Employment scenario in India grim, says ILO report

Contact Counsellor

Last Updated28/03/2024

Recently, The India Employment Report 2024 was released by the International Labour Organisation (ILO) and the Institute of Human Development (IHD).
The share of those with secondary or higher education among the unemployed youth in India has almost doubled from 35.2% in 2000 to 65.7% in 2022,

The report says that youngsters account for almost 83% of the country’s unemployed workforce.
Employment and underemployment of the youth increased between 2000 and 2019 but declined during the pandemic years, the study, released by Chief Economic Adviser V. Anantha Nageswaran, said.
The Labour Force Participation Rate (LFPR), Worker Population Ratio (WPR) and Unemployment Rate (UR) showed a long-term deterioration between 2000 and 2018,
- But witnessed an improvement after 2019, the study said.

Non-farm employment grew at a higher rate than farm employment over the different periods prior to 2018
Labour from agriculture was mainly absorbed by the construction and services sectors.
Also, almost 90% of workers remain engaged in informal work, while the share of regular work, which steadily increased after 2000, declined after 2018.
There are widespread livelihood insecurities, the report added, with only a small percentage being covered with social protection measures, precisely in the non-agriculture, organised sector.
While India’s large young workforce is a demographic dividend, the report noted that they don’t appear to have the skills to deliver.
- With 75% of youth unable to send emails with attachments, 60% unable to copy and paste files, and 90% unable to put a mathematical formula into a spreadsheet.
The country is also facing the challenge of a substantial gender gap in the labour market, with low rates of female labour force participation.

Despite affirmative action and targeted policies, the Scheduled Castes and Scheduled Tribes still lag in terms of access to better jobs.
“Scheduled Castes and Scheduled Tribes have greater participation in work due to economic necessity but engaged more in low-paid temporary casual wage work and informal employment.
Despite improvement in educational attainment among all groups, the hierarchy within social groups persists,” the report added.