With general elections around the corner, politician’s vacation time is over. They now have to make sure their promises are fulfilled with a vast focus on job creation.
The government is now working on a National Employment Policy (NEP) and a universal social security programme. They are also hoping to finance entrepreneurship to develop the small and medium sector of businesses, which is called MUDRA.
The NEP will look into labour intensive sectors such as textiles and other small and medium enterprises. The budget of this year will imply mostly on job creation.
An official noted that
“Many of the policies that are now taking shape will have a huge impact on the job market over the next few years.”
In detail nothing has improved, even with ease of doing business, innovation index and global competitiveness being ranked higher. This is a cause of concern, as the fact is most of the focus is not on making sure both unskilled and skilled labour have ample of job opportunities.
The important points to note are:
- How can only 4.9 per cent population be unemployed when 67% of our population is poor enough to qualify for food subsidy
- Wages should be the focus and not just jobs
- Reforms to Labour laws and Education is important
Economist Ashok Gulati puts the point across well in terms of reducing farmer poverty. He calls in the 4 I’s incentives, investments, institutions and innovation.
India has indeed prospered under the government in terms of economic growth, but the proper policies need to be taken into consideration when it comes to employment. India’s population is 1.23 billion of which 65% is working age. Job creation is the most significant policy challenge facing the Indian Economy.
With the youth of India powering through skills, they need to develop e learning platforms for the students in rural areas so that they have a brighter future.