Jul 22, 2024 09:12 PM IST
The NDA government has not looked at employment as merely numbers but is inculcating a culture of productivity and providing sustainable income to a large group of youth, women, and disempowered entering the workforce
The National Democratic Alliance (NDA) government under Prime Minister (PM) Narendra Modi presenting its 11th consecutive full Budget would be an opportune moment to analyse the role of the Budget in addressing the aspirations of the youth by creating an enabling framework for job creation and fostering an environment for employment opportunities. This has been supported by the latest KLEMS data released by the Reserve Bank of India that measures Capital (K), Labour (L), Energy (E), Material (M) and Service (S). The data underlines the NDA government’s success in driving economic transformation and creating jobs.
The data reveals that from 2017-18 to 2021-22, over eight crore new jobs were created, defying the global headwinds. When the world was reeling under economic turbulence, an unprecedented global health calamity and political upsurges, India was scripting a story of growth and productivity. The plummeting unemployment rate is driven by opportunities in the manufacturing sector due to various Production Linked Incentive (PLI) schemes to create an Atmanirbhar Bharat and promote Make in India, an expanding service sector, and increased wages and employment arising from the large capital expenditure made towards infrastructure growth. This isn’t just employment data — it is a testament to India’s economic resilience and growth.
This surge in job creation — approximately 18 crore jobs in the last 10 years — starkly contrasts with the underwhelming performance during the United Progressive Alliance (UPA) era. This was over ten times the number of jobs created compared to the preceding decade under the UPA, clearly highlighting “jobless growth” as a significant feature of that era. The gross economic mismanagement, skyrocketing inflation, and rampant corruption pushed India to the league of the global ‘Fragile-5’. The Modi government’s approach has shattered this status quo, turning the tide from a decade of stagnation to an era of unprecedented employment opportunities. Ten years since, India is back on track, and the effects are for everyone to see.
The NDA government has not looked at employment as merely numbers but is inculcating a culture of productivity and providing sustainable income to a large group of youth, women, and disempowered entering the workforce. Over the last decade, several policy initiatives, both within the framework of the Budget and outside, have worked well to create an ecosystem of productivity within each sector. By making the private sector an active partner in job creation, junking the adversarial relationship of the past, and acknowledging the role of the private sector in fuelling innovation at breakneck speed, the last ten years have spurred job-oriented growth. Rather than solely relying on job creation within the government, the NDA government has focused on nudging individuals towards employment opportunities through private sector jobs and entrepreneurship. The skill development programmes, entrepreneurship training, and financial incentives have empowered individuals to enter and thrive in the workforce. A major shot in the arm for the job market has been the unprecedented focus on capital creation and investments in HIRA — highways, info-ways, railways, and airways. With over ₹43.5 lakh crore invested in infrastructure — almost a 3.72-fold increase compared to 2004-2014 — this move has not only sparked economic growth but stimulated a multiplier effect in the economy. As a result, the capital expenditure, as a share of total expenditure under NDA, rose to over 21% in 2023-24, compared to just 12% in 2013-14.
The government has continuously nurtured a culture of entrepreneurship and empowered individuals through skill development and financial support with the aim of diversifying the economy and enhancing sustainable employment opportunities at grassroots levels. Programmes such as Stand-Up India and Mudra Yojana provide financial support and mentoring to aspiring entrepreneurs, particularly targeting women and the marginalised communities. The fact that India is now the world’s third-largest start-up ecosystem, with more than one lakh registered start-ups, exemplifies the substantial gains resulting from these strategic efforts. India’s transformation is underpinned by this productive public-private synergy.
While harnessing the power and vitality of the private sector, the NDA government has filled over eight lakh public sector and government jobs, ensuring the state has the necessary capacity and manpower to efficiently provide critical public services. The public sector has continued to play a key role in strategic sectors and has unleashed employment opportunities across the nation. Data from various platforms reveals that, in 2023-24, EPFO gained over 1.3 crore new subscribers, more than double the 2018-19 intake, totalling 6.2 crore net additions since September 2017. The National Pension System also saw a 30% rise in government sector joiners, with over 7.75 lakh new subscribers in 2023-24 compared to the previous year. Some of this can be ascribed to formalisation of existing jobs, but, in most cases, the age groups for new subscribers point to them being first-time job holders.
While much has been achieved, the government will not rest on its past laurels and will continue to focus on growth and employment generation to harness our demographic dividend. The immense skill, indigenous talent, and innovation will sculpt a vivid vision of Viksit Bharat, and this year’s Budget is a continuation of this process.
G Kishan Reddy is Union minister of coal and mines, and represents the Secunderabad Lok Sabha constituency. The views expressed are personal
Story Saved
