Lok Sabha Question No. 212 (UNSTARRED), answered on 2017-07-17
Subject: Decline in Labour Intensive Sector
Ministry: LABOUR AND EMPLOYMENT
Asked by: PREM SINGH CHANDUMAJRA

## GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK SABHA

## UNSTARRED QUESTION NO. 212 TO BE ANSWERED ON 17th JULY, 2017

## DECLINE IN LABOUR INTENSIVE SECTOR

## 212.   PROF. PREM SINGH CHANDUMAJRA

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:

- (a) whether the companies have been adopting the policy of utilizing less labour and more capital in the country;
- (b) if so, the reaction of the Government thereto;
- (c) whether the said policy will account for an decline in the creation of additional employment opportunities in the manufacturing sector and promote mechanization due to the increase in capital investment; and
- (d) if so, the reaction of the Government thereto?

## ANSWER MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI BANDARU DATTATREYA)

(a)  to  (d):  The  Annual  Survey  of  Industries  conducted  by  Ministry  of  Statistics  and Programme Implementation for registered factories in the manufacturing sector gives data on capital employed and employment. The results for the last 4 years is at Annex.

Government is implementing various schemes like Make in India,  Skill  India,  Digital India  etc.  to  facilitate  growth  of  Industries  and  employment.  Skilling  of  workforce under skill India is a major thrust of the Government to meet the changing needs of industry.

Government has also decided to strategically promote labour-intensive manufacturing and expand employment opportunities by promoting tourism and agro-based industries.

A  new  Scheme 'Pradhan Mantri Rojgar Protsahan Yojana' has been initiated by the Ministry of Labour and Employment in the year 2016-17 for incentivising industry for promoting  employment  generation  with  the  allocation  of  Rs.  1000  crore.  Under  this scheme employers would be provided an incentive to enhance employment where the Government  will  pay  the  employer's  contribution  of  8.33%  EPS  made  to  new employees. In textiles  (apparel  and  made-ups)  sector,  the  Government  will  also  pay the  3.67%  EPF  contribution  of  employers  in  addition  to  paying  the  8.33%  EPS contribution. Government has announced a booster package of Rs 6000 crores for the textile sector which is an employment intensive sector.

Government  has  also  implemented  the  National  Career  Service  having  a  portal (www.ncs.gov.in) for online registration and posting of jobs for job-seekers and provide other employment related services.

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Annex

Annex referred to in reply to parts (a) to (d) of the Lok Sabha Unstarred Question No. 212 due for  answer on 17.07.2017

## Annual Series for Principal Characteristics

|   Sl. No. | Characteristics                |   2011-12 (R) |   2012-13 |   2013-14 |   2014-15 |
|-----------|--------------------------------|---------------|-----------|-----------|-----------|
|         1 | Number of Factories            |        217554 |    222120 |    224576 |    230435 |
|         2 | Fixed Capital (in Rs Lakhs)    |     194955088 | 218026022 | 237371903 | 247445461 |
|         3 | Working Capital (in Rs Lakhs)  |      59107859 |  60341107 |  66268577 |  64084031 |
|         4 | Invested Capital (in Rs Lakhs) |     284114733 | 314411215 | 338455535 | 351396431 |
|         5 | Number of Workers              |      10438156 |  10051626 |  10444404 |  10755288 |
|         6 | Number of Employees            |      13346243 |  12873853 |  13462061 |  13808327 |

Source: Annual Survey of Industries, Ministry of Statistics & Programme Implementation.