India, one of the youngest countries in the world, where youth accounted for 20% of the total population in 2011, according to the Registrar General of India. More importantly, the dependency ratio – the number of children and elderly people per working-age person — declined 21% over the last three decades. In China, the ratio declined 31%, but in the U.S. and Europe it dropped 1% and 7%, respectively, and in Japan it increased 8%, according to United Nations figures. At this rate, India will have the lowest dependency ratio out of these countries and regions by 2030. By that year, India’s working age population is expected to expand to 131% of the 2010 workforce.
However, youth unemployment remains high in India, and it hasn’t been helped by the global crisis. The latest World Development Report by the World Bank says India’s youth unemployment — as a percentage of the youth work force — was 9.9% for males and 11.3% for females in 2010. In 1985, the figures were 8.3% and 8%, respectively. Youth unemployment in India, like most countries, has consistently been above the national average. But of late, the data indicate rising youth unemployment, now virtually 50% more than the national average, or total unemployment rate.
The National Sample Survey Organisation found that India’s unemployment rate fell to 6.6% in 2009-10 from 8.2% in 2004-05. The general perception is that unemployment in India is high, but the actual numbers seem reasonable. That’s because self-employment accounts for about 60% of India’s employed population.
Given the lack of viable employment opportunities, a large number of Indians opt for self-employment. And a big chunk of this includes low-paying activities like hawking magazines and flowers at traffic signals. Casual workers — who get jobs at times and remain unpaid at other times — account for 30%, while only 10% of the working population are regular employees. Given the scarcity of opportunities, higher youth unemployment shouldn’t come as a surprise.
But rising youth unemployment in a country that is expected to reap the demographic dividend is a concern. The latest NSSO survey shows there has been a drop in the labor force participation rates – as in, those who are willing to work – among the youth. Many young people are delaying their entry into the workforce, partly because they are extending their years of education. This at least is positive as it indicates a higher degree of skill formation in the young laborforce…
Choosen excerpts by Job Market Monitor from
550 million Indians are 25 years and below, all ready or getting ready to join the workforce. But is India creating enough jobs? Is our education system and industry geared for the demographic explosion, which if not channeled right, could become a demographic disaster. Experts Sudhakar Balakrishnan, MD and CEO at Adecco India, Sanjay Pandit, … Continue reading »
Employers seem to be wary abouthiring for new positions and would rather concentrate only on filling up chairs that are empty because of attrition. A report by online job portalHeadHonchos.com called ‘Management Hiring Perspective Report 2012′ stated that only 51% of employers surveyed wanted to increase their headcount. ‘The hiring outlook is even more subdued … Continue reading»
“Early April, Corp-Corp conducted a survey among Indian IT professionals. More than 1000 professionals responded to this survey. The results show more than half of the Indian IT professionals are planning to return to India.” writes corp-corp.com on its Blog. Survey Highlights (adapted excerpts) 50.1% of the people said that they will be returning to … Continue reading »
Addressing the Combined Commanders’ Conference in New Delhi on Friday, Singh said: “We need an aggregate growth rate of 8 per cent per annum to create new job opportunities for more than 10 million persons who are going to enter our labour force each year.” “This is not going to be an easy task, given … Continue reading »
“ Has wider access to education increased social mobility in India? writes Hasan Suroor in Education is a necessary but not a sufficient basis for social mobility on thehindu.com. She interviews Oxford academic Craig Jeffrey, ‘a fellow and tutor in Geography at St. John’s College, who speaks fluent Hindi and Urdu’ and ‘who spent several … Continue reading »
Launching the pilot project on National Vocational Education Qualifications Framework (NVEQF) in Haryana, union Human Resource Development Minister Kapil Sibal emphasised the need to change the mindset of parents to promote vocational education in the country. “India is a country of youth. There is a need to give them such education, which may get them … Continue reading »
Puneet Mishra, director of Ambition Institute of Technology in Varanasi, is a worried man. He is concerned that a majority of engineering graduates in India are not employable. There is a disconnect between what the industry needs and what the students learn, he said, as the curricula are not upgraded frequently enough to match the … Continue reading »