Unemployment Rate at 45-Year High: 4 Key Takeaways From NSSO Data | The Quint

The Quint

31 Jan 201902:39

Summary

TLDRIndia faced its worst unemployment rate since 1972 between 2011-12 and 2017-18, with a high of 6.1% in 2017-18, as per the National Sample Survey. The crisis saw a threefold increase in joblessness among rural men and women, and urban unemployment rates also soared. The labor force participation rate declined, reflecting a shrinking workforce or job-seeking population. This report, controversially withheld by the government, critiques Modi's economic policy ahead of the 2019 elections, impacting the BJP's voter base significantly.

Takeaways

📊 India experienced its worst unemployment rate since 1972 between 2011-12 and 2017-18, with a threefold increase by 2017-18, reaching an unprecedented high of 6.1%.
🏢 The National Sample Survey data, based on fieldwork from July 2017 to June 2018, was controversial, leading to the resignation of National Statistics Commission members, including the acting chairman, over the government's delay in releasing the report.
🚶‍♂️ Unemployment among rural men aged 15 to 29 years more than tripled from 5% to 17.4% between 2011-12 and 2017-18.
🚶‍♀️ In rural areas, the unemployment rate for women surged from 4.8% in 2011-12 to 13.5% in 2017-18.
🏙️ Urban unemployment rates also saw a significant rise for men, from 8.1% to 18.7%, and for women, nearly doubling from 13.1% to 27.2% over the same period.
📉 The labor force participation rate, which accounts for the percentage of the population working or seeking jobs, declined from 39.5% in 2011-12 to 36.9% in 2017-18.
📉 The decline in labor force participation indicates a shrinking workforce or a growing number of discouraged job seekers.
🏆 The Modi government, which campaigned and won on job creation, faces a significant critique with these figures, especially as the first survey post-demonetization.
🗳️ 34% of young jobseekers voted for BJP in 2014, and this demographic is most impacted by unemployment, which could influence the upcoming 2019 general elections.
🤔 The report raises questions about the government's economic policy and its impact on job creation, particularly in the context of the upcoming elections.
📈 The data suggests an urgent need for policy intervention to address the unprecedented unemployment crisis in India.

Q & A

What was the worst rate of unemployment in India since 1972?
-The worst rate of unemployment in India since 1972 was recorded between 2011-12 and 2017-18, with an unprecedented high of 6.1% in 2017-18.
What was the controversy surrounding the National Sample Survey report?
-The controversy was that the National Statistics Commission members, including the acting chairman, resigned alleging that the government was withholding the release of the report.
How did the unemployment rate among rural men aged 15 to 29 years change from 2011-12 to 2017-18?
-The unemployment rate among rural men aged 15 to 29 years jumped from 5% to 17.4%, which is more than three times the rate in 2011-12.
What was the increase in unemployment rate for women in rural areas from 2011-12 to 2017-18?
-The unemployment rate for women in rural areas rose from 4.8% in 2011-12 to 13.5% in 2017-18.
How did urban male unemployment rates change during the same period?
-Urban male unemployment rates rose from 8.1% in 2011-12 to 18.7% in 2017-18.
What was the increase in urban female unemployment rates from 2011-12 to 2017-18?
-The urban female unemployment rate nearly doubled from 13.1% in 2011-12 to 27.2% in 2017-18.
What does the labor force participation rate indicate about the population's engagement with work or job seeking?
-The labor force participation rate declined from 39.5% in 2011-12 to 36.9% in 2017-18, indicating that a smaller percentage of the population is working or seeking jobs.
What does the unemployment crisis imply about the current state of the country according to the script?
-The unemployment crisis implies that there is an unprecedented situation of joblessness in the country, which is a significant critique of the Modi government's economic policy.
How did the Modi government perform in the 2014 elections in terms of job creation promises?
-The Modi government fought and won the 2014 elections on promises of job creation, with 34% of young jobseekers voting for BJP.
What impact might the unemployment crisis have on the upcoming 2019 general elections?
-The unemployment crisis is likely to have a significant impact on the 2019 general elections, especially for the constituency of young jobseekers who voted for BJP in 2014.
What was the context of the unemployment data being the first survey post demonetization?
-The unemployment data is significant as it is the first survey conducted post demonetization, which was a major economic policy implemented by the Modi government.

Outlines

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📊 Unprecedented Unemployment Rate in India

India faced its highest unemployment rate since 1972 between 2011-12 and 2017-18, with a significant rise to 6.1% in 2017-18. This data, reported by the National Sample Survey, was collected from July 2017 to June 2018. The release of this report was controversial, leading to the resignation of two National Statistics Commission members. The report highlights several key points: from 2011-12 to 2017-18, rural male unemployment (ages 15-29) rose from 5% to 17.4%, rural female unemployment increased from 4.8% to 13.5%, urban male unemployment grew from 8.1% to 18.7%, and urban female unemployment nearly doubled from 13.1% to 27.2%. Additionally, the labor force participation rate declined from 39.5% to 36.9% during the same period. This indicates a severe unemployment crisis, significantly impacting the young voters who supported the BJP in 2014, posing a critical challenge for the Modi government ahead of the 2019 general elections.

Mindmap

Keywords

💡Unemployment Rate

The unemployment rate is the percentage of the labor force that is without work but actively seeking employment. In the video, it is highlighted that the unemployment rate in India reached an unprecedented high of 6.1% in 2017-18, indicating a severe job crisis.

💡National Sample Survey Office (NSSO)

The National Sample Survey Office is an organization under the Ministry of Statistics and Programme Implementation in India, responsible for conducting large-scale surveys. The video mentions that the unemployment figures come from an NSSO survey, making the data authoritative and significant.

💡Labor Force Participation Rate

The labor force participation rate is the percentage of the population that is either working or actively seeking work. According to the video, this rate declined from 39.5% in 2011-12 to 36.9% in 2017-18, suggesting fewer people are engaged in or looking for work.

💡Rural Unemployment

Rural unemployment refers to the joblessness rate in rural areas. The video states that the unemployment rate among rural men aged 15 to 29 increased from 5% to 17.4%, highlighting a severe rise in joblessness in rural regions.

💡Urban Unemployment

Urban unemployment is the rate of joblessness in cities. The video indicates that unemployment among urban men rose from 8.1% to 18.7%, showing a significant increase in joblessness in urban areas as well.

💡Demonetization

Demonetization refers to the act of stripping a currency unit of its status as legal tender. The video links the high unemployment rates to the period after India's demonetization in 2016, suggesting economic policies might have impacted job availability.

💡Economic Policy

Economic policy encompasses the actions taken by a government to influence its economy. The video critiques the Modi government's economic policies, suggesting they failed to create jobs as promised, which is critical given the upcoming 2019 elections.

💡National Statistics Commission

The National Statistics Commission is a body that oversees the statistical system in India. The video notes that two members resigned, including the acting chairman, due to the government's alleged withholding of the unemployment report, indicating political tensions.

💡2019 General Elections

The 2019 general elections in India were a significant political event where the Modi government sought re-election. The video discusses how the rising unemployment rates could affect voters' decisions, particularly among young jobseekers who supported the BJP in 2014.

💡Youth Unemployment

Youth unemployment refers to the joblessness among young people. The video highlights that unemployment among rural and urban youth, especially aged 15 to 29, has risen sharply, which is a major concern for the country's economic future.

Highlights

India experienced its worst unemployment rate since 1972 between 2011-12 and 2017-18, with a threefold increase in unemployment by 2017.

The National Sample Survey reported an unprecedented high unemployment rate of 6.1% in 2017-18.

The survey, based on fieldwork from July 2017 to June 2018, became controversial, leading to the resignation of National Statistics Commission members.

The government allegedly withheld the release of the report, sparking questions about what it doesn't want the public to know.

Unemployment among rural men aged 15 to 29 years increased from 5% to 17.4% from 2011-12 to 2017-18.

In rural areas, the unemployment rate for women rose from 4.8% in 2011-12 to 13.5% in 2017-18.

Urban unemployment rates also saw a significant rise, with men's unemployment increasing from 8.1% to 18.7% and women's nearly doubling.

The labor force participation rate declined from 39.5% in 2011-12 to 36.9% in 2017-18, indicating fewer people are working or seeking jobs.

The unemployment crisis in India is unprecedented, with the first survey post-demonetization serving as a critique of Modi's economic policy.

The Modi government, which campaigned and won elections on job creation, faces a significant challenge as 34% of young jobseekers voted for BJP in 2014.

Unemployment is expected to have a substantial impact on the constituency that supported BJP, especially with the 2019 general elections approaching.

The report raises the question of whether the government's handling of unemployment will affect voter sentiment.

The survey's findings are a significant critique of the Modi government's economic policies and their impact on job creation.

The controversy surrounding the report's release highlights concerns about transparency and the government's commitment to sharing economic data.

The resignation of National Statistics Commission members indicates a potential conflict between the government and statistical bodies over data dissemination.

The report's findings underscore the urgency of addressing unemployment in India, particularly among the youth and in rural areas.

The survey results may influence political discussions and policy decisions leading up to the 2019 general elections.

The report provides a comprehensive view of the employment situation in India, highlighting the need for effective job creation strategies.