Job creation is a major challenge before the govt.

Job creation is a major challenge before the govt.


Promises are made to be broken. In its 2014 Lok Sabha election manifesto, the Bharatiya Janata Party (BJP) made the promise that if it is elected to the Centre, it will then accord a high priority to job creation and opportunities for entrepreneurship, among other things. But latest data on unemployment shared by the BJP MP Shri Bandaru Dattatreya in written form while replying to an unstarred question in the Lok Sabha reveals that the government has failed to create enough number of new jobs in the economy.

In his written reply to the unstarred question no. 682 on 6 February, 2017, the Minister of State (Independent Charge) for Labour and Employment Shri Bandaru Dattatreya said that the unemployment rate has risen marginally from 3.4 percent in 2013-14 to 3.7 percent in 2015-16 for persons aged 15 years and above, both in the organised and unorganised sectors. The unemployment rate figures, as mentioned by the minister, have been calculated on the basis of Usual Principal and Subsidiary Status (UPSS) approach.

Please click here to access the written answer by the Minister of State (Independent Charge) for Labour and Employment Shri Bandaru Dattatreya on 6 February, 2017 in the Lok Sabha.

The minister's reply shows that employment for persons aged 15 years and above on UPSS basis both in the organised and unorganised sectors has fallen down from 48.04 crore persons to 46.62 crore persons between 2013-14 and 2015-16.  

A closer look at the interactive chart-1 shows that Kerala (10.6 percent) tops the list of states in terms of high unemployment rate (based on UPSS approach) in 2015-16, followed by Himachal Pradesh (10.2 percent), Tripura (10.0 percent), Goa (9.0 percent), and Sikkim (8.9 percent). The bottom 5 states in terms of unemployment rates in 2015-16 are Gujarat (0.6 percent), Chhattisgarh (1.2 percent), Karnataka (1.4 percent), Mizoram as well as Maharashtra (both 1.5 percent) and Jharkhand (2.2 percent).  
 
 
In 14 out of 29 states, a rise in unemployment rate (based on UPSS approach) between 2013-14 and 2015-16 has been observed. These states are Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Jharkhand, Kerala, Madhya Pradesh, Meghalaya, Punjab, Sikkim, Tamil Nadu, Tripura, Uttarakhand and Uttar Pradesh.

It needs to be mentioned that the UPSS approach is also called the usual status approach. The usual status, determined on the basis of the usual principal activity and usual subsidiary economic activity of a person taken together, is considered as the usual activity status of the person. According to the usual status, workers are those who perform some work activity either in the principal status or in the subsidiary status. Thus, a person who is not a worker in the usual principal status is considered as worker according to the usual status, if the person pursues some subsidiary economic activity for 30 days or more during 365 days preceding the date of survey. As opposed to the UPSS, the Usual Principal Status (UPS) measure excludes from the labour force all those who are employed and/or unemployed for a total of less than six months.

On the basis of UPS approach, it could be observed that the unemployment rate in the country has increased from 4.9 percent to 5.0 percent between 2013-14 and 2015-16. The data on unemployment rate based on UPS approach has been sourced from the 4th and 5th Annual Employment-Unemployment Surveys.

The interactive chart-2 shows that Tripura (19.7 percent) tops the list of states in terms of high unemployment rate (based on UPS approach) in 2015-16, followed by Sikkim (18.1 percent), Kerala (12.5 percent), Himachal Pradesh (10.6 percent), and Goa (9.6 percent). The bottom 5 states in terms of unemployment rates in 2015-16 are Gujarat (0.9 percent), Karnataka (1.5 percent), Chhattisgarh (1.9 percent), Maharashtra (2.1 percent) and Telengana (2.8 percent).



In 11 out of 29 states, a rise in unemployment rate (based on UPS approach) between 2013-14 and 2015-16 could be observed. They are Andhra Pradesh, Himachal Pradesh, Jharkhand, Kerala, Madhya Pradesh, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura and Uttar Pradesh.

It is worth noting that the unemployment rate is defined as the number of persons unemployed per 100 persons in the labour force (employed & unemployed).

Shri Bandaru Dattatreya’s reply indicates that in order to create jobs, the National Democratic Alliance (NDA-2) government led by the BJP has brought forth several new schemes such as Make-in-India, Digital India, Skill India, Start-up India, etc., apart from spending on public schemes like Prime Minister’s Employment Generation Programme (PMEGP), Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA), Pt. Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY)-National Rural Livelihoods Mission (NRLM) scheme, and National Urban Livelihoods Mission (NULM). 


References:

Lok Sabha List of Questions for Written Answers, dated 6 February, 2017, please click here to access

Answer by Minister of State (Independent Charge) for Labour and Employment Shri Bandaru Dattatreya to the unstarred question no. 682, dated 6 February, 2017, please click here to access 

Rajya Sabha starred Question No. *34 to be answered on 6 February, 2017, Human Development Index of SCs and STs, please click here to access

List of Questions for Oral Answers, Rajya Sabha, 6 February, 2017, please click here to access
 
Unemployment has risen sharply among SCs & STs in last 6 years, News alert from Inclusive Media for Change dated 10 February, 2017, please click here to access  

Report on 5th Annual Employment-Unemployment Survey 2015-16, Labour Bureau, Chandigarh, please click here to access
 
Report on 4th Annual Employment-Unemployment Survey 2013-14, Labour Bureau, Chandigarh, please click here to access
 
Report on 3rd Annual Employment-Unemployment Survey 2012-13, Labour Bureau, Chandigarh, please click here to access
 
Report on 2nd Annual Employment-Unemployment Survey 2011-12, Labour Bureau, Chandigarh, please click here to access
 
Report on 1st Annual Employment-Unemployment Survey 2009-10, Labour Bureau, Chandigarh, please click here to access
 
Election Manifesto of the BJP during 2014 parliamentary elections, please click here to access

 
Image Courtesy: Himanshu Joshi 



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