Madhavi RAIR 446 · CSE 2024 · 253 wordsTheir whole copy
Opening · a figure
According to recent labour force survey 2021, there are ~ 46% labour force participation rate with ~ 80% in unorganised sector.
India's labour regulatory framework as rigid
Till recently, there were more than 20 labour codes which increased the multiplicity of laws and decreased their efficiency.
In reducing the output
Body · points and prose
→ By not adequate workers protection → lack of safety measures → lack of insurance & security of wages
I - WIL
- Hindered investment
- Due to rigid land acquisition laws
- Strict registration process and delay in approvals
- Lack of tax benefits and incentives for investors
- Reducing employment expansion
- Due to prevalent unorganised sector
- Lack of skills
- Disguised employment
- ↑↑ in unemployment and poverty (especially during COVID)
Government policies in addressing these issues
(1) Recent labour codes :- to increase the security, occupational safety, minimum wages & labours is an encouraging step
(2) Focussing on street vendors, and unorganised ones
ex: e-Shram portal
(3) Expansion of MGNREGA during COVID.
(4) By changing the def of MSME and encouraging the participation of MSME's to increase output as ~30% of GDP is from MSME's and it is estimated that India can achieve the target of $5 trillion economy by 2024 by 50% of GDP of MSME.
(5) Supporting private participation and FDI in domestic sectors.
Way Forward → To consider 'Gig economy' → Skill development → Bringing Gender equality in labour force.
Close · a way forward
Expanding employment can solve the many problems of poverty, hunger & nutrition issues.
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