Introduction
Periodic Labour Force Survey (PLFS): Conducted by the Ministry of Statistics and Programme Implementation since 2017-18, it is now the most reliable source of employment/unemployment data in India.
Objective of PLFS: To provide quarterly updates on labour market indicators for urban areas and annual estimates for both rural and urban areas at the state/UT and national levels.
Body
Historical Data Analysis:
Using NSSO data from 1983 to 2023, a consistent increase in principal employment is observed across every sub-period since 1983.
Notably, there has been no phase of jobless growth during this period.
Types of Employment:
Principal Employment: Refers to individuals working the majority of the year.
Subsidiary Employment: Primarily part-time, of shorter duration, and supplementary to a person’s primary activity.
Recent Trends (2017-18 to 2022-23):
Fastest increase in employment with over 80 million new jobs.
Growth spans across rural and urban sectors, various industries (agriculture, construction, services), and different demographics (age groups, women).
Women and Older Individuals: Women experienced the greatest growth, with annual rates above 8%. Employment among older individuals (over 60) increased by about 4.5% per year.
Addressing Concerns:
Increased Anxiety: Some argue that women and the elderly are forced to work due to economic pressures.
Counterpoints: Lower fertility rates and improved access to resources (water, energy) have provided more freedom for those in care and household roles to choose employment.
Sectoral Growth:
Manufacturing and Construction: Expanded by 3.4% and 5.9% per year, respectively.
Agriculture and Services: Demonstrated the most success.
Employment Types: The total increase of 80 million jobs includes 44 million own account workers and unpaid family workers.
Government Initiatives:
Significant increase in Direct Cash Transfers during this period may have contributed to more employment opportunities.
Wage and Earnings Growth:
The average annual growth rate of salaries and earnings between 2017-18 and 2022-23 was 6.6% in nominal terms, but only 1.2% after adjusting for inflation.
Conclusion
Comprehensive Growth: The data reflects a comprehensive and widespread increase in employment across various sectors and demographics.
Policy Implications: Continued government support and targeted policies can further bolster employment growth and address concerns about economic pressures forcing certain groups into the workforce.