Lok Sabha Question No. 1052 (UNSTARRED), answered on 2018-12-17
Subject: Jobs Lost after Demonetisation
Ministry: LABOUR AND EMPLOYMENT
Asked by: RABINDRA KUMAR JENA, DINESH TRIVEDI

## GOVERNMENT OF INDIA

## MINISTRY OF LABOUR AND EMPLOYMENT LOK  SABHA

UNSTARRED QUESTION NO. 1052 TO BE ANSWERED ON 17TH DECEMBER, 2018

## JOBS LOST AFTER DEMONETISATION

1052. SHRI RABINDRA KUMAR JENA: SHRI DINESH TRIVEDI

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

- (a) the number of jobs created in the country annually since 2014, sector-wise;
- (b) the details of the increase or decrease in number of jobs created annually in the country in the last four years and the reasons therefor;
- (c) the number of jobs lost after demonetisation and levying of GST since 2016 till now,  sector-wise  and  the  steps  taken  by  the  Government  to  enhance  job availability in the country;
- (d) whether the Government has taken note of the report of Centre for Monitoring Indian Economy(CMIE) wherein it has been stated that 1.5 million jobs were lost during January to April 2017, post demonetisation;
- (e) if  so,  the  details  thereof  and  the  reaction  of  the  Government  thereto  along with  the  measures  taken  by  the  Government  to  create  jobs  lost  due  to demonetisation and levying of GST; and
- (f) the measures taken to increase the labour participation rate which fell to a 44.3% during the said period, post demonetisation?

## ANSWER

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

(a) to (f) Labour Bureau, Ministry of Labour & Employment  has been conducting Quarterly  Quick  Employment  Surveys  in  eight  selected  labour  intensive  and export-oriented sectors namely textiles, leather, metals, automobiles, gems and jewellery, transport, IT/BPO and handloom/ powerloom. The job growth in these 8 sectors  from 2009 to 2015 is given at   Annex-I.

The coverage of the Quarterly Quick Employment Survey has since been revamped during 2016 with expanded coverage of organised industries/sectors. The change in employment in these 8 broad organised  sectors from July 2016 to October 2017 is given at   Annex-II.

As  per  the  Employment  and  Unemployment  Surveys(EUS)  conducted  by  Labour Bureau,  Ministry  of  Labour  &  Employment,  the  estimates  of    Worker  Population Ratio (WPR)  based on  Usual Principal and Subsidiary Status (UPSS) approach for persons aged 15 years and above which indicates the level of employment are as follows:

| Year      | Worker Population Ratio under UPSS approach for persons aged 15 years and above   | Worker Population Ratio under UPSS approach for persons aged 15 years and above   | Worker Population Ratio under UPSS approach for persons aged 15 years and above   |
|-----------|-----------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|
|           | Rural                                                                             | Urban                                                                             | (Rural+ Urban) Total                                                              |
| 2012 - 13 | 53.6                                                                              | 44.2                                                                              | 51.0                                                                              |
| 2013 - 14 | 57.1                                                                              | 45.5                                                                              | 53.7                                                                              |
| 2015 - 16 | 53.9                                                                              | 41.8                                                                              | 50.5                                                                              |

Employment generation coupled with improving employability is the priority of the Government. The Government is implementing various programs in this direction like 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 (DDUGKY) and Deendayal Antodaya Yojana-National Urban Livelihoods Mission (DAYNULM). The detail of employment generated in these schemes is at Annex -III .

Pradhan  Mantri  Rozgar  Protshan  Yojana  (PMRPY)  has  been  initiated  by  the Ministry of Labour & Employment in the year 2016-17 for incentivizing employers by paying their entire contribution of 12% (or as admissible) towards the EPS and EPF  for  all  sectors  w.e.f.  01.04.2018  to  all  eligible  new  employees  and  is applicable  for  all  sectors  for  the  three  years.  Till  10.12.2018,    more  than  92.23 lakh  employees  have  been  benefitted  through  1.15  lakh  establishments  under PMRPY.

Ministry of Labour & Employment is implementing National Career Service Project (NCSP) for transforming the employment services in the country using technology to bring more employment opportunities to jobseekers.

Goods and Services Tax (GST) has provided a significant opportunity to improve economic growth momentum by removing barriers to trade, business and related economic activities. The Goods and Services Tax (GST) was rolled out from 1st July,  2017.  It  is  expected  that  this  will  lead  to  greater  economic  growth  and consequent increase in employment generation opportunities for the vast pool of young population of the country. It is not possible to ascertain the impact of GST on employment.

*****

STATEMENT REFERRED TO IN REPLY TO PART (a) to (f)  OF THE LOK SABHA UNSTARRED QUESTION NO. 1052 FOR 17-12-2018 REGARDING JOBS LOST AFTER DEMONETISATION.

JOB GROWTH IN 8 MAJOR SECTORS AS PER QUARTERLY QUICK EMPLOYMENT SURVEYS CONDUCTED BY LABOUR BUREAU.

(in lakhs)

| Sl. No.           | Industry/ Group     |   Jan,09 to Dec,09 |   Jan,10 to Dec,10 |   Jan,11 to Dec,11 |   Jan,12 to Dec,12 |   Jan,13 to Dec,13 |   Jan,14 to Dec,14 |   Jan,15 to Dec,15 |
|-------------------|---------------------|--------------------|--------------------|--------------------|--------------------|--------------------|--------------------|--------------------|
| 1                 | 2                   |               3    |               4    |               5    |               6    |               7    |               8    |               9    |
| 1                 | Textiles            |               3.88 |               1.03 |              -0.34 |               1    |               2.86 |               1.41 |               0.72 |
| 2                 | Leather             |              -0.25 |               0.41 |              -0.21 |               0.03 |               0.44 |              -0.07 |              -0.08 |
| 3                 | Metal               |               0.58 |               0.76 |               1.07 |               0.21 |              -0.35 |               0.74 |               0.37 |
| 4                 | Automobile          |               0.55 |               1.27 |               0.47 |               0.09 |               0.16 |               0.25 |              -0.08 |
| 5                 | Gems & Jewellery    |               0.78 |               0.22 |               0.28 |              -0.01 |               0.09 |               0.11 |              -0.19 |
| 6                 | Transport           |              -0.07 |              -0.11 |               0.33 |               0.17 |              -0.09 |              -0.11 |              -0.04 |
| 7                 | IT/BPO              |               6.54 |               5.07 |               7.64 |               1.95 |               1.09 |               1.93 |               0.76 |
| 8                 | Handloom/ Powerloom |               0.8  |               0.01 |               0.05 |              -0.23 |              -0.02 |              -0.05 |              -0.11 |
| TOTAL (Year wise) | TOTAL (Year wise)   |              12.8  |               8.65 |               9.3  |               3.22 |               4.19 |               4.21 |               1.35 |

STATEMENT REFERRED TO IN REPLY TO PART (a) to (f)  OF THE LOK SABHA UNSTARRED QUESTION NO. 1052 FOR 17-12-2018 REGARDING JOBS LOST AFTER DEMONETISATION.

## SECTOR WISE CHANGE IN EMPLOYMENT IN EIGHT SECTORS AS PER QUARTERLY QUICK EMPLOYMENT SURVEYS CONDUCTED BY LABOUR BUREAU.

( in lakhs)

| S.No.   | Sector                     |   Level Estimates As on 1 April, 2016 |   1 st Jul 16 over 1 st Apr'16 |   1 st Oct 16 over 1 st Jul'16 |   1 st Jan'17 over 1 st Oct'16 |   1 st Apr'17 over 1 st Jan'17 |   1 st Jul'17 over 1 st Apr'17 |   1 st Oct.'17 over 1 st July'17 |
|---------|----------------------------|---------------------------------------|--------------------------------|--------------------------------|--------------------------------|--------------------------------|--------------------------------|----------------------------------|
| 1       | Manufacturing              |                                101.17 |                          -0.12 |                           0.24 |                           0.83 |                           1.02 |                          -0.87 |                             0.89 |
| 2       | Construction               |                                  3.67 |                          -0.23 |                          -0.01 |                          -0.01 |                           0.02 |                           0.1  |                            -0.22 |
| 3       | Trade                      |                                 14.45 |                           0.26 |                          -0.07 |                           0.07 |                           0.29 |                           0.07 |                             0.14 |
| 4       | Transport                  |                                  5.8  |                           0.17 |                           0    |                           0.01 |                           0.03 |                          -0.03 |                             0.2  |
| 5       | Accommodation & Restaurant |                                  7.74 |                           0.01 |                          -0.08 |                           0    |                           0.03 |                           0.05 |                             0.02 |
| 6       | IT/BPO                     |                                 10.36 |                          -0.16 |                           0.26 |                           0.12 |                           0.13 |                           0.02 |                             0.01 |
| 7       | Education                  |                                 49.98 |                           0.51 |                          -0.02 |                           0.18 |                           0.02 |                           0.99 |                             0.21 |
| 8       | Health                     |                                 12.05 |                           0.33 |                           0    |                           0.02 |                           0.31 |                           0.31 |                             0.11 |
|         | Total                      |                                205.22 |                           0.77 |                           0.32 |                           1.22 |                           1.85 |                           0.64 |                             1.36 |

*Source:Labour Bureau

STATEMENT REFERRED TO IN REPLY TO PART (a) to (f)  OF THE LOK SABHA UNSTARRED QUESTION NO. 1052 FOR 17-12-2018 REGARDING JOBS LOST AFTER DEMONETISATION.

| Employment Generated                                       | Employment Generated   | Employment Generated   | Employment Generated   | Employment Generated     |
|------------------------------------------------------------|------------------------|------------------------|------------------------|--------------------------|
| Schemes/Year                                               | 2015-16                | 2016-17                | 2017-18                | 2018-19                  |
| Estimated employment generated under PMEGP (in lakh)       | 3.23                   | 4.08                   | 3.87                   | 1.11 (till 30-06-2018)   |
| Persondays Generated under MGNREGS (in crore)              | 235.15                 | 235.64                 | 234.26                 | 168.11 (till 06-12-2018) |
| Candidates placed in jobs after training DDU-GKY (in lakh) | 1.35                   | 1.48                   | 0.76                   | 0.96 (till 03-12-2018)   |
| Skill Trained Persons given Placement DAY-NULM (in lakh)   | 0.34                   | 1.52                   | 1.15                   | 0.23 (till 09-07-2018)   |