India’s Job Creation Imperative
The Economic Survey 2023-24, released on January 30th, emphasizes the urgent need for India to generate 78.51 lakh jobs annually in non-agriculture sectors to accommodate its growing workforce. The country’s current labor force stands at approximately 56.5 crore and is projected to continue expanding until 2044.
To meet this demand, India must foster conditions that promote faster growth of productive jobs outside the agriculture sector, according to the Ministry of Finance. The survey identifies organized manufacturing and services as key areas for job creation.
Skills development is highlighted as a top priority for achieving India’s goal of becoming a developed nation by 2047. The Ministry emphasizes the need for education and skills policies to focus on learning outcomes and alignment with each other. The New Education Policy 2020 is cited as a positive step in this direction.
The document notes the government’s efforts to create employment and entrepreneurial opportunities for youth. It points to the doubling of net payroll additions in the Employees’ Provident Fund Organization (EPFO) over the past five years as an indicator of healthy growth in formal employment.
To enhance job creation, the survey recommends addressing regulatory obstacles, including those related to land use, working hours, building codes, and restrictions for women’s employment. Resolving these constraints could increase female labor force participation and expand job opportunities.
The Economic Survey, presented by Finance Minister Nirmala Sitharaman, provides insight into the economy’s performance and sets the stage for the upcoming Union Budget, which is expected to focus on job creation and economic development.
