Employment and Skill Development in the 12th Plan (2012 - 2017)
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Employment and Skill Development in the 12th Plan (2012 - 2017)

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A presentation on employment and skill development in India's 12th Five year plan (2012-2017)

A presentation on employment and skill development in India's 12th Five year plan (2012-2017)

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Employment and Skill Development in the 12th Plan (2012 - 2017) Employment and Skill Development in the 12th Plan (2012 - 2017) Presentation Transcript

  • Employment and Skill Development-Strategies for Enhancing Employability and Generation of Employment
  • Current Employment Scenario • 11th Plan targeted creation of 58 million job opportunities - 18 million work opportunities created on CDS basis between 2004-05 & 2009- 10. • Unemployment rate declined from 8.28% in 2004-05 to 6.6% in 2009- 10 on CDS basis & from 2.3% to 2% on UPSS basis. • LFPR declined from 43% to 40% & WFPR from 42% to 39.2% between 2004-05 and 2009-10. • Increase in Salaries and Wages of regular & casual workers between 2004-05 and 2009-10. • Share of informal sector employment increased marginally from 92.4% (2004-05) to 92.8% (2009-10). • Sectoral share: Decline in agriculture & manufacturing, increase in non-manufacturing which includes construction, marginal increase in services. 2
  • Employment Indicators by UPSS basis (%) Persons Labour Force Work Force Unemployment Participation Rate Participation Rate RateYears 2004-05 2009-10 1999-00 2004-05 2009-10 2004-05 2009-10Rural 44.6 41.4 41.7 43.9 40.8 1.7 1.6Urban 38.2 36.2 33.7 36.5 35.0 4.5 3.4 All 43.0 40.0 39.7 42.0 39.2 2.3 2.0Source: NSS 61st and 66th Rounds View slide
  • UNEMPLOYMENT RATE UPSS Basis (%) Persons 5 4.7 4.5 4.5 4 3.4 3.5 3(%) Persons 2.5 Rural Urban 2 1.7 1.6 1.5 1.5 1 0.5 0 1999-00 2004-05 2009-10 Source: NSS 55th,61st and 66th Rounds View slide
  • EMPLOYMENT INDICATORS LFPR (%) Persons WFPR (%) Persons 60 60 40 40 Rural (%) Persons% Persons Rural Urban Urban 20 20 0 0 1999-00 2004-05 2009-10 1999-00 2004-05 2009-10 Years Years Labour Force Participation Rate Work Force Participation Rate Source: NSS 55th,61st and 66th Rounds
  • Employment by Different CategoriesCategory of Worker 2004-05 2009-10 (in million) (in million)Self Employed 258.4 232.7 (56.4%) (50.7%)Regular /Salaried 69.7 75.1Employee (15.2%) (16.4%)Casual Labour 129.7 151.3 (28.3%) (33.0%) Source: Calculated from NSS 61st and 66th Rounds
  • Level of Education of the Labour ForceGeneral education level of India’s labour force in the age group 15-59 remainsextremely low. Numbers Share in Labour Share in Labour (15-59) Force in age group Force (470.1 million) (million.) 15-59 (per cent) (per cent) Not literate 125.65 29.14 26.73 Literate without formal 2.12 0.49 0.45 schooling Below Primary + Primary 102.38 23.74 21.78 Middle 76.08 17.64 16.18 Secondary 52.39 12.15 11.14 Higher Secondary 29.19 6.77 6.21 Diploma/certificate course 6.02 1.40 1.28 Graduate 28.01 6.49 5.96 Graduate and above 9.40 2.18 2.00 Total 431.23 100.00 91.73 Source: NSS 66th Round 2009-10
  • Formal & Informal Employment (Millions)Sectors 2004-05 2009-10Formal 34.90 (7.6) 33.00 (7.2)Informal 422.60 (92.4) 427.22 (92.8)Total 457.50 460.22Organized & Unorganized Sector Employment (Million) Sectors 2004-05 2009-10 Unorganized 394.9 387.34 Organized 62.6 72.88 Total 457.5 460.22 Source: For 2009-10, computed from NSS 66th round; while for 2004-05 taken from NCEUS, 2007
  • Proportionate Share of Sectors in Employment 70 59.9 60 56.6 53.2 50 40 1999-00 % Terms 2004-05 30 2009-10 24.7 25.3 23.7 20 12.2 11.1 11 10.5 10 6.5 5.3 0 Agriculture Manufacturing Non- Manufacturing Services 9
  • Estimated Number of Workers by Level of Education by Sector (millions) in 2009-10 Agriculture & Non- Manufacture Service Total Allied ManufactureNot Literate 87.36 9.56 14.42 13.65 124.99Literate without 1.23 0.25 0.21 0.42 2.11formal SchoolingBelow Primary 57.62 12.69 12.47 18.32 101.1+ PrimaryMiddle 36.2 10.27 8.67 18.98 74.12Secondary 21.30 7.02 4.27 18.21 50.79Higher Secondary 10.36 3.21 1.45 12.43 27.45Diploma/Certificate 0.58 1.16 0.53 3.12 5.39CourseGraduate 3.84 3.01 1.25 17.82 25.93Graduate & Above 0.74 0.73 0.24 7.00 8.70Total 219.23 47.90 43.50 109.96 420.59 Source: Computed from NSS (66th Round), 2009-10
  • Apprentices in India (Under the Apprenticeship Training Act ,1961) Graduate, Technician & Technician (Vocational) Trade Apprentices (M/o Labour & Employment) Apprentices (M/o HRD) Seat Available Seat Utilised Seat Available Seat Utilised Year Per Cent Utilised Per Cent Utilised (Lakhs) (Lakhs) (Lakhs) (Lakhs)Up to March 2011 3.37 2.21 65.57 1.02 0.65 63.74 Source : Ministry of Labour & Employment
  • Major Challenge – Present Labour Market Scenario Ineffective Models Predominance of Unorganized Labour Laws Training Mismatch Sector Skill mismatch-84% of the unorganized sector Unemployment high Inflexible labour laws viz;outside the purview of labour among educated Contract Labour (R&A) laws unemployed; Act, Apprentices Act,Informalization of employment 90% of workforce outside Industrial Disputes Act etc in the organized sector the coverage of formal training Rethink in the Strategy Inclusive growth strategy Objective to achieve 50 Emphasis on market-driven million non-farmJob Creation Education & Training employment by Coordinated involvement of 2017 Central Ministries/ States
  • ACTION PLAN• Thrust on Manufacturing Sector – to make it the engine of employment growth – that would create 10 million additional jobs during the 12th Plan.• To bring in supportive policies to incentivize labour intensive manufacturing sectors such as textile & garments, leather & footwear, food processing, gems & jewellery to generate more employment.• Expanding employment in services like IT, finance & banking, tourism, trade & transport.• Prioritizing skill training for the informal sector; creation of appropriate skill sets among rural migrants and urban poor to make growth inclusive. 13
  • ACTION PLAN• Ensuring the employability of skill training by involving Sector Skill Councils in preparation of Skill Modules matching market demand.• Building on the potential of Modular Employable Skill programme by ensuring combination of modules to guarantee employability.• Extending Social Security benefits to Unorganized Sector workers.• Enable skill loans for poor students (Credit Guarantee Fund)• Streamlining the skill development programs for disadvantaged sections to ensure much larger funding for skill development.• Setting up of National Skill Registry to link data bases across Ministries/States to provide a platform linking people who seek/provide employment. 14
  • Expected Outcomes by 2017• To create 50 million additional non-farm job opportunities in manufacturing and service sector.• Increase skilled workforce to at least 50 million.• Increase percentage of workforce receiving formal training from present 10% to 25%.• Doubling the annual training capacity from the existing 4.5 million. 15