The eclipse of the economic downturn: wage growth saw a decade-low

Mumbai, Ta. August 22, 2019, Wednesday

The impact of the economic downturn has also been seen on the wages increase of employees of private sector companies. Due to the slowdown in every sector of the economy, company operators have been forced to put restrictions on increasing the wages of their employees. In the current season of appraisal, the increase in the salary standard has been seen at a decade low.

According to a report, the increase in the pay scale has been very low, depending on the performance of the financial year 1-3 after the financial year 1-3. As a result of the decline in sales, the financial position of the companies has come under pressure.

Thus, in addition to the weak growth in the pay scale, the coming statistics from other key sectors are indicating a slowdown in the country, said one analyst. On the one hand, unemployment is on the rise, while on the other hand the salary increase is slowing down, which has led to the doubling of the salaried class.

The Periodic Labor Force Survey, 7-8, shows that the unemployment rate in the country is currently 8.5 percent, the highest ever. The employment picture is becoming alarming as the recruitment of employees by companies is also slowing.

Banks, insurance companies, car makers and the recruitment sector have gone down considerably. The unemployment rate is at a five-year high. According to the survey, the number of unemployed in the financial year 1-3 was 6 crore, which is more than double compared to 5 crore in 6-8. The numbers were around 1 crore in 1-3 and 3-5.

In the period of 2-3 years, the employment of 8 million workers was added to the market while new employment increased by five lakh. It is because of this that unemployment is currently reported to be high in India. The reason for the weak rise in the salaries of employers is the slow trade environment, the analyst added.