programme
2 1980 To provide profitable employment opportunities to the rural poor.
(NREP)
3 Integrated Rural Development All-round development of the rural poor through a program of asset
1980
Programme (IRDP) endowment for self employment.
4 Rural Landless Employment Guarantee
1983 For providing employment to landless farmers and laborers.
Programme
5 Jawahar Rozgar Yojana (JRY) 1989 For providing employment to rural unemployed.
6 Employment Assurance Scheme (EAS) 1993 To provide employment of at least 100 days in a year in village.
7 Swarna Jayanti Gram Swarozgar Yojana For eliminating rural poverty and unemployment and promoting self
1999
(SYGSY) employment.
To provide additional wage employment along with food security,
8 Sampoorna Gramin Rozgar Yojana (SGRY) 2001 creation of durable community, social and vjccc economic
infrastructure in rural areas.
To create a right based framework for wage employment
Mahatma Gandhi National Rural
9 2005 programmes and makes the government legally bound to provide
Employment Guarantee Act (MGNREGA)
employment to those who seek it.
To generate employment opportunities in rural & urban areas
Prime Ministers Employment Generation
10 2008 through setting up of new self-employment ventures/projects/micro
Programme (PMEGP)
enterprises.
EMPLOYMENT CHALLENGES
FOR THE 12 FIVE YEAR
TH

PLAN
Need for correct estimates/ projections of employment & unemployment at
frequent intervals

Need to expand employment opportunities in the formal sector, including the


services sector

Need to expand employment opportunities especially in the manufacturing


sector

Addressing the issue of productivity, both in the formal and informal sectors

Addressing the problems of specific categories-gender, minorities, SC/ST,


disabled people

Addressing the problems of the working poor

Challenge of employment in the face of recurrent economic crises


RECOMMENDATIONS OF THE
12 FIVE YEAR PLAN
TH
Rural industrialization: agro-based industries and other light goods industries have to be created in
the rural areas to ensure rural diversification
The overall employment growth in the manufacturing sector has to increase in a significant way by
the adoption of labour intensive technology and a shift in the industrial production in favour of labour
intensive goods

The small and medium sized enterprises have to grow sizably

Both employment and productivity growth in the unregistered manufacturing sector have to be
stepped so that employment in these units becomes gainful.
In order to provide a boost to the construction sector, rural irrigation programmes and major
infrastructure building programmes both in the rural and urban areas have to be initiated in a
significant way.

The IT sector and IT-related services have to grow so that they provide a major outlet to the skilled
manpower of the country.
CHANGING OCCUPATIONAL
STRUCTURE

Employment Across Various Sectors on UPPS basis


EMPLOYMENT RATE BY AGE GROUP
MIGRATION FROM RURAL TO
URBAN AREAS
Expansion in government services as
a result of WWII

Migration during the partition of India

The Industrial Revolution


11th five year plan that aimed at
urbanization for the economic
development of India
Greater economic opportunities

Infrastructure facilities in the urban


areas

Growth of private sector after 1990


STRUCTURAL CHANGES-THE NEED
OF THE HOUR
Arrest the decline in employment elasticity of the
manufacturing sector

Invest in health and education

Focus on skill development

Accelerate investments in infrastructure