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The unemployment rate in India

India is the biggest populated democratic country. On one hand, this is a matter of pride that we have the huge workforce and on another hand, we have the big challenge to feed work and ensure earnings to job seekers, not many people get the employment in India, after being very good at their skills and communication they still don’t get the jobs. India has massive unemployment problems. According to the source, incidence of unemployment is drastically higher than in urban areas in the countryside.

Know about the issues of an unemployment in India, reservation policies, affirmation action by the private sector and how does it affect the jobseekers and steps taken by the Government to overcome the unemployment.

Unemployment in India

Around 31 million are unemployed Indians seeking for jobs since October 2016, according to the report of Monitoring Indian Economy. The CMIE data shows that unemployment rates have been rising gradually in 2019, it rises to 8.9% and now it is still increasing.

There were more important in agriculture than in manufacturing and other key areas. Unemployment is caused due to the failure of several industries and business, a factory, or industry there will be many disagreement factors happens between the parties. 40 percent of the employable youth is unemployed and around 60 percent of the people are underemployed.

Reasons for unemployment

  1. Increase in cases of Tax – frauds, black-money, and money-laundering
  2. Increase in grey markets and illegal ways to make money including young and adolescent crimes and human trafficking
  3. Rapid population growth
  4. Defective education
  5. Lack of transport and communication
  6. Distribution of land

Reservation policies and Affirmative action by the private sector

Can the government give surety to the private sector that there will be enough supply of potential employees from the reserved castes, even if the private does agree to implement the reservations? What will happen if those quotas aren't filled? If we take examples of IT companies which are the biggest recruiters by volume, then it presents a very dangerous situation. The engineering colleges from where they recruit via campus placements themselves have less than the reserved number of students from the reserved castes. Of these few numbers, even less is recruited.

The private sector is not going to compromise either on the quality of employees recruited or, and more importantly, profits! In the case of reservations in the private sector and their inability to fill these reservations, these companies will employ graduates from the general categories temporarily to work around this loophole. In this way,

  1. They will get their required quality of service
  2. They will be able to sustain their intended level of profits
  3. They will not be liable in any way to the people they have recruited temporarily
  4. The result will be that companies will maintain and increase their profits using the same required quality of employment and yet, not be liable to recruit them permanently because of the constraint of the quotas.

Hence, if the government wants to work for the emancipation of the reserved and the backward classes, they need to ensure that their quality is enhanced before they are presented for recruitment to the private sector. For this, what needs to be done is that their access to resources needs to be immensely increased and enhanced! That is where the real work needs to be done. Backward castes are not backward right now because of discrimination; they are backward because their access to resources is limited.

Also, one needs to keep in mind the distinction between equality of opportunity and equality of outcome. Once the feeling of responsibility inherent, no dream is too big. It’s about time to act upon a collective dream of a better tomorrow.