Talks of joining the world's three largest economies also disappear organized employment

- Increasing pressure to accept self-employment with low income

The unemployment rate has been decreasing in the country for the last five years. The unemployment rate which was 6 percent in the financial year 2017-18 has come down to 3.20 percent in the last financial year. According to the Periodic Labor Force Survey issued by the National Statistical Office, the unemployment rate has declined in recent years in both urban and rural areas of the country. According to the latest data from the Center for Monitoring Indian Economy (CMIE), the unemployment rate fell to 7.10 percent in September from 8.10 percent in August. A low rate of unemployment is welcome in any country, but it is also essential that qualified or qualified job seekers find employment according to their qualifications. The economic development of the country has been responsible for the change in the employment picture in the country in the last five years. As the progress of the country's economy reaches rural areas, employment has also increased at the rural level and the unemployment rate has come down.

Employment is being created but the increase in unorganized employment is higher than in the organized sector. According to the statistics received, the share of employment in the organized sector decreased by two percent to 20.90 percent in the last financial year. While there was an increase in self-employment or temporary employment. The presence of women in employment is also very low compared to men in India.

In recent years there has been some progress on the employment front in the country, but the unemployment rate among diploma or degree holders is still high. A recent report claimed that there is a significant gap between the availability of employment and the number of job aspirants which will take time to bridge. At the end of June 2023, the unemployment rate among diploma holders was 12.10 percent, 13.40 percent among graduates and 12.10 percent among post-graduates. According to the annual survey of the labor force, unemployment has decreased in the country between 2018 and 2023, but the new jobs that have been created are mostly self-employed. The number of self-employed persons in India has increased by 5.10 percent. In the last five years, there has been an increase in self-employment in the country, especially in the agriculture, transport and trade sectors. Self-employment has increased especially during the Corona period. There has been a significant increase in the participation of women in employment in rural areas.

The income of salaried employees has grown by 3.40 per cent compounded over the last five years, while the income of the self-employed has seen a compounded growth of 1.80 per cent in this period, the report notes. A good salary with attractive benefits is required. At present employment fairs are being organized in the country from time to time and employment is being provided to the youth, but whether the employment is being provided to the youth as per their desire or qualification is a subject of research.

Widespread adoption of digitization, implementation of GST, good performance of the corporate sector in the use of technology in recent years show that India's economy is becoming organized. From the point of view of production this organization does not translate into organized employment as expected. India's labor force structure is skewed towards self-employment with low income levels. The job seekers who are not getting organized employment are turning to self-employment. A survey report stated that more than fifty percent of the country's total labor force is self-employed. The downside of self-employment is that the rate of return is lower than that of regular employment. Thus, it would not be wrong to say that any increase in self-employment will eventually affect the consumption demand in the country.

Talking about government jobs, 16 people have government jobs for every thousand people in the country. This number is very low compared to America and China. The dismal state of organized employment generation is a cause for concern when there is a need to create a large number of jobs in India in view of the rapidly increasing number of young people who are dropping out of employment after completing their education in the country. 9 crore people will be looking for non-agricultural employment in India during the period 2022-23 to 2029-30. In order to provide employment to these aspirants, India will have to achieve economic growth at the rate of approximately 8.50 percent annually during these years. Out of the nine crores, three crores will be people who will be out of agricultural work and looking for other employment.

Reduction in unemployment rate and increase in labor force participation rate shows a good picture on the employment front in the country, but looking at the way the level of self-employment is increasing, it can be said that quality employment is not being created in a large economy like India. When there is talk of the economy of the country becoming one of the three major economies of the world in the near future, it is necessary to have a broad discussion on the issue of why organized employment is not created.