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Director General(Emp) Directorate General of Employment & Training, Ministry of Labour and Employment, Government of India.
Almost all countries in the world have employment and unemployment problem. A total number of 191.8 million persons were unemployed in the year 2005 in the world.The unemployment rate was around 6.3% of the labour force 1.37 billion people though employed were earning less than US$2 a day. 520.1 million people though employed were earning less than US$ 1 a day. The problem therefore is of the order of 711.9 million if at least one dollar a day is considered.
1.
2.
1092.96 Million
469.94 Million
3.
4.
Total Employment
459.10 Million
10.84 Million
5.
6.
Total number of open Unemployment Unemployment rate as percentage of total labour force
Around 2. 3 %
39.3 Million
9.
28.8 Million
10. Working Poor i.e Persons working but living below poverty line(1999-2000)
last 365 days.
Note: openly unemployed are those who did not carry out any gainful activity during
Labour Force participation rates (LFPR), Work Force participation rates (WFPR) and Unemployment rates: International Comparison
Country India China Japan Australia Malaysia France Germany U.K U.S.A. Pakistan Sri Lanka
LFPR 43.0 77.0 62.9 63.9 60.6 54.7 57.7 62.9 67.7 49.9 57.3
WFPR 42.0 58.3 59.8 58.6 48.2 52.7 62.9 67.7 49.9 57.3
Unemployment Rate 2.3 4.9 7.0 3.4 12.0 8.7 6.0 4.2 5.9 10.6
STRUCTURE OF WORKFORCE
Sector World India Agriculture 40.1% 58.5% Industry 21.0% 18.1% Services 38.9% 23.4% Vast majority of workers in Agriculture A significant proportion of them are below poverty line
0-14
15-34 35-59 60 +
37.73
33.25 22.35 6.67
37.79
34.14 21.39 6.66
35.6
33.67 23.33 7.39
35.07
33.94 22.91 8.08
No substantial difference in age distribution between 1991 and 2001even for those in the age group 15-34.
PROBLEMS
Population growth and consequential increase in the labour force. 10 to 12 million persons are entering the labour force every year. Productivity and income generation from employment are low.
Though, open unemployment is only2.3%(11 million) the percentage of the population below the poverty line is high. The fact of being employed is obviously no guarantee of escaping from poverty,which in our situation refers to a very basic level of subsistence.
Out of around 470 million work force as many as 130million are working poor. Therefore the problem is of the order of 130+11=141 million.
MAIN ISSUES
There are primarily two main issues namely:Issue no-1 How to provide employment to the new entrant to the labour force and to the unemployed. That is how to create additional employment opportunities needed. Issue no-2 How to improve quality of employment so that productivity and income level of the workforce increases.
Basic Assumption
Economy has the capacity to provide gainful employment to all the persons in the labour force The workforce is not able to get decent work because of non availability of skill required in the labour market
2.
Training is imparted in various trades designed primarily to suit organised sector Around 2.5 million get training each year through various ministries/ departments of central government. Industries are associated with training through institute management committee. Formal test conducted and certificate issued.
Skill acquisitions through informal means can not be avoided. Skills thus obtained require testing and certification. ( for construction industry it has been taken up. For other industry it is being worked out) For those skills which are required and normally not obtained through informal channels/ not available in sufficient number special efforts are made to organise modular practical oriented course by utilizing existing infrastructure( i.e ITI, polytechnics, schools etc) and master craftsman.
Continued
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