News:According to the Centre for Monitoring Indian Economy (CMIE),India’s unemployment rate in the month of October,2019 has reached 8.5% which is the highest in over three years.
Facts:
- The urban unemployment rate for October 2019 stood at 8.9% slightly higher than the rural unemployment rate of 8.3%.
- Among States, Tripura and Haryana saw the highest unemployment levels of more than 20% while the lowest unemployment was in Tamil Nadu at 1.1%.
- Further,Rajasthan also saw its unemployment rate doubled between September and October 2019.
- The data is also similar with the findings of the latest Periodic Labour Force Survey which had estimated an unemployment rate of 6.1% between July 2017 and June 2018,the worst in 45 years.
Additional information:
Study on unemployment by Centre for Sustainable Employment:
- The researchers at the Centre for Sustainable Employment has found that between 2011-12 and 2017-18,employment has declined by nine million jobs.
- The agricultural employment has declined by 11.5% while in the same period employment in the service sector increased by 13.4% and manufacturing employment dipped by 5.7%.
- The study also says that due to a decline of employment in agriculture and manufacturing and slow growth of construction jobs, the process of structural transformation which had gained momentum post 2004-5 has stalled since 2012.
- However,the only sector which sustained growth of jobs is services sector although the quality of jobs in this sector is mostly poor.
- Hence,the study has suggested that to sustain the growth of income, improve the standard of living and to reduce poverty, employment opportunities in manufacturing and construction is necessary.
