Large migration of workers from agriculture to industries for employment

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MUMBAI: With the number of employed persons in India increasing by one million in May, the total number of employed persons rose to 30.50 crore. According to the Center for Monitoring Indian Economy, the jobless rate, which stood at 7.5 per cent in April, fell to 6.15 per cent in May due to rising employment.

In April, there was an increase of seven lakh in employment. For the second month in a row in May, the employment rate, which was 8.08 per cent in April, rose to 8.05 per cent in May.

Growth in employment indicates stability at large and indicates a positive state of employees at the sectoral level, the Center said in its weekly Labor Market Analysis.

The last two months have seen a huge shift in employment from agriculture to industry, the Centre's report said. Agricultural employment declined by 52 lakh in April and 2 lakh in May.

In April and May together, there was a total decline of 1.5 crore in agricultural employment. Against this, in the last two months, 1.5 crore jobs have been added in industries and 4 lakh in the service sector. Overall, the country saw a net increase of 20 lakh jobs in April and May.

The migration from agriculture to industry is a cause for happiness as workers in industry and services are more productive than in agriculture, the Center also noted in its report.

The manufacturing sector has added more to the manufacturing sector than the industrial sector. Manufacturing accounted for 4 per cent of the growth in employment in the industrial sector, while construction accounted for 4 per cent.

With the commencement of kharif sowing operations, the demand for farm labor in the agricultural sector is expected to increase. This will lead to an increase in labor participation rates and employment rates, the report added.

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