2. CURRENT EMPLOYMENT SITUATION
India's official unemployment rate last year was 3.8%.
The proportion of poor amongst those employed is very high.
Only 8% of total employment is in the organized sector.
Total employment across sector is just 60% (organized sector)
There is a steep decline in the female employment workforce of
about 30%
About 40 per cent of the self-employed in rural areas felt that
their income of less than Rs 1,500 per month
3. SHARE OF SECTORS IN EMPLOYMENT-
TREND
SECTORS 1999-2000 2004-05 2011-12
PRIMARY 59.84 58.44 53.2
SECONDARY 17.42 18.18 21.50
TERTIARY 22.73 23.38 25.30
•Gradual decline in the Primary Sector
•Steady increase in the manufacturing sector namely
manufacturing & construction.
•Significant increase in the Services sector
4. •Healthcare, Hospitality and IT/ITeS will create more than 7.31lacs new
jobs in the country out 1.6 million new jobs estimated to be created in
the organized sector
•Healthcare -2.73lakh, hospitality over 2.30lakh and IT/ITeS are 2.27lakh
EMPLOYMENT TRENDS IN VARIOUS INDUSTRIES
5. HEALTHCARE SECTOR
Global healthcare and wellness is a Rs.2295000crore industry,
2nd largest after agro-industry.
During1990s, Indian healthcare grew at a CAGR of 16%.
By 2013, India’s healthcare sector is projected to grow to nearly
Rs.204000crore that translates to roughly 7% of GDP.
The Indian economy is predicted to expand by at least 5%
annually for the next 45 years with healthcare having the
maximum share.
HSSC( has committed to skill 4.8 million
people over the next 10 years in the
healthcare. Healthcare Sector Skill Council
6. IT/IT-ES
•The IT & ITes sector includes
IT services, engineering design
and R&D services, ITES or BPO
and hardware.
•IT Sector accounts for 12% of
the total workforce making it
the largest employer in the
organized sector.
•The industry is expected to grow by 19 per cent during FY 2012-
13.
•Employee base in the rural areas is expected to increase by over
10 times by 2013-14, compared to 5000 in 2009-10.
7. REAL ESTATE/CONSTRUCTION
Next to Agriculture, Real Estate is the second largest
employer in the economy.
the Real Estate sector contributes around 5 % to the nation’s
GDP.
Employs 17% of total workforce.
Despite of the global slowdown, manufacturing, have steady
domestic demand.
By 2016 the size of the Indian automobile industry is
expected to grow by 13%, to reach US$20-159 billion
8. SELF EMPLOYED: ENTREPRENEURS
One in every ten Indians is engaged in some entrepreneurial activity
India ranks among the world's worst countries at encouraging
entrepreneurs. For ease of starting a business, India is ranked 166th
out of 183 countries.
REASONS
• Reams of red tape
• poor infrastructure
• inadequate financial resources.
• Then there is the question of corruption and bribery,
• Indians are averse to risk taking and would rather settle for secure
salary paying jobs.
9. OTHER PROMISING SECTORS:
The education sector will add more than one lakh jobs.
The communication segment will generate around 93,300 jobs and
grow at a rate of 3.5%,
The FMCG sector in India is at present, the 4th largest. the consumer
retail sector will add over 54,000 jobs this year.
Aviation will give direct and indirect employment to 1.7 million
people.
The Media & Entertainment Industry in India is expected to reach Rs
1,457 billion by 2016. The industry achieved a growth of 12% in 2011
Real estate sector's contribution of 1,44,700 jobs translates into a
growth rate of 16.8%
10. PROBLEMS IN EMPLOYMENT
Corporate need employable graduates. only 25 percent of graduates
passing out from engineering colleges were directly employable every year.
Up to 15 per cent of the 5,00,000 jobs in investment banking could
disappear in the next five years as the euro zone crisis and stiffer regulation
hammers revenue, profitability and risk-taking,
As a result of the Euro Zone crisis, there would be cautious hiring in the
banking-related IT hiring and retail sector.
Senior BJP leader Uma Bharti on Saturday held that FDI in multi-brand
would render crores unemployed once FDI is allowed. 56 % of Indians feel
that the FDI in retail would throw the kirana stores out of business.
The employment potential emanating from faster growth manufacturing
and services could not be fully exploited due to lack of policy support.
11. SCOPE FOR FURTHUR STUDIES: FDI
FDI in retail can create 3 million jobs in three years
including both direct and indirect jobs.
- In 10 years time 10 million jobs would be created
(4 million direct jobs and around 5-6 million indirectjobs).
- One job would be created for every 250 square feet area
in retail.
-The retail industry is estimated to grow at 20% per
annum.
FDI in insurance sector from 26% to 49%, without having
any impact on the public insurance companies is going to
make way for employment.
¨FDI in aviation sector will help in generating
employment in front hand and back hand jobs.
