The second wave of job crisis has started in the country, with nearly half of the urban youth unemployed. India’s jobs crisis is bigger than it looks. The rural economy has not been able to absorb workers and the unemployment rate increased, leading to further unrest in the cities.
Several states and cities have shut down, and the government has promised to take measures to reduce the problem. But while this will help create jobs, the uncertainty will remain for some time. The shutdown of certain industries and states will not be remedied immediately, and many of these are likely to remain closed for a while.
Job crisis occurs due to pandemic
This pandemic has led to more job losses for the socially disadvantaged, and it has also resulted in a drop in the Unemployment Ratio (UR). However, the UR has dropped to 5.8%, a statistically insignificant level that is meaningless in the context of the crisis. While the job crisis has been steadily worsening, the government has also tried to mitigate the problem. In June 2020, the Ministry of Information Technology has banned 59 mobile applications that are harming the economy.
Among them are TikTok, Shein, UCBrowser, Vigo Video, Cam Scanner, Club Factory, and Tinder. While the government has recently released its PLFS for FY19, the UR has increased from 5.8% to 6.1%, despite the drop in unemployment. Although the drop is statistically insignificant and irrelevant in the context of the current job crisis, it shows that the pandemic is only increasing the crisis in India. Currently, India is riding on one of the most vulnerable workforces in the world, with nearly 43.7 million people in the unorganized sector and over 94% of the total workforce.
The government’s PLFS for 2019-20 has admitted that the lockdown had hit the number of jobs. Even though the labor ministry was absent during the pre-pandemic years, Gadkari’s comments about the job crisis indicate that the situation is still dire. This is not an isolated incident, however.
Rather, the problem is largely a pandemic that will not be easily reversed. If the government cannot address the problem quickly, it needs to do more to alleviate the pressure on the population.
Role of government in the massive crisis period
The government has not done enough to address the job crisis in the country. It has remained silent despite promises to create one crore new jobs every year. Despite the fact that this is a massive problem, it is still difficult to address. The NDA-II regime has also refused to acknowledge the problem.
After all, it has a long history of ignoring the job crisis. Nevertheless, it has a track record of denying that the nation is suffering from a “job crisis.” The government has limited headroom for spending. The economic slowdown will limit the government’s ability to spend money.
The coronavirus outbreak in India has triggered a unique job crisis in India during 2020. It has killed about ten million daily wagers in cities, and most of these people have fled the cities due to fear of hunger and unemployment. As the coronavirus spread throughout the country, the demand for jobs in the rural areas is not meeting the demand.
The government has a record of avoiding the job crisis in the country, but it has not addressed the underlying causes. It has also refused to release the Periodic Labour Force Survey in January 2019 despite promises to create one crore new jobs a year.
In April, it halted the release of the economic survey in 2019, which showed a staggering 45 percent unemployment rate. The government has remained silent on the problem but has released three subsequent budgets and two Economic Surveys since then. While the unemployment crisis in India is not new, the NDA-II government has refused to acknowledge it. In the past, the government has sat back and ignored the job crisis in the country.
The NDA-II government has promised to create one crore new jobs every year. But it hasn’t done so. The unreleased PLF survey was deemed irrelevant to the ongoing job crisis. The next three budgets and two Economic Surveys were silent on the issue.
Global Health and Job Crisis Due to COVID19
COVID-19 is a global health and job crisis that could result in one of the biggest job losses in human history. The virus is devastating to the economy and has caused a massive decline in the working-hour ratio. In fact, the ILO warns that things are likely to get worse before they get better.
While a recent study revealed that employment rates were low in the first quarter of 2021, this will likely drop to the second quarter of 2021. In the first quarter of this year, more than six million construction workers will lose their jobs. The ILO estimates that the global employment loss from COVID-19 will amount to 114 million jobs by 2020.
The ILO also estimated that working hours lost in the year 2020 are equivalent to 255 million full-time positions and that this loss will cost $3.7 trillion in labor income. Although millions of people have returned to work, it is unlikely that the level of employment will reach preCOVID levels by 2021.
The Covid pandemic will continue to affect many parts of the world, including the labor market. Despite the efforts made by various sectors to address this problem, the impact on the job market is already beginning to show. In some regions, the COVID epidemic has forced thousands of workers to take a leave of absence from their jobs, leaving them with no other choice but to look for alternative employment.
While millions of people have returned to work, the ILO does not expect working hours to reach pre-COVID levels by 2021. This is a situation that many workers in the construction industry are facing. There are currently lockdowns in place in parts of the world.
The COVID pandemic has resulted in the closure of large parts of the economy. In the United States and Europe, forty percent of the jobs are at risk. According to ILO, eighty percent of customer service and sales roles are in danger of being shuttered.
Issues due to COVID
The COVID pandemic has already triggered the worst jobs crisis since the Great Depression. It has increased poverty and widened inequalities and is predicted to last for years. In order to avoid this social disaster, countries must do everything they can to recover quickly. By rebuilding a more resilient labor market, the countries will have a strong economy.
This will be a major asset for future generations. The COVID pandemic has been a major source of concern for the construction industry. More than a dozen million jobs are lost in 2020, according to the ILO. The affected populations have returned to work, but it is estimated that this will still be an economic downturn that will disrupt many jobs for years to come.
This is a big challenge for any business and the economy in general, but there are some measures that can be taken to combat the problem. The global job crisis has impacted many areas of the economy. The job market is not booming in some areas, which are suffering the most. The COVID 19 infection has resulted in persistently high working-hour losses in some areas of the world.
This has created a huge shortage of workers and has led to a job crisis for the entire construction industry. There are ways to deal with this, however. The best way to overcome the crisis is to develop an effective strategy for counteracting it. The job crisis due to COVID 19 is not only affecting the construction industry. It is also affecting migrant workers, small traders, and wage laborers.
The ILO estimates that working hours will not return to pre-COVID levels by 2021. It is estimated that the job crisis will last for more than a decade. It will disrupt the labor market in many countries across the world. As the COVID-19 pandemic continues, the ILO estimates that 114 million jobs will be lost by 2020. This is the equivalent of 255 million full-time jobs.
The ILO estimates that this will cost the world $3.7 trillion in labor income. While millions of people have returned to work, the impact of the disease on the labor market will not be immediately visible. Therefore, the COVID epidemic will continue to disrupt the labor markets.