The Economic Survey 2023-24 notes that Indian economy needs to generate an average of nearly 78.5 lakh jobs annually until 2030 in the non-farm sector to cater to the rising workforce.<\/p>\n
Annual requirement for non-farm job creation during 2024-2036<\/em><\/p>\n The Survey mentions that there is a scope to supplement the existing schemes of Production Linked Incentive (PLI) (60 lakh employment generation over 5 years), MITRA Textile scheme (20 lakh employment generation), MUDRA, etc., while boosting their implementation.<\/p>\n AI: THE BIGGEST DISRUPTOR<\/u><\/strong><\/p>\n While attributing the biggest disruption in the future of work to the accelerated growth in AI, the Economic Survey 2023-24 says that India, with its vast demographic dividend and a very young population, is uniquely situated as AI poses both risk and opportunity. A particular risk is the BPO sector, where GenAI is revolutionising the performance of routine cognitive tasks through chatbots, and employment in the sector is estimated to decline considerably in the next ten years.<\/p>\n In the following decade, however, gradual diffusion of AI is expected to augment productivity.<\/p>\n But given the affinity of India\u2019s population to work with technology, as seen with the digital public infrastructure, proactive interventions by the Government and industry can position India as a key player in the AI age, the Economic Survey notes.<\/p>\n MAKING THE MOST OF AI IN INDIA<\/u><\/strong><\/p>\n Highlighting the need for\u00a0research and development<\/strong>\u00a0in this sector, the Economic Survey 2023-24 mentions a policy brief which suggests a need for an Inter-Agency Coordination Authority for AI which would act as a central institution guiding the research, decision-making, policy planning on AI and job creation.<\/p>\n The Government has launched several initiatives to ensure an AI enabled ecosystem and to connect AI to the youth of the country. Some of these include \u2018Future Skills Prime\u2019, \u2018YUVAi: Youth for Unnati and Vikas with AI\u2019 a national programme for school students and \u2018Responsible<\/p>\n AI for Youth 2022\u2019. A budget of \u20b910,300 crore has been provided in 2024 for the India AI Mission, a significant move to strengthen the AI ecosystem.<\/p>\n A SHIFT TOWARDS GIG ECONOMY<\/u><\/strong><\/p>\n According to NITI Aayog\u2019s indicative estimates based on national labour force survey data, in 2020\u201321, 77 lakh (7.7 million) workers were engaged in the gig economy and as per the Economic Survey 2023-24, the gig workforce is expected to expand to 2.35 crore (23.5 million) and form 6.7 per cent per cent of the non-agricultural workforce or 4.1 per cent of the total livelihood in India by 2029\u201330.<\/p>\n The Survey mentions that the significant contribution in the Indian context and globally has been the creation of effective social security initiatives for gig and platform workers. The\u00a0Code on Social Security (2020)<\/strong>\u00a0marks a significant advancement by expanding the scope of social security benefits to encompass gig and platform workers.<\/p>\n CLIMATE CHANGE AND GREEN ENERGY TRANSITION<\/u><\/strong><\/p>\n Recognizing the climate change as a hard reality of the present times and projections pointing towards an increase in the frequency and intensity of extreme weather events, the Survey mentions its concomitant outcome as the possible\u00a0loss<\/strong>\u00a0of jobs and productivity.<\/strong><\/p>\n Another aspect of climate change is the efforts to mitigate its impact by adopting\u00a0green technologies<\/strong>\u00a0and transitioning to\u00a0greener energy alternatives<\/strong>. This trend is leading to businesses witnessing a strong job-creation effect driven by investments that facilitate the green transition of businesses and the application of ESG standards.<\/p>\n INDIA\u2019S CORPORATE SECTOR ON RISE<\/u><\/strong><\/p>\n The Economic Survey says that India\u2019s corporate sector\u2019s profitability is at a 15-year high in FY24 with profits quadrupling between FY20 and FY23.<\/p>\n It mentions that businesses have an obligation to themselves to strike the right balance between deployment of capital and deployment of labour. In their fascination for AI and fear of erosion of competitiveness, businesses have to bear in mind their responsibility for employment generation and the consequent impact on social stability.<\/p>\n AGRO-PROCESSING AND CARE ECONOMY FOR QUALITY EMPLOYMENT<\/u><\/strong><\/p>\n The Economic Survey 2023-24 says that India can utilise the range of products on offer by its different agro-climatic zones and productively engage the sizeable rural workforce, comprising women who seek remunerative part-time employment and educated youth who can be technically skilled to handle small to medium scale agro-processing units.<\/p>\n There remains ample scope for shifting MGNREGS labour to more productive and less fiscally straining ventures. Low value-addition in agriculture and rising demand for diverse and local food products also provides a good opportunity for India to create more jobs in this sector. There are also more avenues for captive demand of\u00a0agro-processed output<\/strong>\u00a0and the sector can benefit from the synergies between the multiple existing programmes such as Mega Food Park, Skill India, Mudra, one district-one product, etc., for labour, logistics, credit, and marketing.<\/p>\n The\u00a0care economy<\/strong>\u00a0holds great importance for a young country like India, which has both demographic and gender dividends to reap. Highlighting the need to prepare for future care requirements of an ageing population, the Economic Survey 2023-24 says that\u00a0defining care work<\/strong>\u00a0is the\u00a0first step<\/strong>\u00a0towards acknowledging care as \u2018work\u2019.<\/p>\n It mentions that India\u2019s care needs are slated to expand significantly in the next 25 years, as an ageing population follows the ongoing demographic transition while the population of children stays relatively sizeable. By 2050, the share of children is estimated to decline to 18 per cent (i.e., 30 crore persons), while the proportion of elderly persons would rise to 20.8 per cent (i.e., 34.7 crore persons). Thus, compared to 50.7 crore persons in 2022, the country would need to care for\u00a064.7 crore persons<\/strong>\u00a0in 2050.<\/p>\n Recognising the disproportionate burden of care on women being consequential to the low Female Labour Force Participation Rate (FLFPR) across the world, including India, the Survey also lays emphasis on ensuring\u00a0equal opportunity for females\u00a0<\/strong>by\u00a0decoupling gender\u00a0<\/strong>and\u00a0unpaid care work.<\/strong><\/p>\n The economic value of developing a care sector is twofold \u2013 increasing FLFPR and promoting a promising sector for output and job creation. The Survey mentions that in case of India, direct public investment equivalent to 2 per cent of GDP has the potential to generate\u00a011 million jobs<\/strong>, nearly 70 per cent of which will go to women.<\/p>\n Senior care reforms in India<\/u><\/strong><\/p>\n The care responsibility associated with an increasingly older population necessitates formulating a future-ready wholesome\u00a0elderly care policy\u00a0<\/strong>with the Survey mentioning the care economy as a top-tier entry in India\u2019s to-do list for becoming a developed nation by 2047.\u00a0<\/em><\/strong>According to the Asian Development Bank report, utilising this \u2018silver dividend\u2019<\/strong>\u00a0of untapped work capacity of population aged 60-69 years is estimated to increase GDP by an average of 1.5 per cent for Asian economies.<\/p>\n","protected":false},"excerpt":{"rendered":" With the global labour market amidst a \u2018disruption,\u2019 and constantly being reshaped by the fourth industrial revolution, the Economic Survey 2023-24 tabled in Parliament by Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman, recognizes that India would also not remain immune to the transformation caused by it. REQUIREMENT OF JOB CREATION UNTIL 2036 …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[136],"tags":[8829,8830,8831],"class_list":["post-10843","post","type-post","status-publish","format-standard","","category-national","tag-indian-economy-growth","tag-non-agricultural-employment-in-india","tag-workforce-expansion-in-india"],"yoast_head":"\n![](\"https:\/\/static.pib.gov.in\/WriteReadData\/userfiles\/image\/image001LNI1.jpg\")
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