Lok Sabha Question No. 3075 (UNSTARRED), answered on 2018-12-31
Subject: Mismatch between Demand and Supply of Labour
Ministry: LABOUR AND EMPLOYMENT
Asked by: SISIR KUMAR ADHIKARI

## MINISTRY OF LABOUR AND EMPLOYMENT

## GOVERNMENT OF INDIA LOK SABHA

## UNSTARRED QUESTION NO. 3075

## TO BE ANSWERED ON 31 ST  DECEMBER, 2018

## MISMATCH BETWEEN DEMAND AND SUPPLY OF LABOUR

3075.  SHRI SISIR KUMAR ADHIKARI:

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

- (a) whether it is a fact that unemployment rate has risen to 6.9 percent in the country this year up to October 2018 and if so, the details thereof;
- (b) whether it is also a fact that after demonetization, unemployment stood at 48 per cent during November, 2016 to November, 2018 period and if so, the details thereof;
- (c) whether  it  is  also  a  fact  that  since  2014  there  is  a  mismatch  between demand and supply of labour and annually 12 million people have lost jobs during the last four years and if so, the details thereof; and
- (d) the  steps  taken/being  taken  by  the  Government  to  create  more  jobs  to meet the present demand of 29.5 million job seekers across the country?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI SANTOSH KUMAR GANGWAR)

- (a)  &  (b):  As  per  the  Centre  for  Monitoring  Indian  Economy  Pvt  Ltd.  (CMIE), unemployment  rate  in  October,  2018  was  6.9%.  As  per  the  result  of  labour force  surveys  on  Employment-Unemployment  conducted  by  Labour  Bureau, Ministry  of  Labour  and  Employment,  the  estimated  unemployment  rate  for persons aged 15 years and above on usual status basis in the country in 201516 was 3.7%.

(c) & (d):  Labour Bureau has been conducting Quarterly Employment Surveys in the selected  labour-intensive and export-oriented sectors  namely textiles including apparels, metals, gems & jewellery, automobiles, transport, IT/BPO, leather and handloom/powerloom.. The coverage of the Quarterly Employment Survey has been enhanced since 2016 with more industries/sectors. According  to  the  survey  results,  estimated  change  in  employment  in  all selected sectors is given at Annexure.

Employment  generation  coupled  with  improving  employability  is  the priority of the Government. Government has taken various steps for generating  employment  in  the  country  like  encouraging  private  sector  of economy, fast-tracking 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 (MGNREGS), Pt. Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY) and Deendyal Antodaya Yojana-National Urban Livelihoods Mission (DAY-NULM).

Pradhan Mantri Rojgar Protsahan Yojana (PMRPY) has been launched by the  Ministry  of  Labour  and  Employment  for  incentivising  employers  for promoting employment generation. Under this scheme, Government is paying entire  employer's  contribution  (12%  or  as  admissible)  towards  EPF  and  EPS for all eligible new employees for all sectors for 3 years.

Pradhan Mantri Mudra Yojana (PMMY) has been initiated by Government for facilitating self-employment. Under PMMY collateral free loans uptoRs. 10 lakh, are extended to small/micro business enterprises and to individuals to enable them to setup or expand their business activities.

Government has implemented the National Career Service (NCS) Project which comprises a digital portal that provides a nation-wide online platform for the job seekers and employers for job-matching in a dynamic, efficient and responsive manner and has a repository of career content to job seekers.

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## Annexure referred to in reply to part (c & d) of Lok Sabha unstarred Question No. 3075 due for reply on 31-12-2018

## Estimated Change in Employment in eight selected sectors (in lakhs)

| Sl. No.   | Industry/ Group             |   Jan, 2014 to Dec, 2014 |   Jan, 2015 to Dec, 2015 | Industry/ Group            |   April, 2016 to Dec, 2016 |   Jan, 2017 to Sept, 2016 |
|-----------|-----------------------------|--------------------------|--------------------------|----------------------------|----------------------------|---------------------------|
| 1         | Textiles including Apparels |                     1.41 |                     0.72 | Manufacturing              |                       0.95 |                      1.04 |
| 2         | Leather                     |                    -0.07 |                    -0.08 | Construction               |                      -0.25 |                     -0.1  |
| 3         | Metals                      |                     0.74 |                     0.37 | Trade                      |                       0.26 |                      0.5  |
| 4         | Automobiles                 |                     0.25 |                    -0.08 | Transport                  |                       0.18 |                      0.2  |
| 5         | Gems & Jewellery            |                     0.11 |                    -0.19 | Accommodation & Restaurant |                      -0.07 |                      0.1  |
| 6         | Transport                   |                    -0.11 |                    -0.04 | IT/ BPO                    |                       0.22 |                      0.16 |
| 7         | IT/BPO                      |                     1.93 |                     0.76 | Education                  |                       0.67 |                      1.22 |
| 8         | Handloom/ Powerloom         |                    -0.05 |                    -0.11 | Health                     |                       0.35 |                      0.73 |
|           | Total                       |                     4.21 |                     1.35 | Total                      |                       2.31 |                      3.85 |

Source: Quarterly Employment Survey of Labour Bureau