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India Complaints Against India Employment Report 2024
Context:
India, a founding member of the ILO, is likely to raise a complaint against the UN agency over its India Employment Report 2024. The model ILO used to assess employment scenarios in India was not suitable for the Indian context.
India to Raise Formal Complaint:
- The ILO report, prepared in collaboration with the Institute of Human Development (IHD), presents findings differing significantly from the Indian government’s assessment of employment data.
- The report indicates that nearly 83% of the unemployed workforce in India are youth.
- It also highlighted a significant increase in the share of educated youth among the unemployed, rising from 35.2% in 2000 to 65.7% in 2022.
Government Response
- The government argues that the model used by ILO is not applicable to the Indian context.
- ILO’s data does not align with assessments made by the Indian government, leading to a misrepresentation of the employment scenario in India.
- The Union Labour Ministry previously expressed scepticism about data from private agencies such as the Centre for Monitoring Indian Economy (CMIE).
- The government prefers Periodic Labour Force Surveys (PLFS) for more accurate data on employment and unemployment.
- The government pointed out that the Employment-Unemployment Survey (EUS) and the PLFS used in the ILO report are not comparable due to different sampling methods.
- The EUS was a random survey conducted until 2011-12, while the PLFS, introduced in 2017-18, employs a panel survey method.
- The Indian government argues that the concept of employment is evolving.
- There is an increasing number of people becoming entrepreneurs and growing formal employment through:
- Employees Provident Fund Organisation (EPFO) and Employees State Insurance Corporation (ESIC).
- The Minister of State for Labour stated that youth unemployment in India is on a declining trend.
- The Ministry has decided to develop a comprehensive data model for employment, aiming to integrate and link various employment data sources for a more accurate picture of employment trends in India.
- The government emphasises employment generation and improving employability as priorities, with various initiatives underway.
Government Initiatives for Boosting Employment:
- Pradhan Mantri Kaushal Vikas Yojana (PMKVY): Launched in 2015, offers free short-term skill training to enhance youth employability and boost industry.
- Pradhan Mantri Mudra Yojana (PMMY): Launched in 2015, provides loans up to ₹1,000,000 to micro/small enterprises in non-corporate & non-farm sector.
- Prime Minister’s Employment Guarantee Programme (PMEGP): Credit – linked subsidy scheme to create self-employment opportunities for youths.
- Rozgar Mela, organised by National Skill Development Corporation with Sector Skill Councils and Pradhan Mantri Kaushal Kendras.
- A half-day event that connects employers from high-growth sectors with job seekers for expedited recruitment.
- Skill India Mission: Launched in 2015, aimed to create and implement skill development training programs to bridge the gap between industry demands and skill requirements.
Conclusion:
- The Indian government plans to formally address its concerns with the ILO regarding the discrepancies in employment data.
- The Union Labour Minister emphasised the need for a unified system integrating different employment data sources to provide a holistic view of employment generation in the country.
India Employment Report 2024
- Released by: Institute for Human Development (IHD) and the International Labour Organisation (ILO)
- It is 3rd in the IHD’s series of regular publications on labour and employment issues.
- It analyses data from National Sample Surveys and Periodic Labour Force Surveys spanning 2000 to 2022.
- While labour force participation and unemployment rates improved after 2019, rising agricultural employment in rural areas tempered these gains.
- Improved education levels contrast with high unemployment among educated youth due to a mismatch with job availability.
- The report outlines five key policy areas for action:
- promoting job creation, improving employment quality, addressing labour market inequalities, strengthening skills and policies, and bridging knowledge gaps.
International Labour Organisation:
- Establishment: 1919, by Treaty of Versailles
- It is the only tripartite UN agency, and has brought together governments, employers, and workers from 187 member states to set labour standards, develop policies, and promote decent work for all.
- In 1945, the ILO became the first specialised agency of the United Nations and in 1969 received the Nobel Peace Prize.
- India, a founding member of the ILO, has been a permanent member of its Governing Body since 1922, with the first ILO office in India opening in 1928 in New Delhi.
- Headquarter: Geneva, Switzerland.
