Lok Sabha Question No. 6528 (UNSTARRED), answered on 2018-04-06
Subject: Economic Policy for Employment Generation
Ministry: FINANCE
Asked by: RAM KUMAR SHARMA KUSHWAHA, GOPAL CHINAYYA SHETTY

Government of India Ministry of Finance Department of Economic Affairs

## LOK SABHA

## UNSTARRED QUESTION NO. 6528

TO BE ANSWERED ON 06 APRIL, 2018

## ECONOMIC POLICY FOR EMPLOYMENT GENERATION

† 6528. SHRI RAM KUMAR SHARMA: SHRI GOPAL SHETTY:

Will the Minister of FINANCE be pleased to state:

- (a)  whether India needs such a economy which generates more employment;
- (b)  if so, the reaction of the Government in this regard;
- (c) whether the present economic structure require comprehensive changes to generate more employment;
- (d) if so, the reaction of the Government thereto; and
- (e) the comprehensive changes decided to be affected in the present economic policy to generate more employment along with the other steps taken to improve the economy of the country?

## ANSWER

MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PON. RADHAKRISHNAN)

- (a) & (b) India has the advantage of demographic dividend wherein more than 60 percent of the population is in the productive working age group. Employment generation has been one of the key priorities of the Government. In  order  to  improve  the  employability  of  youth,  the  Government  is  imparting  short  term  skill  training  through Pradhan  Mantri  Kaushal  Vikas  Yojana  (PMKVY)  and  long  term  training  through  Industrial  Training  Institutes. Model Skill Centres are being set up in every district of the country.
- (c)  &  (d)    Employment  in  India  poses  challenges  in  terms  of  its  structure  which  is  dominated  by  informal, unorganized and seasonal workers and is also characterized by high levels of under employment.  In order to make  the  labour  market  dynamic  and  efficient,  the  Government  has  taken  several  measures.  These  include notification of 'Ease of Compliance to maintain Registers under various Labour Laws Rules, 2017', launching of Integrated Shram Suvidha Portal and National Career Service portal, and integration of twenty services with the eBiz portal.
- (e)  Government has been taking various measures to facilitate employment generation in the economy. These measures  include  encouraging  labour  intensive  sectors  like  textiles  and  apparels,  footwear  and  leather,  fasttracking  various  projects  involving  substantial  investment  and  increasing  public  expenditure  on  schemes  like Prime Minister's  Employment Generation  Programme (PMEGP), Mahatma Gandhi National Rural Employment Guarantee  Scheme  (MGNREGA),  Pt.  Deen  Dayal  Upadhyaya  Grameen  Kaushalya  Yojana  (DDU-GKY)  and Deendayal Antyodaya Yojana- National Urban Livelihoods Mission (DAY-NULM). The Make in India, Skill India, Digital India schemes are being implemented by the Government and these are likely to enhance the employment base. MUDRA and START UPS scheme are initiated by the Government for facilitating self-employment.

The Government has taken several initiatives to boost the growth of the economy which inter-alia include fillip to manufacturing, comprehensive reforms in the foreign direct investment policy, push to infrastructure development by  giving  infrastructure  status  to  affordable  housing  and  logistics  sector  and  focus  on  highways  development, launching of Bharatmala Pariyojana with coastal connectivity.