This document analyzes employment trends in India from 1993-2013 based on data from the National Sample Survey. It finds that the share of the workforce employed in agriculture has declined while employment has increased in the manufacturing, non-manufacturing and service sectors. Within services, employment has grown the most in trade, transport, education and health. The study aims to explain sectoral employment trends and factors affecting employment in India.

1. Shiba Shankar Pattayat
Regd. No: 15Mphec12
Centre for Economics Studies
Central university Punjab
EMPLOYMENT TRENDS IN INDIA

2. OUTLINE
1.Introduction
2.Objective of the study
3.Data Source
4.Trends of LF & WF
5.Sector wise Employment Trends in India
6.Scope for further research
7.Conclusion

3. OBJECTIVE
Explaining Sector wise Employment Trend in India
Factors affecting Employment Trends in India

4. DATA SOURCES
The data sources are…
National Survey Scheme (NSS) various rounds()
Time Period:
1993 to 2013

5. TRENDS OF LF, WF, UNEMPLOYMENT &
EMPLOYMENT
Unemployment
Employment
LF
WF is the work force those who are working in any filed.

6. TABLE 1: SIZE OF LABOUR FORCE, WORKFORCE (BY SECTORS), THE
UNEMPLOYED AND EMPLOYMENT IN INDIA (1993-94 – 2011-12)
Absolute Number (in million)
Year
Workforce, Labour Force and Employment and
Unemployment 1993-94 1999-2000 2004-05 2009-10 2011-12
Total employment by sectors Agriculture 241.5 246.6 268.6 244.9 231.9
Manufacturing 38.9 42.8 53.9 50.7 59.8
Non-manufacturing 15.8 20.4 29.4 48.3 55.3
Services 77.7 89.8 107.3 116.3 127.3
Total workforce 374 399.5 459.1 460.2 474.2
Total labour force 381.2 408.5 469.9 469.9 484.8
Unemployed (open) 7.2 9 10.8 9.6 10.6
LFPR female (age 15 to 59) 45.2 41.7 45.4 34.5 33.1
LFPR male (age 15 to 59) 88 86.6 87.1 83.7 82.7
The numbers in the table are based on the principal + subsidiary status employment; LFPR: Labour force participation rate.
Source: Authors’ estimates based on NSS unit level data.

7. CHART-1: TRENDS OF TOTAL LABOUR FORCE & TOTAL
WORKFORCE
Total workforce
Total labour force
0
100
200
300
400
500
1993-94 1999-2000 2004-05 2009-10 2011-12
374 399.5
459.1 460.2 474.2381.2
408.5
469.9 469.9 484.8
LF,WF
YEAR
Trends of total labour force & total workforce

8. SECTOR WISE EMPLOYMENT TRENDS……….
Agricultural Sector
Manufacturing Sector
Non-Manufacturing Sector
Service Sector

9. AGRICULTURAL SECTOR…………
Table-2 Employment in Agricultural Sector in India (1993-94 to 2011-12)
The numbers in the table are based on the principal + subsidiary status employment; LFPR: Labour force participation rate.
Source: Authors’ estimates based on CSO and NSS unit level data.
Year
Employment(Absolute Number in
million)
Total labour force Share ( in Perentage)
1993-94 241.5 381.2 63.35257083
1999-2000 246.6 408.5 60.36719706
2000-05 268.6 469.9 57.16109811
2009-10 244.9 469.9 52.1174718
2011-12 231.9 484.8 47.83415842

10. WHY IS IT SO ?
210
220
230
240
250
260
270
1993-94 1999-2000 2000-05 2009-10 2011-12
241.5
246.6
268.6
244.9
231.9
EMPLOYMENTINAGRICULTURE
YEAR
Employment in Agricultural sectors
Chart-2 Employment in Agricultural sectors

11. MANUFACTURING SECTOR:
(Absolute Volume of Employment (in million)
Year 1999-2000 2004-05 2009-10 2011-12
Food products and beverages 5.8 5.5 5.5 6.4
Tobacco products 4.4 4.7 4.1 4.9
Textiles 7.6 9.7 8.4 9.2
Wearing apparel 2.5 7.2 7.3 9.6
Leather products 1 1.3 0.9 1.3
Wood and wood products 4.5 5.2 3.6 3.9
Paper and printing, etc 1.2 1.5 1.6 1.1
Rubber and petroleum products 1.1 0.9 0.8 1.3
Chemical products 1.7 2 1.7 2
Non-metallic mineral products 3.4 4.5 4.3 5
Machinery and metal products 5.8 6 6.6 6.9
Transport equipments 0.6 1 1.5 1.5
Furniture manufacturing 3.1 4.4 4.3 6.6
Sub-total manufacturing 42.7 53.9 50.6 59.7
Sub-sector wise Employment Trends in Manufacturing Sectors I India (1999-2000 to 2011-12)
Source: Authors’ estimates based on NSS unit level data.

12. WHY IS IT SO ?
42.7
53.9
50.6
59.7
0
10
20
30
40
50
60
70
1999-2000 2004-05 2009-10 2011-12
TotalEmployment
Year
Employment in Manufacturing Sector
Source: Authors’ estimates based on NSS unit level data.

13. NON-MANUFACTURING SECTOR……..
Absolute Volume of Employment (in million)
Year 1999-2000 2004-05 2009-10 2011-12
Mining and quarrying 2.2 2.6 3 2.6
Electricity, gas and
water supply 1.1 1.2 1.3 2.5
Construction 17.1 25.6 44.1 50.3
Sub-total non-
manufacturing 20.4 29.4 48.4 55.4
Sub-sector wise Employment Trends in Non--Manufacturing Sectors I India (1999-2000 to 2011-12)
Source: Authors’ estimates based on NSS unit level data.

14. WHY IS IT SO ?
20.4
29.4
48.4
55.4
0
10
20
30
40
50
60
1999-2000 2004-05 2009-10 2011-12
EMPLOYMENT
YEAR
Employment in Non-Manufacturing
Sector
Source: Authors’ estimates based on NSS unit level data.

15. SERVICE SECTOR….
Employment in Service sector in India (1993-94 to 2011-12)
Absolute Volume of Employment (in million)
Year 1999-2000 2004-05 2009-10 2011-12
Trade 34.8 41.2 43.5 44.2
Hotels and restaurants 4.4 5.8 6.1 7.8
Transport and
communication 14 17.6 20 22.9
Banking and insurance 2.1 2.9 3.8 4.3
Real estate, renting
business 2.5 4.3 5.8 6.7
Public admin and defence 9.9 8.3 9.5 7.9
Education 8.2 11.1 11.8 14.1
Health 2.7 3.5 3.6 4.4
Other services 11.3 12.7 12.2 15.1
Sub-total services 89.9 107.4 116.3 127.4
Source: Authors’ estimates based on NSS unit level data.

16. WHY IS IT SO ?
89.9
107.4
116.3
127.4
0
20
40
60
80
100
120
140
1999-2000 2004-05 2009-10 2011-12
EMPLOYMENT
YEAR
Employment in Service Sector
Source: Authors’ estimates based on NSS unit level data.

17. SCOPE FOR FURTHER STUDY………