Lok Sabha Question No. 3139 (UNSTARRED), answered on 2023-03-20
Subject: Unemployment Conditions in Rural-Urban
Ministry: LABOUR AND EMPLOYMENT
Asked by: V. Kalanidhi

## MINISTRY OF LABOUR AND EMPLOYMENT

## GOVERNMENT OF INDIA LOK SABHA

## UNSTARRED QUESTION NO. 3139 TO BE ANSWERED ON 20 TH  MARCH, 2023

## UNEMPLOYMENT CONDITIONS IN RURAL-URBAN

3139.  DR. KALANIDHI VEERASWAMY:

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

- (a) whether  the  Government  has  taken  any  measures  to  overcome  the prevailing underemployment crisis that sparked by pandemic period;
- (b) if so, the details thereof along with the underemployment and disguised employment  rate  during  the  last  three  years,  State-wise  particularly Tamil Nadu;
- (c) whether  the  Government  has  identified  the  causes  for  the  spiking underemployment and unemployment conditions in rural-urban context separately;
- (d)
- if so, the details thereof;
- (e) whether the Government has found any relevance of changing economic conditions  with  regards  to  the  rise  of  gig  economy  and  its impact on underemployment rate; and
- (f)
- if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR LABOUR AND EMPLOYMENT (SHRI RAMESHWAR TELI)

(a) to  (f):  The  data  on  Employment  and  Unemployment is  collected  through Periodic Labour Force Survey (PLFS) which is conducted by the Ministry of Statistics & Programme Implementation (MoSPI) since 2017-18. The survey period is July to June of next year. As per the latest available Annual PLFS Reports, the estimated Worker Population Ratio (WPR), indicating employment,  on  usual  status  for  persons  of  age  15  years  and  above  was 50.9%, 52.6% and 52.9% during 2019-20, 2020-21 and 2021-22, respectively, which shows an increasing trend.

The estimated Unemployment Rate (UR) on usual status for persons of age  15  years  and  above  in  both  rural  and  urban  areas  during  2019-20  to 2021-22 is as follows :

| Years   | Unemployment Rate (%)   | Unemployment Rate (%)   | Unemployment Rate (%)   |
|---------|-------------------------|-------------------------|-------------------------|
| Years   | Rural                   | Urban                   | All India               |
| 2019-20 | 3.9                     | 6.9                     | 4.8                     |
| 2020-21 | 3.3                     | 6.7                     | 4.2                     |
| 2021-22 | 3.2                     | 6.3                     | 4.1                     |

Source: PLFS, MoSPI

The  above  data  indicates  that  the  unemployment  in  both  rural  and urban sector and at all India level has decreasing trend.

The  State/UT-wise  estimated  Unemployment  Rate  (UR)  and  Worker Population  Ratio  (WPR)  on  usual  status  for  persons  of  age  15  years  and above during 2019-20 to 2021-22 is at Annexure.

Employment  generation  coupled  with  improving  employability  is  the priority of the Government. Accordingly, the Government of India has taken various steps for generating employment in the country.

Investments  in  Infrastructure  and  productive  capacity  have  a  large multiplier  impact  on  growth  and  employment.  The  budget  of  2023-24 proposed to increase capital investment outlay steeply for the third year in a row by 33 per cent to Rs 10 lakh crore, which would be 3.3 per cent of GDP. This  substantial  increase  in  recent  years  is  central  to  the  government's efforts to enhance growth potential and job creation.

The Government of India has announced Aatmanirbhar Bharat package to provide stimulus to business and to mitigate the adverse impact of Covid 19. Under this package, the Government is providing fiscal stimulus of more than  Rupees Twenty Seven lakh crore. This package comprises of various long term schemes/ programmes/ policies for making the country self-reliant and to create employment opportunities.

The  Aatmanirbhar  Bharat  Rojgar  Yojana  (ABRY)  was  launched  with effect from 1st October, 2020 to incentivize employers for creation of new employment and restoration of loss of employment during Covid-19 pandemic. The terminal date for registration of beneficiaries was 31.03.2022. Since inception of the scheme, till 11.03.2023, benefits have been provided to 60.3 lakhs beneficiaries.

Pradhan Mantri Mudra Yojana (PMMY) was launched by the Government for facilitating self-employment. Under PMMY, collateral free loans upto Rs. 10 lakh, are extended to micro/small business enterprises and to individuals to enable them  to setup or expand  their business  activities. As on 24.02.2023, 39.65 crore loan accounts sanctioned.

The  Government  of  India  is  encouraging  various  projects  involving substantial  investment  and  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 Deen Dayal Antodaya Yojana-National Urban Livelihoods Mission (DAY-NULM) etc. for employment generation.

The Government is implementing Prime Minister Street Vendor's Atma Nirbhar  Nidhi  (PM  SVANidhi  Scheme)  since  June  01,  2020  to  facilitate collateral  free  working  capital  loan  to  street  vendors  to  restart  their businesses, which were adversely impacted during the Covid-19 pandemic. As on 13.03.2023, 42.21 lakh loans have been disbursed under the scheme.

Further, the Ministry of Skill Development and Entrepreneurship (MSDE) is implementing the National Apprenticeship Promotion Scheme (NAPS) and Pradhan Mantri Kaushal Vikas Yojana (PMKVY) to enhance the employability of youth.

The Production Linked Incentive (PLI) schemes is being implemented by the Government with an outlay of Rs. 1.97 lakh crore, for a period of 5 years starting from 2021-22 which have potential for creating 60 lakh new jobs.

PM Gati Shakti is a transformative approach for economic growth and sustainable development. The approach is driven by seven engines, namely, Roads, Railways, Airports, Ports, Mass Transport, Waterways and Logistics Infrastructure. This approach is powered by Clean Energy and Sabka Prayas leading to huge job and entrepreneurial opportunities for all.

Besides these initiatives, various flagship programmes of the Government  such  as  Make  in  India,  Start-up  India,  Stand-up  India,  Digital India, Housing for All etc. are also oriented towards generating employment opportunities.  All  these  initiatives  are  expected  to  collectively  generate employment in the medium to long term through multiplier-effects.

NITI  Aayog  in  its  report  titled  'India's  Booming  Gig  and  Platform Economy' has estimated  that  the  gig  workforce  is  expected  to  expand  to 23.5 million by 2029-30 from 7.7 million in 2020-21. The study report sheds light on the various social protection approaches taken around the world for gig  and  platform  workers  and  how  they  can  pave  the  way  for  social protection measures for gig and platform workers in India and recommended designing initiatives such as paid sick leave, health & accident insurance, old age support and support to workers in a situation of irregularity of work.

The Code on Social Security, 2020 envisages framing of suitable social security schemes for gig and platform workers on matters relating to life and disability cover, accident insurance, health and maternity benefits, old age protection, etc. It is provided in the Code on Social Security, 2020 to set up a Social  Security  Fund  and  one  of  the  sources  of  fund,  is  contribution  from aggregator between 1 to 2% of annual turnover of an aggregator subject to the  limit  of  5%  of  the  amount  paid  or  payable  by  an  aggregator  to  such workers.

The  Government  has  launched  e-Shram  portal  for  registration  and creation  of  a  Comprehensive  National  Database  of  Unorganized  Workers including  gig  workers  and  platform  workers.  It  allows  a  person  to  register himself/herself  on  the  portal  on  self-declaration  basis,  which  is  spread across around 400 occupations.

****

Annexure referred to in reply of part (a) to (f) of the Lok Sabha Unstarred Question No. 3139 due for reply on 20.03.2023

State/UT-wise Unemployment Rate (UR) and Worker Population Ratio (WPR) on usual status for persons of age 15 years and above during 2019-20 to 2021-22

| Sl. No.   | States/UTs           | UR (in %)   | UR (in %)   | UR (in %)   | WPR (in %)   | WPR (in %)   | WPR (in %)   |
|-----------|----------------------|-------------|-------------|-------------|--------------|--------------|--------------|
| Sl. No.   | States/UTs           | 2019-20     | 2020-21     | 2021- 22    | 2019- 20     | 2020- 21     | 2021- 22     |
| 1         | Andhra Pradesh       | 4.7         | 4.1         | 4.2         | 55.5         | 58.6         | 57.8         |
| 2         | Arunachal Pradesh    | 6.7         | 5.7         | 7.7         | 44.3         | 48.5         | 47.1         |
| 3         | Assam                | 7.9         | 4.1         | 3.9         | 43.2         | 50.5         | 52.1         |
| 4         | Bihar                | 5.1         | 4.6         | 5.9         | 39.7         | 39.9         | 39.3         |
| 5         | Chhattisgarh         | 3.3         | 2.5         | 2.4         | 65.4         | 63.6         | 64.9         |
| 6         | Delhi                | 8.6         | 6.3         | 5.3         | 43.3         | 42.7         | 42.3         |
| 7         | Goa                  | 8.1         | 10.5        | 12.0        | 47.3         | 43.4         | 41.6         |
| 8         | Gujarat              | 2.0         | 2.2         | 2.0         | 54.7         | 55.0         | 56.8         |
| 9         | Haryana              | 6.4         | 6.3         | 9.0         | 42.9         | 44.0         | 42.5         |
| 10        | Himachal Pradesh     | 3.7         | 3.3         | 4.0         | 70.5         | 69.5         | 71.2         |
| 11        | Jharkhand            | 4.2         | 3.1         | 2.0         | 53.6         | 59.6         | 60.7         |
| 12        | Karnataka            | 4.2         | 2.7         | 3.2         | 53.1         | 55.3         | 53.0         |
| 13        | Kerala               | 10.0        | 10.1        | 9.6         | 45.3         | 46.1         | 48.8         |
| 14        | Madhya Pradesh       | 3.0         | 1.9         | 2.1         | 57.7         | 60.2         | 60.7         |
| 15        | Maharashtra          | 3.2         | 3.7         | 3.5         | 55.7         | 53.9         | 55.9         |
| 16        | Manipur              | 9.5         | 5.6         | 9.0         | 45.5         | 41.0         | 40.6         |
| 17        | Meghalaya            | 2.7         | 1.7         | 2.6         | 58.6         | 62.0         | 60.5         |
| 18        | Mizoram              | 5.7         | 3.5         | 5.4         | 50.7         | 54.5         | 48.9         |
| 19        | Nagaland             | 25.7        | 19.2        | 9.1         | 44.8         | 49.5         | 58.4         |
| 20        | Odisha               | 6.2         | 5.3         | 6.0         | 51.9         | 53.5         | 52.4         |
| 21        | Punjab               | 7.3         | 6.2         | 6.4         | 47.8         | 47.2         | 48.5         |
| 22        | Rajasthan            | 4.5         | 4.7         | 4.7         | 55.0         | 55.3         | 54.7         |
| 23        | Sikkim               | 2.2         | 1.1         | 1.6         | 68.8         | 71.3         | 69.9         |
| 24        | Tamil Nadu           | 5.3         | 5.2         | 4.8         | 55.3         | 56.9         | 55.8         |
| 25        | Telangana            | 7.0         | 4.9         | 4.2         | 55.7         | 57.8         | 58.1         |
| 26        | Tripura              | 3.2         | 3.2         | 3.0         | 49.6         | 53.8         | 50.6         |
| 27        | Uttarakhand          | 7.1         | 6.9         | 7.8         | 49.5         | 48.7         | 48.7         |
| 28        | Uttar Pradesh        | 4.4         | 4.2         | 2.9         | 45.1         | 48.0         | 50.1         |
| 29        | West Bengal          | 4.6         | 3.5         | 3.4         | 49.7         | 53.0         | 52.7         |
| 30        | Andaman & N. Island  | 12.6        | 9.1         | 7.8         | 49.8         | 58.2         | 59.2         |
| 31        | Chandigarh           | 6.3         | 7.1         | 6.3         | 45.5         | 43.1         | 42.2         |
| 32        | Dadra & Nagar Haveli | 3.0         | 4.2         | 5.2         | 72.2         | 54.0         | 65.8         |
| 33        | Daman & Diu          | 2.9         |             |             | 64.5         |              |              |
| 34        | Jammu & Kashmir      | 6.7         | 5.9         | 5.2         | 52.5         | 55.5         | 58.3         |
| 35        | Ladakh               | 0.1         | 2.9         | 3.3         | 62.7         | 69.1         | 58.1         |
| 36        | Lakshadweep          | 13.7        | 13.4        | 17.2        | 48.0         | 40.1         | 37.2         |
| 37        | Puducherry           | 7.6         | 6.7         | 5.8         | 47.7         | 48.1         | 51.2         |
| All India | All India            | 4.8         | 4.2         | 4.1         | 50.9         | 52.6         | 52.9         |

Source: PLFS, MoSPI