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Seven Million Jobs Created in Formal Sector

The Indian Staffing Federation (ISF) has reported the formalisation of over seven million jobs between 2015-2018 due to reforms and initiatives taken...

19 Jun 2019 Employment
Employed Poverty is India's Employment Issue, Not Unemployment

This article is based on the editorial "The only mantra”, that appeared in Indian Express on 8th June 2019. It talks about issues in India's...

08 Jun 2019 Employment
Beyond The Free Trade Idealism

(This editorial is based on the article 'Beyond The Free Trade Idealism' which appeared in 'The Hindu' on 25th April, 2019. The article talks about...

25 Apr 2019 Employment
Broader Definition of ‘Conflict Diamonds’

India is concerned over widening of definition of ‘conflict diamonds’ under the Kimberley Process, as suggested by developed countries...

24 Apr 2019 Employment
Declining Female Labour Force Participation

(This editorial is based on the article ‘Declining Female Labour Force Participation’ which appeared in 'The Economic and Political...

20 Apr 2019 Employment
Gig Economy

Delhi has emerged as the top destination for migrant workers joining India’s tech-enabled gig economy, pushing startup capital Bengaluru to a...

12 Apr 2019 Employment
EPF Redefined

The Supreme Court has dismissed a plea filed against a Kerala High Court order that had asked Employees’ Provident Fund Organisation (EPFO)...

09 Apr 2019 Employment
Automation and Job Market

Recently the International Labour Organization (ILO) released a report titled “Changing Business and Opportunities for Employer and Business...

03 Apr 2019 Employment
Unemployment in India

The unemployment rate in India rose to 7.2 percent in February 2019, the highest since September 2016, and also up from 5.9 percent in February 2018,...

03 Apr 2019 Employment
Gender Wage Gap

Oxfam India has recently released a report titled ‘Mind the Gap: The State of Employment in India.’ The report assesses gender...

29 Mar 2019 Employment
Globalization 4.0

Why in News Globalization 4.0 was the theme for World Economic Forum Annual Meeting 2019 held in Davos, Switzerland in January 2019. Under the...

29 Mar 2019 Employment
SHREYAS Scheme

Recently the Ministry of Human Resource Development has launched the “Scheme for Higher Education Youth in Apprenticeship and Skills...

28 Feb 2019 Employment
Women’s Livelihood Bond

The World Bank, UN Women (a United Nations entity dedicated to gender equality and empowerment of women), and Small Industries Development Bank of...

20 Feb 2019 Employment
Khadi Gramodyog Vikas Yojana

The Cabinet Committee on Economic Affairs has approved the following: 8 different schemes of Khadi & Village Industries are now merged under...

20 Feb 2019 Employment
Is the Unemployment Crisis for Real?

(The editorial is based on the article “Is the unemployment crisis for real?” which appeared in The Hindu for 15th February 2019. In...

16 Feb 2019 Employment
India’s First Career Portal

The Rajasthan government launched India’s first “career portal” to address the needs of secondary and higher secondary students...

07 Feb 2019 Employment
How to Boost Women’s Workforce Participation

(The editorial is based on the article “How to Boost Women’s Workforce Participation” which appeared in Businessline for 27th...

29 Jan 2019 Employment
Future of Work: ILO

Recently International Labour Organization (ILO)’s Global Commission on the Future of Work has published Future of work report 2019 titled "...

24 Jan 2019 Employment
World Economic Situation and Prospects (WESP) 2019: UN

According to the UN's World Economic Situation and Prospects (WESP) 2019, India will continue to remain the world's fastest-growing large economy in...

24 Jan 2019 Employment
Mohan Reddy Committee Recommendations Accepted

All India Council for Technical Education (AICTE) has accepted the recommendations of the committee headed by BVR Mohan Reddy. The committee was...

19 Jan 2019 Employment

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		'article_id' => (int) 2246,
		'category_id' => (int) 21,
		'title' => 'Seven Million Jobs Created in Formal Sector',
		'description' => '<p>The Indian Staffing Federation (ISF) has reported the formalisation of over seven million jobs between 2015-2018 <strong>due to reforms and initiatives taken by Indian government.</strong></p>
<ul style="list-style-type: square;">
<li><strong>The report titled, &lsquo;Impact of key reforms on job formalisation and flexi-staffing&rsquo;</strong> mentioned that 1.2 million workers have been added to the flexi-workforce since 2015 and a further 1.53 million are to be added over the next three years.</li>
<li>The government&rsquo;s current agenda of job creation can be achieved by boosting the aggregate effective demand in the economy through formalisation, industrialisation, urbanisation, financialisation and skilling.</li>
<li>India will have a 6.1 million flexi-workforce by 2021. <br />
<ul style="list-style-type: circle;">
<li>Sectors such as logistics, banking, financial services and insurance <strong>(BFSI), IT/ ITeS, retail and government</strong> would be the <strong>top five sectors, employing over 55 per cent of the total flexi-workforce by 2021.</strong></li>
</ul>
</li>
<li><strong>The flexi staff space grew</strong> at a Compound Annual Growth Rate (CAGR) of <strong>16.3 per cent in 2018</strong> and is expected to further accelerate to<strong> 22.7 per cent from 2018-2021.</strong></li>
<li>The report establishes <strong>flexi-staffing as a key job creation engine.</strong></li>
<li>The acceleration in momentum towards formal employment witnessed in the past three years clearly means the reforms such as the payment of wages act and EPF are having a positive impact.</li>
</ul>
<div class="border-bg">
<p><strong>Flexi-staffing</strong></p>
<ul style="list-style-type: square;">
<li><strong>Flexible Staffing</strong> is an arrangement in an organization where the employees can be from <strong>temporary agencies, leased employees or contract workers.</strong></li>
<li>It is more commonly known as temporary staffing and predominantly focuses on the white collar industry.</li>
</ul>
<p><strong>Indian Staffing Federation (ISF)</strong></p>
<ul style="list-style-type: square;">
<li>The ISF is the apex body representing the Staffing industry/Private Employment Services that is <strong>authorised to discuss with government agencies and other trade bodies on behalf of the staffing industry/ private employment services.</strong><br />
<ul style="list-style-type: circle;">
<li><strong>The Staffing / private employment services</strong> is an enabler <strong>to provide social security</strong> and long term <strong>medical</strong>, and <strong>retirement benefits to temp/flexi-staff.</strong></li>
</ul>
</li>
<li>The purpose of ISF is to enhance long-term growth and ensure its continued ability to make positive contributions to the economy as well as the society<strong> through the services of the Staffing Industry.</strong></li>
<li><strong>Staffing Industry covers a meager 2% penetration of the possible employable size in India.</strong> <br />
<ul style="list-style-type: circle;">
<li>Of the 400m employable in India, about 10% are employed in the organised sector, and while about 250m are self-employed.</li>
<li>This leaves <strong>almost 110m</strong> who are <strong>employed by the temp/ flexi-staffing and the unorganised sector.</strong> ISF is working towards growing this market.</li>
<li>To bring effect, <strong>the laws and regulations haven't taken Staffing industry/</strong> Private Employment Services <strong>into cognizance.</strong></li>
<li>ISF expects to interact with law making authorities to recognize Staffing industry / Private Employment Services and create adequate and appropriate laws to manage it.</li>
</ul>
</li>
</ul>
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		'article_id' => (int) 2147,
		'category_id' => (int) 22,
		'title' => 'Employed Poverty is India's Employment Issue, Not Unemployment',
		'description' => '<div class="border">
<p>This article is based on the editorial <a href="https://indianexpress.com/article/opinion/columns/the-only-mantra-unemployment-india-jobs-gst-labour-market-5770219/" target="_blank" rel="noopener">"The only mantra&rdquo;</a>, that appeared in Indian Express on 8th June 2019. It talks about issues in India's labour market and suggests a way forward.</p>
</div>
<p><a href="https://indianexpress.com/article/opinion/columns/the-only-mantra-unemployment-india-jobs-gst-labour-market-5770219/"></a>To capitalize on its demographic dividend, India must create well-paying, high productivity jobs. By some estimates, the Indian economy will need to generate nearly 70 lakh jobs annually to absorb the net addition to the workforce. But according to the NSSO report, India is witnessing highest unemployment in 45 years.</p>
<p><strong>But India&rsquo;s problem is not unemployment( as unemployment remained between low and narrow range of 4-7 per cent for 50 years) but "Employed poverty".</strong></p>
<div class="border-bg">
<p><strong>What is Employed Poverty?</strong></p>
<ul style="list-style-type: square;">
<li>It means people are employed but still are poor.</li>
<li>By some estimates, India&rsquo;s informal sector employs approximately 85 percent of all workers.</li>
<li>This informal employment hinders both income and empowerment for the poor, especially women and younger people.</li>
</ul>
</div>
<h3>What are the reasons for this employed poverty?</h3>
<ul style="list-style-type: square;">
<li>As per the National Sample Survey (NSS) 73rd round, for the period 2015-16, there were 6.34 crore unincorporated non-agricultural micro, small and medium enterprises (MSMEs) in the country engaged in different economic activities providing employment to 11.10 crore workers.
<ul style="list-style-type: circle;">
<li>Due to regulatory cholesterol, only 12 lakh of these companies convert to GST registrants,10 lakh provident fund payers, and 19,500 companies with a paid up capital of Rs 10 crore.</li>
</ul>
</li>
<li>India&rsquo;s labour laws have a reverse impact on the wages of worker:
<ul style="list-style-type: circle;">
<li>Employers are forced to deduct 40 per cent-plus of gross wages from employees with monthly wages above Rs 25,000 for social measures like PPF, health etc.</li>
<li>These regulations discourage formalization of the economy as it confiscates property from the poor.</li>
</ul>
</li>
<li>Skill development system in India faces the difficult trinity of cost, quality and quantity combined with challenging changes to the world of education.
<ul style="list-style-type: circle;">
<li>According to the India Skill Report 2018, only 47 per cent of those coming out of higher educational institutions are employable.</li>
</ul>
</li>
<li>Apprenticeships are the future of learning, yet India only has 5 lakh apprentices instead of 1.5 crores (if we use Germany&rsquo;s number of 2.7 per cent of the labour force).</li>
<li>Our traditional labour market shock absorbers &mdash; farm employment and self-employment &mdash; are dying because people born after 1991 are unaccepting of self-exploitation and strive for recognition of identity, dignity, soft skills and wage premiums.</li>
<li>Therefore formalization of the economy or formal jobs is the viable solution.</li>
<li>The high cost of credit due to NPA crisis: This has impacted the investment rate in India.</li>
<li>The governance deficit of cities discourages migration.</li>
</ul>
<h3>What should be a reform agenda to promote the formalisation of the economy?</h3>
<ul style="list-style-type: square;">
<li>Employee contribution must be made optional, employees must choose who handles their employer contributions, and social security programme fees must be capped to their costs.</li>
<li>Pradhan Mantri Rojgar Protsahan Yojna is a step in the right direction.
<ul style="list-style-type: circle;">
<li>It is partial reimbursement to employers for incremental low-wage employees, it has incentivised social security enrolment,</li>
</ul>
</li>
<li>Promote ease-of-doing business:
<ul style="list-style-type: circle;">
<li>Reduce Regulatory Cholesterol: Cuts down ministries, compliance, and filings costs</li>
<li>Adopt a universal enterprise number and one labour code</li>
<li>Digitisation: Adopt a paperless, presence less and cashless process for all employer compliance.</li>
</ul>
</li>
<li>Enable degree-linked apprentices: Skill universities to be opened where apprentices to be linked to degree courses via distance and online delivery<br />Make compliance with the national floor level minimum wage mandatory. Expand the Minimum Wages Act, 1948, to cover all jobs.</li>
<li>All these reforms must be supported by a better investment climate, backed up by laws, regulations, and procedures that organically encourage job creation.</li>
</ul>
<table border="1" style="height: 60px; width: 100%; border-collapse: collapse; border-color: #05b5a6; background-color: #c9f2e6;" height="60">
<tbody>
<tr>
<td style="width: 100%;">
<p><em><strong>DRISHTI INPUT:</strong></em></p>
<p>India is not crippled by employment poverty but by employed poverty. Comment.</p>
</td>
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		'article_id' => (int) 1793,
		'category_id' => (int) 22,
		'title' => 'Beyond The Free Trade Idealism',
		'description' => '<div class="border">
<p>(This editorial is based on the article <a href="https://www.thehindu.com/opinion/lead/beyond-the-free-trade-idealism/article26935924.ece" target="_blank" rel="noopener">'Beyond The Free Trade Idealism'</a> which appeared in 'The Hindu' on 25th April, 2019. The article talks about the concept of free trade and its associated risks. It also talks about the ways in which India can balance its economic environment.)</p>
</div>
<p>India liberalised its economy in 1990s whereby it opened up the sectors hitherto under public operations, invited investors from world over to invest in India and it liberalised the overall economic environment in the economy. It&rsquo;s difficult to assess how far we have reached in our endeavours but India has certainly taken a leap in a right direction.</p>
<h3>Background</h3>
<p>While India has significantly opened its trade frontiers, its <strong>policies of favouring domestic producers and businessman often lock horns with the proponents of free trade</strong>. The recent U.S. trade skirmish with India is one such example. The US has objected to India increasing import duties on electronic goods and wants India to reduce duties on U.S.-made motorcycles.</p>
<p>The current atmosphere warrants us to deeply analyse the free trade regimen and how it has the potential to impact the overall macro-economic situation in the country.</p>
<h3>What is Free Trade?</h3>
<p>Free trade is a policy to <strong>eliminate discrimination against imports and exports</strong>. Buyers and sellers from different economies may voluntarily trade without a government applying tariffs, quotas, subsidies or prohibitions on goods and services.</p>
<p>Politically, a <strong>free-trade policy may be the absence of any trade policies,</strong> so a government doesn't need to take specific action to promote free trade. This hands-off stance is referred to as <strong>"laissez-faire trade"</strong> or <strong>trade liberalization</strong>.</p>
<p>However, <strong>governments with free-trade agreements do not necessarily abandon all control</strong> of import and export taxation. In modern international trade, few free trade agreements (FTAs) result in completely free trade.</p>
<h3>Advantages and Philosophy</h3>
<p>In a free-trade regime, <strong>both economies can experience faster growth rates</strong>. This exchange is no different from voluntary trade between neighbours, towns or states. Free trade enables companies to concentrate on manufacturing goods and services where they have a distinct comparative advantage.</p>
<p>The <strong>most basic philosophy</strong> behind the macro-economic case for free trade is that <strong>if each person would do only what he or she does better than everyone else</strong> and all would trade with each other, <strong>everyone&rsquo;s welfare</strong> will increase.</p>
<p>Proponents of Free trade claims that easy import of products from other countries increases <strong>consumer welfare</strong>. Consumers everywhere welcome a lowering of import barriers because it brings quality products at a very competitive price.</p>
<p>As established by <strong>Milton Friedman,</strong> a Nobel laureate that, in international trade, <strong>exports help companies</strong> and <strong>imports help citizens</strong>. Therefore, resistance to free trade does not come from consumers. Thus, any <strong>restriction in free trade only serves the interest of few capitalist</strong> and is not in the larger interest of masses.</p>
<h3>Challenges in Free Trade</h3>
<p>While domestic businesses benefit from a diversified export market, they also suffer from <strong>greater competition,</strong> due to the removal of trade tariffs and inflows of cheap foreign goods. This weighs <strong>negatively on business profits</strong> of domestic companies and constraints business expansion.</p>
<p>It has also been found that tougher competitive pressure <strong>reduces the incentives for companies to implement proper labour standards</strong> and protect the <strong>environment</strong> as they look to cut down any additional expenditure.</p>
<p>Free trade can <strong>contribute to higher income inequality,</strong> especially in high-wage countries, as it promotes cheaper goods from low-wage countries which have been the case in many Asian nations such as China, India, Philippines, and Singapore etc. Also, owners of <strong>intellectual property would receive more of the income gains,</strong> since FTAs often protect patents and copyrights.</p>
<p>Growing trade flows often lead economies to focus more on <strong>export-led growth</strong> instead of <strong>consumption-led growth</strong> as companies emphasises on producing goods that have demand in foreign markets having bigger purse instead of producing what is required in domestic market.</p>
<h3>Will Easing Import Barriers Help India</h3>
<p>Argument about consumers benefiting from easy imports cannot be called completely true as even for citizens to buy products they need income. Therefore, they need jobs that will provide them adequate incomes. Any government responsible for the welfare of its citizens has to be concerned about the <strong>growth of jobs</strong> in the country.</p>
<p>More than a free trade regime what India needs is a <strong>good 'industrial policy'</strong> to accelerate the growth of domestic production, by building on its <strong>competitive advantages;</strong> and by developing those capabilities, it can compete with producers in countries that &lsquo;developed&rsquo; earlier.</p>
<p>It is no doubt that India has significantly benefited from liberalising of its economy whereby Indian consumers have access to variety of products from world over, it is also a stated fact that <strong>Indian manufacturing sector has remained a laggard</strong> and has not worked up to its potential.</p>
<p>The manufacturing sector in India and China which began with comparable capabilities and similar footing in 1990, in less than three decades <strong>China has become 10 times larger than India&rsquo;s,</strong> and its capital goods production sector is 50 times larger.</p>
<p>India&rsquo;s <strong>impressive GDP growth has not resulted in generating enough employment</strong> for India&rsquo;s large youth population. Whereas India&rsquo;s economy should have been a powerful job generator, the employment growth &mdash; the numbers of jobs created per unit of GDP growth &mdash; <strong>remains among the lowest</strong> in the world.</p>
<h3>Suggestions</h3>
<p>It has become clear that employment is the most pressing issue for Indian citizens according to all economic surveys. Schemes to augment income of citizens such as through <strong>Universal Basic Incomes can only give temporary respite</strong> as given the population burden these schemes are <strong>not economically sustainable</strong>. Therefore, an ambitious <strong>'Employment and Incomes Policy'</strong> must be the highest priority for all governments.</p>
<p>While India looks to <strong>capture larger shares of global markets,</strong> India&rsquo;s own billion-plus citizens&rsquo; economy can act as a stimulus for growth of millions of enterprises. If citizens earn more, they can spend more.</p>
<p>The <strong>&lsquo;Employment and Incomes Policy&rsquo; thus can guide the Industrial Policy</strong> to where investments are required, and also what is expected from those investments to <strong>produce more income-generating opportunities</strong> for young Indians.</p>
<p>The <strong>scope of 'industry' should be broadened to include all sectors</strong> that can build on India&rsquo;s competitive advantages. For example, the tourism and hospitality industry, taking advantage of India&rsquo;s remarkable diversity of cultures and natural beauty, has the potential to support millions of small enterprises in all parts of the country.</p>
<p>India can also build <strong>competitive advantage on its large numbers of trainable youth,</strong> and with digital technologies reach of small enterprises, manufacturing and services can be increased which will provide many domestic and export opportunities that India has so far not achieved.</p>
<h3>Learning from Past</h3>
<p>India can also learn from its own history. With the government&rsquo;s insistence in the pre-liberalisation era that production and technology must be indigenised in phased manufacturing programmes, India&rsquo;s automobile sector was able to provide Indian consumers with good products and now provides millions of people with employment. In contrast, the Indian electronics sector languished after India signed the Information Technology Agreement of WTO in 1996 and reduced import duties on IT-related manufactured products to zero.</p>
<h3>Way Forward</h3>
<p>The <strong>WTO,</strong> which constantly looks to reduce trade barriers, needs to <strong>overhaul its governance</strong> to promote the welfare of citizens in all countries, especially poorer ones, rather than lowering barriers to exports of companies in rich countries in the guise of free trade idealism.</p>
<p>Indian economists should focus on the <strong>fundamentals of economic growth</strong> &mdash; more opportunities to earn incomes from productive work with development of new capabilities.</p>
<p>A robust <strong>'Incomes and Employment Policy'</strong>, supported by an imaginative <strong>Industrial Policy,</strong> therefore can <strong>effectively guide India&rsquo;s trade policy</strong> which will have larger and far positive benefits than solely opening trading regime can provide.</p>',
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		'article_id' => (int) 1778,
		'category_id' => (int) 21,
		'title' => 'Broader Definition of ‘Conflict Diamonds’',
		'description' => '<p>India is concerned over <strong>widening of definition of &lsquo;conflict diamonds&rsquo; under the Kimberley Process</strong>, as suggested by developed countries such as the US and Canada.</p>
<ul style="list-style-type: square;">
<li>The proposal is to<strong> include human right abuses and child labour issues</strong>. This may end up as a <strong>non-tariff barrier</strong> for developing countries.</li>
</ul>
<div class="border-bg">
<p><strong>Non-tariff Barrier</strong></p>
<ul style="list-style-type: square;">
<li>A nontariff barrier is a<strong> trade restriction, such as a quota, embargo or sanction</strong>, that countries use to further their political and economic goals.</li>
<li>Countries commonly use<strong> nontariff barriers in international trade.</strong></li>
<li>Nontariff barriers often release countries from paying added tax on imported goods and create other barriers that have a meaningful yet different monetary impact.</li>
<li>Countries can use nontariff barriers in place of, or in conjunction with, standard tariff barriers.</li>
</ul>
</div>
<h3>India&rsquo;s Stand</h3>
<ul style="list-style-type: square;">
<li>While the concerns are largely based on reports of human rights abuses in the <strong>diamond fields of Zimbabwe and Angola</strong> which includes killing of villagers.
<ul style="list-style-type: circle;">
<li>India is afraid that once the <strong>exercise of broadening the definition of conflict diamond begins,</strong> many other issues could get incorporated and a <strong>lot of subjectivity may flow in.</strong></li>
</ul>
</li>
<li>This becomes more important since India is the <strong>world&rsquo;s largest centre for cut and polished diamonds</strong> and <strong>accounts for 75% of the world&rsquo;s polished diamonds exports.</strong>
<ul style="list-style-type: circle;">
<li>The sector is <strong>labour-intensive</strong> and employs over 4.64 million workers, which is expected to go up to 8.23 million by 2022.</li>
</ul>
</li>
<li>India is against human rights abuse and labour law violations, but there are other agencies including the <a href="/daily-updates/daily-news-analysis/india-elected-to-unhrc" target="_blank" rel="noopener"><strong>UN Human Rights Commission</strong></a> and the <a href="/daily-updates/daily-news-analysis/100th-anniversary-of-ilo" target="_blank" rel="noopener"><strong>International Labour Organization (ILO)</strong></a> to address them.
<ul style="list-style-type: circle;">
<li>The Kimberly Process was never meant to address such issues. While countries like Zimbabwe and Angola need to be checked, India and some other <strong>developing countries engaged in peaceful trade should not be at the receiving end.</strong></li>
</ul>
</li>
</ul>
<h3>Background</h3>
<ul style="list-style-type: square;">
<li>Over the last couple of years, a number of members including Canada, the EU and the US have been complaining that the Kimberley process <strong>addresses a very narrow band of issues and ignores the rest.</strong></li>
<li>Thereby, Canada, in last year&rsquo;s plenary meeting in Brussels, put forward a <strong>proposal to expand the definition of conflict diamonds</strong> to include<strong> rough diamonds used by public security forces or private (including criminal or mercenary) armed groups</strong> to acquire wealth through the<strong> illegal control, bribery, taxation, extortion or dispossession of people.</strong></li>
<li><strong><a href="/daily-updates/daily-news-analysis/india-to-chair-kimberley-process" target="_blank" rel="noopener">India is the chair of the Kimberley System Certification Scheme (KPCS) for the year 2019</a>,</strong> and will have to mobilise <strong>other developing countries such as Sri Lanka, Bangladesh, Brazil and Vietnam to oppose unintended barriers to trade.</strong></li>
</ul>',
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		'article_id' => (int) 1763,
		'category_id' => (int) 22,
		'title' => 'Declining Female Labour Force Participation',
		'description' => '<p>(<em>This editorial is based on the article &lsquo;<a href="https://www.epw.in/journal/2019/16/editorials/declining-female-labour-force-participation.html" target="_blank" rel="noopener">Declining Female Labour Force Participation</a>&rsquo; which appeared in 'The Economic and Political Weekly' on 20th April, 2019. The article talks about the importance of women in the labor force and the various challenges associated with it.</em>)</p>
<p>Recently, contractors in Beed district of Maharashtra stopped hiring women cane cutters because, in their imagination, women who menstruate are likely to take breaks from work and this may adversely affect productivity.</p>
<p>In fact, irrespective of gender, any breaks taken by contracted labor results in the contractors incurring heavy financial penalties. As a result of this about half of the women in some villages of Beed district have undergone hysterectomies (i.e the surgical removal of the uterus).</p>
<p>India is trying very hard to become a superpower and to realize its dreams every stakeholder needs to be held accountable and every resource needs to be used. Gender equality in every field is a given requisite for this which therefore warrants a closer look at the labor force participation in India.</p>
<h3>The case in point</h3>
<ul style="list-style-type: square;">
<li><strong>It is well known that in the informal sector in India, most occupations dominated by women are undervalued and underpaid.</strong>
<ul style="list-style-type: circle;">
<li>The case of the cane cutters in Beed only goes to illustrate that women are forced to lose an organ to even qualify as productive, let alone be considered equal or skilled labor.</li>
</ul>
</li>
<li><strong>The devaluation of women&rsquo;s labor is also accompanied by casteist and patriarchal notions of purity and pollution where women are prohibited from certain jobs, especially in the food processing, sericulture, and garment industries.</strong></li>
<li>The employers&rsquo; or contractors&rsquo; rationality, in most cases, is based on the principle of &ldquo;optimum use&rdquo; of labor power. Anything that counters this principle or prevents the maximization of profits is either excluded or manipulated.</li>
</ul>
<h3>Trends</h3>
<ul style="list-style-type: square;">
<li>According to the International Labour Organization&rsquo;s (ILO) Report, 2019:
<ul style="list-style-type: circle;">
<li><strong>1.3 billion Women were in work in 2018 as compared to 2 billion men &ndash; a less than 2% improvement in last 27 years.</strong></li>
<li>The report highlighted that women are paid 20% lower than men, as a global average.</li>
<li>Women remain underrepresented at the top, a situation that has changed very little in the last 30 years. <strong>Less than one-third of managers are women.</strong></li>
</ul>
</li>
<li><strong>The female labor force participation rate (FLFPR) in India has been one of the lowest among the emerging economies and has been falling over time.</strong> This has resulted in a decrease in the ratio of working females to the population of females in the working age group.</li>
<li>The FLFPR in India fell from 31.2% in 2011&ndash;12 to 23.3% in 2017&ndash;18. Further, the FLFPR for rural areas has declined by more than 11 percentage points in 2017&ndash;18.</li>
<li>Data from the National Sample Survey Office (NSSO) and the India Human Development Survey (IHDS) show that education and employment have a U-shaped relationship (a rise and subsequent decline in employment with the rise in education levels).<strong> It also shows that illiterate women are most likely to participate in the workforce.</strong></li>
<li><strong>Work participation drops sharply for women with primary and secondary education and rises</strong> <strong>only with college-level education.</strong> Factors like income of other members of the household, social background and place of residence also add to the lack of women&rsquo;s participation in the workforce.</li>
<li>Further, <strong>the non-availability of white collar jobs, disproportionate long hours</strong> <strong>and lesser job security</strong> <strong>narrow downs the job opportunities for educated women in India.</strong></li>
<li><strong>In rural areas, not only are women withdrawing from the labor force, they are also being outcompeted by men in the existing jobs.</strong> This situation necessitates a deeper understanding of issues that hinder female labor force participation.</li>
</ul>
<h3>What hinders female participation in the workforce?</h3>
<ul style="list-style-type: square;">
<li>Low participation of women in the labor force in India is attributed to the lack of employment opportunities, rising education levels and household incomes, and problems in measurement, such as<strong> under-reporting of women&rsquo;s work.</strong></li>
<li>However, it is the rural distress in recent times that has affected women the most as income-generating opportunities have disappeared. The problem of &lsquo;labor demand constraints&rsquo; or the lack of suitable job opportunities is acute for women in rural India, with a fall in the availability of farm jobs and the lack of economic opportunities in non-farm employment. <strong>Mechanization of farm and non-farm activities has also reduced opportunities for work.</strong></li>
<li><strong>A 2018 study has found that the &ldquo;care economy burden,&rdquo; that is, time spent on unpaid economic activities performed at the household and community levels by women is one of the important determinants of the FLFPR. So, the time spent on unpaid work, especially on unpaid care and domestic chores has hindered women&rsquo;s participation in the labor force.</strong></li>
<li><strong>Moreover, rural societies are segregated rigidly on gender basis dictated by patriarchal norms that are further perpetuated by religious taboos and cultural biases.</strong></li>
<li><strong>What is interesting to notice is that, of late, with a reduction in family sizes and distress migration of rural males, the burden of unpaid work on women has been increasing disproportionately.</strong> The burden of domestic work and unpaid care inhibits women&rsquo;s ability to acquire skills for better jobs, leading to a vicious cycle of women being kept out of the labor force.</li>
</ul>
<h3>Government Policies</h3>
<ul style="list-style-type: square;">
<li><strong>The Maternity Benefit (Amendment) Bill, 2016 entitles a woman working in the organized sector to 26 weeks of paid maternity leave.</strong> With regard to childcare, the Maternity Benefit (Amendment) Act, 2017, has created a provision to provide for cr&egrave;che facilities in every establishment having 50 or more workers.</li>
<li><strong>The Protection of Women against Sexual Harassment at Workplace Act, 2013 defines sexual harassment at the workplace and creates a mechanism for redressal of complaints. It also provides safeguards against false or malicious charges.</strong></li>
<li><strong>There are many other laws such as the Equal Remuneration Act, 1976; Factories (Amendment) Act, 1948 which seeks to provide equality and fairness in women working condition.</strong></li>
</ul>
<h3>Problems in Government Policies</h3>
<ul style="list-style-type: square;">
<li>Many government policies are targeted towards organized women workers whereas the unorganized sector which houses the largest number of females has little to no penetration of such schemes. Wherever such options exist, they are limited to only documentation and are not enforced in reality in the unorganized and rural sector. <strong>For example, severe cuts in expenditure related to the centrally sponsored National Cr&egrave;che Scheme had led to the closure of cr&egrave;ches across the country.</strong></li>
</ul>
<h3>Steps to address the hardship</h3>
<ul style="list-style-type: square;">
<li>Provision of amenities and basic infrastructure, as well as childcare facilities and care homes for the elderly, should be provided so that the entry of women in the labor force is facilitated.</li>
<li>Higher expenditures on the existing policies, such as the MGNREGA and the Integrated Child Development Services, as well as providing vocational training to suit the rapidly changing production process would give a boost to the FLFPR.</li>
<li><strong>Targeted policies by the state, such as providing job quotas and credit to women, will increase female participation in the labor market.</strong></li>
</ul>
<h3>Way forward</h3>
<ul style="list-style-type: square;">
<li>The factors hindering the FLFPR in rural India, therefore, call for the addressing of the constraints related to labor demand as well as formulating appropriate gender-responsive employment policies that would reduce the burden on women with regard to unpaid care and work.</li>
<li>Women not only suffer from demand-side constraints and inadequate state-level interventions but also women&rsquo;s low work participation and disproportionate burden of unpaid care work results in structural rigidities that reinforce prevalent sociocultural practices.</li>
</ul>
<p>In the absence of a structural change in workplaces and stringent labor regulations, discrimination and atrocities against female labor are likely to continue to rise unless this problem is addressed on a war footing!</p>',
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		'article_id' => (int) 1709,
		'category_id' => (int) 21,
		'title' => 'Gig Economy',
		'description' => '<p><strong>Delhi has emerged as the top destination</strong> for migrant workers joining India&rsquo;s tech-enabled gig economy, pushing startup capital Bengaluru to a distant second spot.</p>
<ul style="list-style-type: square;">
<li>A gig economy is a <strong>free market system</strong> in which temporary positions are common and organizations contract with independent workers for<strong> short-term engagements.</strong></li>
<li>An <strong>estimated 56% of new employment in India</strong> is being generated by the gig economy companies across both the blue-collar and white-collar workforce. <strong>Few reasons</strong> for this exponential growth are:
<ul style="list-style-type: circle;">
<li>In the digital age, the<strong> worker need not sit at a fixed location</strong>&mdash;the job can be done from anywhere, so employers can select the best talent available for a project without being bound by geography.</li>
<li>The millennial generation seems to have quite a different attitude to careers. They seek to do work that they want to do rather than have careers that may not satisfy their inner urges.</li>
<li>This suits businesses as well. In a gig economy, they save resources in terms of benefits like provident fund, paid leave and office space.</li>
<li>Heightened migration and readily available job training.</li>
</ul>
</li>
</ul>
<h3>Challenges</h3>
<ul style="list-style-type: square;">
<li>The gig economy thrives<strong> largely unregulated</strong>, therefore workers have<strong> little job security and few benefits.</strong>
<ul style="list-style-type: circle;">
<li>However, few argue that the gig economy in India with respect to workers not getting any social security, insurance, etc. is an <strong>extension of India&rsquo;s informal labour</strong>, which has been prevalent for a long time and has remained unregulated.</li>
<li>With the tech companies coming in, there is data available, making it a <strong>possibility to enable job security.</strong></li>
</ul>
</li>
<li>A worker need to <strong>be skilled enough.</strong> Unless a person is extremely talented, his bargaining power will necessarily be limited.</li>
<li>While companies routinely invest in training employees, a gig-economy workers will have to<strong> upgrade his skills</strong> on his own at his own cost.</li>
<li>There are already many more potential online independent workers than jobs, and this <strong>demand-supply mismatch</strong> will only get worse over time, depressing wages.</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li>There is a need for the government to step in and implement radical changes in labour laws or implement tax rebates and concessions that can be passed on directly to drivers or delivery partners as health or insurance benefits.
<ul style="list-style-type: circle;">
<li>However, some experts say that this would directly affect prices of service delivered to the end customer.</li>
</ul>
</li>
<li>With a population of over 1.2 billion, and a majority of them below the age of 35, relying on the "gig economy" is perhaps the only way to create employment for a large semi-skilled and unskilled workforce. Therefore, It is important to hand-hold this sector and help it grow. We need policies and processes that give clarity to the way the sector should function.</li>
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		'article_id' => (int) 1685,
		'category_id' => (int) 15,
		'title' => 'EPF Redefined',
		'description' => '<p style="text-align: center;"><iframe width="560" height="315" src="https://www.youtube.com/embed/Q2aOnu7p-bA" frameborder="0" allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="allowfullscreen"></iframe></p>
<p>The Supreme Court has dismissed a plea filed against a Kerala High Court order that had asked Employees&rsquo; Provident Fund Organisation (EPFO) to provide pension to all retiring employees, rather than capping the figure on which contribution is calculated at a maximum of Rs 15,000 per month. In effect, all retiring employees will now get pension on their full salary instead of Rs 15,000 cap.</p>
<div class="border-bg">
<p><strong>Employees&rsquo; Provident Fund Organisation (EPFO)</strong></p>
<ul style="list-style-type: square;">
<li>It is a <strong>government organization</strong> that manages provident fund and pension accounts of member employees and <strong>implements the Employees&rsquo; Provident Fund and Miscellaneous Provisions Act, 1952</strong> which is applicable to whole of India with exemption given only to Jammu &amp; Kashmir.
<ul style="list-style-type: circle;">
<li>The Employees&rsquo; Provident Fund and Miscellaneous Provisions Act, 1952 provides for the institution of provident funds for employees in factories and other establishments.</li>
</ul>
</li>
<li>It is <strong>administered by the Ministry of Labour &amp; Employment,</strong> Government of India.</li>
<li>It is o<strong>ne of the World's largest Social Security Organisations</strong> in terms of clientele and the volume of financial transactions undertaken.</li>
</ul>
<p><strong>Employees Pension Scheme (EPS):</strong></p>
<ul style="list-style-type: square;">
<li>It is a social security scheme that was <strong>launched in 1995</strong>.</li>
<li>The scheme, provided by EPFO, <strong>makes provisions for pensions for the employees in the organized sector after the retirement at the age of 58 years</strong>.</li>
<li>Employees who are members of EPF automatically become members of EPS.
<ul style="list-style-type: circle;">
<li>Both employer and employee contribute 12% of employee&rsquo;s monthly salary (basic wages plus dearness allowance) to the Employees&rsquo; Provident Fund (EPF) scheme.</li>
<li>EPF scheme is mandatory for employees who draw a basic wage of Rs. 15,000 per month.</li>
<li>Of the employer's share of 12 %, 8.33 % is diverted towards the EPS.</li>
<li>Central Govt. also contributes 1.16% of employees&rsquo; monthly salary.</li>
</ul>
</li>
</ul>
</div>
<h3>Timeline</h3>
<ul style="list-style-type: square;">
<li>The Employees&rsquo; Provident Fund and Miscellaneous Provisions Act was promulgated in the year 1952. The act empowered the central government to frame a provident fund scheme.</li>
<li>The Employees Family Pension Scheme and the Employees&rsquo; Deposit-Linked Insurance Scheme were added in the act, thus making EPFO, the implementing agency for the schemes.</li>
<li>In the year 1995, the government promulgated an ordinance for the implementation of the Employees Pension Scheme. An amendment was made to the Act i.e.Section 6A was inserted, for giving the statutory effect to the pension scheme.</li>
<li>By virtue of the amendment, the central government got empowered to frame a pension scheme and also it was specifically mentioned that the employer&rsquo;s contribution of 8.33% to EPF will be diverted to the pension fund.</li>
<li>The pension scheme was <strong>initially applicable</strong> to the employees those who draw <strong>monthly basic wages up to 6,500</strong>.</li>
<li>In March 1996, the government amended the act and allowed contribution to be a percentage of the actual salary (i.e. not necessarily upto Rs 6,500), provided the employee and the employer has no objection. Approval from the Assistant Provident Fund Commissioner is required for the same.</li>
<li>On September 1, 2014, the EPFO <strong>amended</strong> the act to increase the contribution to 8.33% of a <strong>maximum of Rs. 15,000 per month</strong>. The amendment also stipulated that in case of those who avail the benefit of pension on full salary, their pensionable salary would be calculated as the average of the last five years' monthly salary, and not of the last one year of average salary, as per earlier norms. This reduced the pension of many employees.</li>
<li>Subsequently, the <strong>Kerala High Court set aside the September 1, 2014 amendment</strong> and also reinstated the old system of calculating the pensionable salary as the average of the last one year&rsquo;s monthly salary.</li>
<li>On April 1, 2019, <strong>the Supreme Court dismissed the Special Leave Petition (SLP) against the Kerala High Court Judgment</strong>.</li>
</ul>
<h3>Possible Impact of the Judgement</h3>
<ul style="list-style-type: square;">
<li>People who have subscribed to EPF will be able to get pension on their full salary instead of Rs. 15000 cap.</li>
<li>Employees and Employers, who have contributed to the EPF without any approval from Assistant Provident Commissioner, may not get the benefit of judgement.</li>
<li>Amendment done in 2014 may remain applicable to the companies which manage their EPF corpus through trusts.</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li>If an employee and an employer are in agreement to allocate share of their total earnings for the provident fund purposes then EPFO should provide full benefit of the same to the employee.</li>
<li>The financial burden of the pension on the government is huge. <strong>Investment avenues for the EPFO need to be increased</strong> so that government is able to provide pensionary benefits to the people. Formation of a separate organization specifically for the investment purposes can also be considered.</li>
<li>Enough efforts need to be made to <strong>invite Foreign Pension Funds to invest in India</strong>.</li>
<li>The pension scheme needs to be <strong>reformulated in a way that it provides benefits to employees without putting an onerous burden on the employers</strong>. The government contributes only 1.16% of employees&rsquo; monthly salary.</li>
</ul>',
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		'article_id' => (int) 1659,
		'category_id' => (int) 21,
		'title' => 'Automation and Job Market',
		'description' => '<p>Recently the <a href="/daily-updates/daily-news-analysis/100th-anniversary-of-ilo" target="_blank" rel="noopener"><strong>International Labour Organization (ILO)</strong></a> released a report titled<strong> &ldquo;Changing Business and Opportunities for Employer and Business Organizations"</strong> which dwells on <strong>automation and employability.</strong></p>
<h3>Findings</h3>
<ul style="list-style-type: square;">
<li>The report lists the percentage of work activities that can be automated using current technology.
<ul style="list-style-type: circle;">
<li><strong>Over 40% of activities</strong> can be<strong> automated across the world.</strong></li>
<li>In the case of <strong>India, 51.8% of activities can be automated.</strong> Robotic automation is having the greatest impact, replacing<strong> low-skilled jobs and simple assembly tasks.</strong></li>
</ul>
</li>
<li>Automation will likely impact most jobs involving <strong>highly structured physical activity in predictable environments, such as manufacturing and retail, alongside data collection and processing.</strong></li>
<li>Automation <strong>threatens to impact women more than men.</strong> This is primarily because automation threatens sectors like retail, business processing outsourcing and textiles/clothing/footwear. where <strong>women form a major part of the workforce.</strong></li>
<li>The report suggests that 66% of Indian businesses are looking for <strong>quite a different set of skills among new recruits</strong> than they did three years ago. Even in the United States of America (61%), Brazil (70%) and Germany (65%) businesses are looking for quite different skills in new recruits</li>
<li>India has an<strong> unemployment crisis.</strong> Over and above that, India also has an<strong> employability crisis.</strong>
<ul style="list-style-type: circle;">
<li>Even when firms have jobs on offer, they are <strong>unable to find candidates with the right skills</strong> who can take on these jobs.</li>
</ul>
</li>
</ul>
<div class="border-bg">
<p><strong>Five global trends</strong> are shaping the way <strong>businesses across the world operate</strong></p>
<ul style="list-style-type: square;">
<li><strong>Technological Innovation</strong>
<ul style="list-style-type: circle;">
<li>Automation and digitisation is transforming how and where businesses operate, their workforces and skills requirements.</li>
<li>Technological innovations have the greatest overall impact on business. Technology is facilitating access to new markets, fostering opportunities for new digital business models, accelerating the development of new products and services, enabling new ways of working (such as virtual international teams and remote working), and expanding digital networks of suppliers and business partners.</li>
</ul>
</li>
<li><strong>Global Economic Integration</strong>
<ul style="list-style-type: circle;">
<li>Global economic integration is increasing the harmonisation of corporate global governance, tax/regulatory and business environments. At the same time, businesses are increasingly exposed to the global economy, and political uncertainty.</li>
<li>Emerging economies, which were once mainly the suppliers of low-cost goods, unprocessed natural resources or simple services are becoming hubs for capital, innovation and talent.</li>
</ul>
</li>
<li><strong>Demographic and Generational Shifts</strong>
<ul style="list-style-type: circle;">
<li>The shifting demographic dynamics and declining working-age population are expected to reshape the long-standing fundamentals of work, retirement and savings. Along with this, focus is also on how to take advantage of the youth dividend and its potential economic gains while managing pressures on labour markets and society.</li>
<li>The most significant change is the inclusion of women, who are entering employment at historic, record levels.</li>
</ul>
</li>
<li><strong>Climate change and sustainability</strong>
<ul style="list-style-type: circle;">
<li>Companies are increasingly pressured to become sustainable by considering the triple bottom line: financial sustainability, social impact and environmental impact.</li>
</ul>
</li>
<li><strong>Global shortage of skilled labour</strong>
<ul style="list-style-type: circle;">
<li>Shifts in knowledge, education and training often mean that the most suitably skilled employees are not found where jobs are located.</li>
<li>A lack of relevant skills for the world of work is already creating problems even at entry-level positions.</li>
<li>The majority of executives believe that matching the curriculum to the economy&rsquo;s needs and business playing an active role in shaping educational systems to boost skills would provide the skilled employees need.</li>
</ul>
</li>
</ul>
</div>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li>Firms across all regions are feeling an impact on all aspects of their business, from the strategic and operational to the organizational level, with the fastest-growing companies reporting heightened awareness.</li>
<li>As the pace of this change accelerates, <strong>policymakers, and businesses</strong> need to innovate, adjust and become more flexible in order to drive change and<strong> remain relevant in the rapidly changing business environment.</strong></li>
<li>These improvements can only be achieved by adequately <strong>managing and investing in capable human capital</strong>, generating the <strong>skills and capacity to understand</strong> and <strong>respond to the business needs of today and the future.</strong></li>
</ul>',
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		'article_id' => (int) 1658,
		'category_id' => (int) 28,
		'title' => 'Unemployment in India',
		'description' => '<p>The unemployment rate in India rose to 7.2 percent in February 2019, the highest since September 2016, and also up from 5.9 percent in February 2018, according to the latest data compiled by the Centre for Monitoring Indian Economy (CMIE).</p>
<h3>What is Unemployment?</h3>
<p>Unemployment occurs when a person who is actively searching for employment is unable to find work. Unemployment is often used as a measure of the health of the economy. The most frequent measure of unemployment is the unemployment rate, which is the number of unemployed people divided by the number of people in the labor force.</p>
<p><strong>National Sample Survey Organization (NSSO)</strong> defines employment and unemployment on the following activity statuses of an individual:</p>
<ul style="list-style-type: square;">
<li>Working (engaged in an economic activity) i.e. 'Employed'.</li>
<li>Seeking or available for work i.e. 'Unemployed'.</li>
<li>Neither seeking nor available for work.</li>
</ul>
<p>The first two constitutes labour force and unemployment rate is the percent of the labour force that is without work.</p>
<p>Unemployment rate = (Unemployed Workers / Total labour force) &times; 100</p>
<h3>Types of Unemployment in India</h3>
<ul style="list-style-type: square;">
<li><strong>Disguised Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>It is a phenomenon wherein more people are employed than actually needed.</li>
<li>It is primarily traced in the agricultural and the unorganised sectors of India.</li>
</ul>
</li>
<li><strong>Seasonal Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>It is an unemployment that occurs during certain seasons of the year.</li>
<li>Agricultural labourers in India rarely have work throughout the year.</li>
</ul>
</li>
<li><strong>Structural Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>It is a category of unemployment arising from the mismatch between the jobs available in the market and the skills of the available workers in the market.</li>
<li>Many people in India do not get job due to lack of requisite skills and due to poor education level, it becomes difficult to train them.</li>
</ul>
</li>
<li><strong>Cyclical Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>It is result of the business cycle, where unemployment rises during recessions and declines with economic growth.</li>
<li>Cyclical unemployment figures in India are negligible. It is a phenomenon that is mostly found in capitalist economies.</li>
</ul>
</li>
<li><strong>Technological Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>It is loss of jobs due to changes in technology.</li>
<li>In 2016, World Bank data predicted that the proportion of jobs threatened by automation in India is 69% year-on-year.</li>
</ul>
</li>
<li><strong>Frictional Unemployment:</strong>
<ul style="list-style-type: circle;">
<li>The Frictional Unemployment also called as Search Unemployment, refers to the time lag between the jobs when an individual is searching for a new job or is switching between the jobs.</li>
<li>In other words, an employee requires time for searching a new job or shifting from the existing to a new job, this inevitable time delay causes the frictional unemployment. It is often considered as a voluntary unemployment because it is not caused due to the shortage of job, but in fact, the workers themselves quit their jobs in search of better opportunities.</li>
</ul>
</li>
<li><strong>Vulnerable Employment:</strong>
<ul style="list-style-type: circle;">
<li>This means, people working informally, without proper job contracts and thus sans any legal protection. These persons are deemed &lsquo;unemployed&rsquo; since records of their work are never maintained.</li>
<li>It is one of the main types of unemployment in India.</li>
</ul>
</li>
</ul>
<div class="border-bg">
<p><strong>Related Terms</strong></p>
<ul style="list-style-type: square;">
<li><strong>Unemployment trap</strong> is a situation when unemployment benefits discourage the unemployed to go to work. People find the opportunity cost of going to work too high when one can simply enjoy the benefits by doing nothing.
<ul style="list-style-type: circle;">
<li><em>Description:</em> While the purpose of social security and welfare systems is to provide relief to the unemployed, they end up providing them with an incentive not to return to work. An unemployment trap arises when opportunity cost of going to work is higher than the income received, discouraging people from returning to work and being productive.</li>
</ul>
</li>
<li><strong>Harmonised unemployment rates</strong> define the unemployed as people of working age who are without work, are available for work, and have taken specific steps to find work. The uniform application of this definition results in estimates of unemployment rates that are more internationally comparable than estimates based on national definitions of unemployment.
<ul style="list-style-type: circle;">
<li>This indicator is measured in numbers of unemployed people as a percentage of the labour force and it is seasonally adjusted. The labour force is defined as the total number of unemployed people plus those in civilian employment.</li>
</ul>
</li>
</ul>
</div>
<h3>Measurement of Unemployment in India</h3>
<p>National Sample Survey Office (NSSO), an organization under Ministry of Statistics and Programme Implementation (MoSPI) measures unemployment in India on following approaches:</p>
<ul style="list-style-type: square;">
<li><strong>Usual Status Approach:</strong> This approach estimates only those persons as unemployed who had <strong>no gainful work for a major time during the 365 days</strong> preceding the date of survey.</li>
<li><strong>Weekly Status Approach:</strong> This approach records only those persons as unemployed who<strong> did not have gainful work even for an hour on any day of the week</strong> preceding the date of survey.</li>
<li><strong>Daily Status Approach:</strong> Under this approach, unemployment status of a person is measured for each day in a reference week. A person having <strong>no gainful work even for 1 hour in a day</strong> is described as unemployed for that day.</li>
</ul>
<p><strong>Unemployment stats</strong> (based on findings from CMIE&rsquo;s latest data):</p>
<ul style="list-style-type: square;">
<li>The unemployment rate in India rose to 7.2 percent in February 2019, the highest since September 2016, and up from 5.9 percent in February 2018.</li>
<li>The total number of employed persons in February 2019 is estimated at 400 million against 406 million in the year-ago period and 407.5 million employed in February 2017.</li>
<li>The labour participation rate fell from 43.2% in January 2019 to 42.7% in February 2019.
<ul style="list-style-type: circle;">
<li><strong>Labour Participation Rate</strong> defines that section of working population in the economy which is currently employed or seeking employment.</li>
</ul>
</li>
</ul>
<h3>Causes of Unemployment</h3>
<ul style="list-style-type: square;">
<li>Large population.</li>
<li>Low or no educational levels and vocational skills of working population.</li>
<li>Inadequate state support, legal complexities and low infrastructural, financial and market linkages to small/ cottage industries or small businesses, making such enterprises unviable with cost and compliance overruns.</li>
<li>Huge workforce associated with informal sector due to lack of required education/ skills, which is not captured in any employment data. For ex: domestic helpers, construction workers etc.</li>
<li><strong>The syllabus taught in schools and colleges, being not as per the current requirements of the industries.</strong> This is the main cause of structural unemployment.</li>
<li>Inadequate growth of infrastructure and<strong> low investments in manufacturing sector, hence restricting employment potential of secondary sector</strong>.</li>
<li><strong>Low productivity in agriculture sector combined with lack of alternative opportunities for agricultural worker which makes transition from primary to secondary and tertiary sectors difficult.</strong></li>
<li><strong>Regressive social norms</strong> that deter women from taking/continuing employment.</li>
</ul>
<h3>Impact</h3>
<ul style="list-style-type: square;">
<li>The problem of unemployment gives rise to the <strong>problem of poverty</strong>.</li>
<li>Young people after a long time of unemployment indulge in illegal and wrong activities for earning money. This also leads to <strong>increase in crime in the country</strong>.</li>
<li><strong>Unemployed persons can easily be enticed by antisocial elements.</strong> This makes them lose faith in democratic values of the country.</li>
<li>It is often seen that unemployed people end up getting addicted to drugs and alcohol or attempts suicide, leading losses to the <strong>human resources of the country</strong>.</li>
<li>It also affects <strong>economy</strong> of the country as the workforce that could have been gainfully employed to generate resources actually gets dependent on the remaining working population, thus <strong>escalating socioeconomic costs</strong> for the State. For instance, 1 percent increase in unemployment reduces the GDP by 2 percent</li>
</ul>
<h3>Steps Taken by Government</h3>
<ul style="list-style-type: square;">
<li><strong>Integrated Rural Development Programme (IRDP)</strong> was launched in 1980 to create full employment opportunities in rural areas.</li>
<li><strong>Training of Rural Youth for Self-Employment (TRYSEM):</strong> This scheme was started in 1979 with objective to help unemployed rural youth between the age of 18 and 35 years to acquire skills for self-employment. Priority was given to SC/ST Youth and Women.</li>
<li><strong>RSETI/RUDSETI:</strong> With the aim of mitigating the unemployment problem among the youth, a new initiative was tried jointly by Sri Dharmasthala Manjunatheshwara Educational Trust, Syndicate Bank and Canara Bank in 1982 which was the setting up of the &ldquo;RURAL DEVELOPMENT AND SELF EMPLOYMENT TRAINING INSTITUTE&rdquo; with its acronym RUDSETI near Dharmasthala in Karnataka. Rural Self Employment Training Institutes/ RSETIs are now managed by Banks with active co-operation from the Government of India and State Government.</li>
<li>By merging the two erstwhile wage employment programme &ndash; National Rural Employment programme (NREP) and Rural Landless Employment Guarantee Programme (RLEGP) the <strong>Jawahar Rozgar Yojana (JRY)</strong> was started with effect from April, 1, 1989 on 80:20 cost sharing basis between the centre and the States.</li>
<li><strong>Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA):</strong>
<ul style="list-style-type: circle;">
<li>It is an employment scheme that was launched in 2005 to provide social security by guaranteeing a minimum of 100 days paid work per year to all the families whose adult members opt for unskilled labour-intensive work.</li>
<li>This act provides Right to Work to people.</li>
</ul>
</li>
<li><strong>Pradhan Mantri Kaushal Vikas Yojana (PMKVY),</strong> launched in 2015 has an objective of enabling a large number of Indian youth to take up industry-relevant skill training that will help them in securing a better livelihood.</li>
<li><strong>Start Up India Scheme,</strong> launched in 2016 aims at developing an ecosystem that promotes and nurtures entrepreneurship across the country.</li>
<li><strong>Stand Up India Scheme,</strong> launched in 2016 aims to facilitate bank loans between Rs 10 lakh and Rs. 1 crore to at least one SC or ST borrower and at least one women borrower per bank branch for setting up a greenfield enterprise.</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li>There are number of labour intensive manufacturing sectors in India such as food processing, leather and footwear, wood manufacturers and furniture, textiles and apparel and garments. <strong>Special packages, individually designed for each industry are needed to create jobs.</strong></li>
<li><strong>Public investment in sectors like health, education, police and judiciary can create many government jobs.</strong></li>
<li><strong>Decentralisation of Industrial activities</strong> is necessary so that people of every region get employment.</li>
<li><strong>Development of the rural areas</strong> will help mitigate the migration of the rural people to the urban areas thus decreasing the pressure on the urban area jobs.</li>
<li>Entrepreneurs generate employments to many in a country; therefore <strong>government needs to encourage entrepreneurship among the youth</strong>.</li>
<li><strong>Concrete measures aimed at removing the social barriers for women&rsquo;s entry</strong> and their continuous participation in the job market is needed.</li>
<li>Government needs to keep a <strong>strict watch on the education system</strong> and should try to implement new ways to generate skilled labour force.</li>
<li>Effective implementation of present programs like Make in India, Skill India, Start up and Stand-Up India.</li>
<li>There is a need for <strong>National Employment Policy (NEP)</strong> that would encompass a set of multidimensional interventions covering a whole range of social and economic issues affecting many policy spheres and not just the areas of labour and employment. The policy would be a critical tool to contribute significantly to achieve the goals of the 2030 Agenda for Sustainable Development.</li>
<li>The underlying principles for the National Employment Policy may include
<ul style="list-style-type: circle;">
<li>enhancing human capital through skill development;</li>
<li>creating sufficient number of decent quality jobs for all citizens in the formal and informal sectors to absorb those who are available and willing to work;</li>
<li>strengthening social cohesion and equity in the labour market;</li>
<li>coherence and convergence in various initiatives taken by the government;</li>
<li>supporting the private sector to become the major investor in productive enterprises;</li>
<li>supporting self-employed persons by strengthening their capabilities to improve their earnings;</li>
<li>ensuring employees&rsquo; basic rights and developing an education training and skill development system aligned with the changing requirements of the labour market.</li>
</ul>
</li>
</ul>',
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	(int) 9 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1634,
		'category_id' => (int) 21,
		'title' => 'Gender Wage Gap',
		'description' => '<ul style="list-style-type: square;">
<li><strong>Oxfam India has recently released a report titled &lsquo;Mind the Gap: The State of Employment in India.&rsquo;</strong> The report assesses gender disparities and role of social identities such as caste and class in employment in India.</li>
</ul>
<h3>Highlights</h3>
<ul style="list-style-type: square;">
<li><strong>Pay level:</strong> In 2015, 92%of women and 82 % of men were earning a monthly wage less than Rs.10,000, far below the Seventh Central Pay Commission (2013) recommendation of Rs.18,000 per month.</li>
<li><a href="/daily-updates/daily-news-analysis/ilos-india-wage-report" target="_blank" rel="noopener"><strong>Wage Gap</strong></a>
<ul style="list-style-type: circle;">
<li>Women on an average are <strong>paid 34% less than similarly qualified male workers</strong> for performing same tasks.</li>
<li>Based on <strong>National Sample Survey Office (2011-12) estimates</strong>, in nominal terms, women earning a regular salary were paid, on an average, Rs.105 and Rs. 123 less than male workers daily in urban and rural settings, respectively; corresponding figures for casual workers were estimated at Rs.72 and Rs. 47 for urban and rural workers.</li>
</ul>
</li>
<li><strong>Over-representation of women in unpaid care work:</strong> The report pointed out that if unpaid care and household activities are included in the NSSO&rsquo;s definition of work, the <strong>Female Labour Force Participation Rate (FLFPR)</strong> in 2011-12 would rise from 20.5 % to 81.7%, more than that of men.</li>
<li><strong>Divergences in FLFPR:</strong>
<ul style="list-style-type: circle;">
<li><strong>Caste Factor:</strong> Muslim women are concentrated in household manufacturing, Schedule Caste (SCs) in construction and services such as waste collection while non-SCs generally work in education and health services.</li>
<li>Education sector accounts for over 1 in 7 urban women workers.</li>
<li><strong>75% of rural women remain engaged in agriculture, where they are relegated to low-wage roles such as weeding, threshing and paddy transplantation.</strong></li>
<li>Almost half (49.5%) of married women workers work in the same industry as their husbands.</li>
<li>There are more women workers in Southern and North-Eastern States, but number are still below international standards.</li>
</ul>
</li>
<li><strong>Causes behind<a href="/to-the-points/Paper2/inequality-in-india" target="_blank" rel="noopener"> inequality</a> in employment in India:</strong>
<ul style="list-style-type: circle;">
<li><strong>Lack of quality jobs and wage disparity </strong>are key reasons behind inequality in the Indian labour market.</li>
<li>The <strong>burden of unpaid care work, and the continuing prevalence of other regressive social norms</strong> are also factors behind women&rsquo;s low participation in the workforce.</li>
</ul>
</li>
</ul>
<h3>Recommendations</h3>
<ul style="list-style-type: circle;">
<li>Shifting development focus towards labour intensive sectors to create more jobs.</li>
<li><strong>Growth in jobs must be inclusive and new jobs need to be secure with better work conditions, including social security benefits and the right to organise.</strong></li>
<li>Substantially higher investments in health and education are required to improve productivity as these are the sectors which could be large employment generators in the future.</li>
</ul>
<div class="border-bg">
<p><strong>Oxfam India</strong></p>
<ul style="list-style-type: square;">
<li><strong>Oxfam India</strong> is an arm of<a href="/daily-updates/daily-news-analysis/oxfam-report-on-inequality" target="_blank" rel="noopener"> Oxfam</a> International that is registered as &lsquo;Non-profit&rsquo; under Section 8 of the Indian Companies Act, 2013. Its vision is to create an equal, just and sustainable society by empowering the underprivileged.</li>
</ul>
<p><strong>National Sample Survey Office (NSSO)</strong></p>
<ul style="list-style-type: square;">
<li>It is an office&nbsp;<strong>under Ministry of Statistics and Programme Implementation (MoSPI).</strong></li>
<li>It is responsible for conduct of large scale sample surveys in diverse fields such as social,economic,industrial etc, on All India basis.</li>
<li>It has four divisions:
<ul style="list-style-type: circle;">
<li><strong>Survey Design and Research Division (SDRD):</strong> This Division, located at Kolkata, is responsible for technical planning of surveys, formulation of concepts and definitions, sampling design, designing of inquiry schedules, drawing up of tabulation plan, analysis and presentation of survey results.</li>
<li><strong>Field Operations Division (FOD):</strong> The Division, with its headquarters at Delhi/Faridabad and a network of six Zonal Offices, 49 Regional Offices and 118 Sub-Regional Offices spread throughout the country, is responsible for the collection of primary data for the surveys undertaken by NSSO.</li>
<li><strong>Data Processing Division (DPD):</strong> The Division, with its headquarters at Kolkata and 6 other Data Processing Centers at various places, is responsible for sample selection, software development, processing, validation and tabulation of the data collected through surveys.</li>
<li><strong>Co-ordination &amp; Publication Division (CPD):</strong> This Division, located at New Delhi, coordinates all the activities of different Divisions of NSSO. It also brings out the bi-annual journal of NSSO, titled &ldquo;Sarvekshana&rdquo;, and organizes National Seminars on the results of various Socio-economic surveys undertaken by NSSO.</li>
</ul>
</li>
</ul>
</div>',
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	(int) 10 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1633,
		'category_id' => (int) 28,
		'title' => 'Globalization 4.0',
		'description' => '<h3>Why in News</h3>
<ul style="list-style-type: square;">
<li>Globalization 4.0 was the theme for <strong>World Economic Forum Annual Meeting 2019</strong> held in Davos, Switzerland in January 2019.</li>
<li>Under the rubric of <strong>Globalization 4.0,</strong> a series of <strong>"Global Dialogues"</strong> in Davos focused on the interrelated areas namely geopolitics, future of global economy, global dialogue on industry systems etc.</li>
</ul>
<h3>Globalization 4.0</h3>
<ul style="list-style-type: square;">
<li>Globalization is a phenomenon <strong>driven by technology</strong> and the movement of ideas, people, and goods.</li>
<li>Globalization 4.0 is latest stage of globalization which involves cutting-edge new technologies like artificial intelligence that powers forward with the explosion of information technology.</li>
<li>These technologies shrink distances, open up borders and minds and bring people all across the globe closer together.</li>
</ul>
<div class="border-bg">
<p><strong>Timeline: Earlier Waves of Globalization</strong></p>
<ul style="list-style-type: square;">
<li><strong>Globalization 1.0</strong>
<ul style="list-style-type: circle;">
<li>It was pre-World War I globalization, which was launched by a historic drop in trade costs.</li>
<li>This globalization came with almost no government support.</li>
<li>There was no global governance.</li>
</ul>
</li>
<li><strong>Globalization 2.0</strong>
<ul style="list-style-type: circle;">
<li>It is the post-World War II phase where trade in goods was combined with complimentary domestic policies.</li>
<li>The market was in charge of efficiency while the government was in charge of justice.</li>
<li>It saw the establishment of institute-based, rule-based international governance, specifically the UN, IMF, World Bank, GATT/WTO, International Labor Organization etc.</li>
</ul>
</li>
<li><strong>Globalization 3.0</strong>
<ul style="list-style-type: circle;">
<li>It created a new world of manufacturing in which high-tech was combined with low wages.</li>
<li>This was achieved through establishment of global supply chains as factories crossed international borders.</li>
<li>It was variously called New Globalization, Hyper globalization, Global value chain evolution.</li>
</ul>
</li>
</ul>
</div>
<h3>Characteristics of 4.0</h3>
<ul style="list-style-type: square;">
<li><strong>Major turbulence for Service Sector:</strong> While Globalization 1.0, 2.0 and 3.0 were mainly a concern of people who made/manufactured products for a living (since globalization focused on things that we made), Globalization 4.0 is going to hit people in the service sector.</li>
<li><strong>Closely integrated with Industry 4.0:</strong> Ever-faster data connection speeds and new artificial intelligence tools like machine translation, big data are opening up services jobs in rich countries like architecture, accounting, and web design to competition from practitioners in emerging economies.</li>
<li><strong>Newer modes of Migration:</strong> Due to faster data connection as well as nature of work which may involve no physical presence there may be a global tele-migration in which the skilled migrants never have to leave home.</li>
</ul>
<div class="border-bg">
<p><strong>Industry 4.0</strong></p>
<ul style="list-style-type: square;">
<li>Building on the foundation given by the Third Industrial Revolution, Fourth Industrial Revolution (Industry 4.0) is moving from an electronic based industry to a process which is the combination of human beings and electronics.</li>
<li>It includes cyber-physical systems, the Internet of things, big data analytics, cloud computing, cognitive computing, artificial intelligence, 3-D printing, and autonomous vehicles etc.</li>
</ul>
</div>
<h3>Challenges of Globalization 4.0</h3>
<ul style="list-style-type: square;">
<li><strong>Political crisis and Global level conflict:</strong> Globalization 4.0 could, like preceding waves of globalization, have mixed results e.g. even though countries are globally connected political crisis and global level conflict have also increased.</li>
<li><strong>Economic exclusion:</strong> Economic opportunities will be uncertain, many may not have the skills needed for the jobs of the future. If countries and communities are not fully prepared for Globalization 4.0, problems may exacerbate.</li>
<li><strong>Income Inequality:</strong> Negative effects of globalization have a disproportionate impact on already marginalized populations. Globalization 4.0 may increase income inequality even if it can create more wealth.</li>
<li><strong>Human Resource:</strong> Countries like India, if do not step up to meet the skill requirements of globalisation 4.0, may already be staring at demographic disaster, given its huge population and low employment generation.</li>
<li><strong>Unintended consequences:</strong> Globalization 4.0 in conjunction with Industry 4.0 will produce many unintended consequences which may not be foreseeable for now and for which world is vastly unprepared the ethical, legal, environmental concerns are yet to be seen for which no framework has been laid out.</li>
<li><strong>Infrastructural challenges:</strong> Apart from skilling, India also needs to set up required infrastructure and technology to harness the advantages of globalization 4.0.</li>
<li><strong>Challenges for Developing countries:</strong>
<ul style="list-style-type: circle;">
<li>The European continent, North America and some Asian countries have been able to take advantage of the industrial revolution and globalization, while many African, Latin American and some Asian countries failed to benefit as much.</li>
<li>Globalization 4.0 will create additional challenges many African and Asian nations which were already excluded from the benefits of earlier waves of globalization.</li>
</ul>
</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li><strong>Invest in strengthening local and regional economies:</strong> We should proactively build resilient local and regional systems that can participate in the next wave of globalization, making sure regions have the right mix of education, employment and infrastructure to create and sustain jobs locally.</li>
<li><strong>Prioritizing sustainability and Inclusiveness:</strong> The need of the hour is to design a blueprint from the ground up that can capitalize on new opportunities while prioritizing sustainability and inclusiveness more than ever before.</li>
<li><strong>Focus on the most vulnerable populations:</strong> Global and local institutions need to advance both universal and targeted strategies to improve outcomes for everyone ensuring vulnerable population is not left out.</li>
<li><strong>Stop climate change:</strong> The challenges of Globalization 4.0 will be compounded if resources that could be put towards strengthening local economies and education are diverted to mitigate climate change. Thus climate change needs to be dealt at global level.</li>
<li><strong>Promote Innovation in educational institution and education curriculum:</strong>
<ul style="list-style-type: circle;">
<li>By 2022, at least 54% of employees globally will require re- and up-skilling.</li>
<li>Not only do we need to support people in getting the training they need for jobs in the next five years, but we need to prepare young students with the skills to adapt to the types of jobs we will need in the next 20 years.</li>
<li>New Zealand is implementing a national technology curriculum to teach students to be digital creators, as well as consumers.</li>
</ul>
</li>
<li><strong>Engagement and imagination:</strong> The task of dealing with challenges of Globalization 4.0 requires two things of the international community: wider engagement, participation and heightened imagination.</li>
</ul>',
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	(int) 11 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1469,
		'category_id' => (int) 21,
		'title' => 'SHREYAS Scheme',
		'description' => '<p>Recently the <strong>Ministry of Human Resource Development</strong> has launched the <strong>&ldquo;Scheme for Higher Education Youth in Apprenticeship and Skills (SHREYAS)&rdquo;.</strong></p>
<ul style="list-style-type: square;">
<li>The objective of scheme is to provide&nbsp;<strong>industry apprenticeship opportunities</strong> to the general graduates exiting in April 2019 through the <strong>National Apprenticeship Promotion Scheme (NAPS)</strong></li>
<li>It aims to <strong>enhance the employability of Indian youth</strong> by providing <strong>&lsquo;on the job work exposure&rsquo;</strong> and earning of stipend.</li>
<li>The scheme is for students in <strong>degree courses, primarily non-technical</strong>, to introduce employable skills into their learning, promote apprenticeship as integral to education.</li>
<li>SHREYAS portal will enable educational institutions and industry to log in and provide their respective demand and supply of apprenticeship. The matching of students with apprenticeship avenues will take place as per pre-specified eligibility criteria.</li>
<li>These courses will be available to them from Academic year April-May, 2019. More than 40 higher educational institutions have already been tied up for taking up embedded apprenticeship courses.</li>
<li>The scheme would be operationalised by coordination of <strong>Ministry of Skills Development and Entrepreneurship (MSDE) and the Ministry of Labour.</strong></li>
</ul>
<div class="border-bg">
<p><strong>National Apprenticeship Promotion Scheme (NAPS)</strong></p>
<ul style="list-style-type: square;">
<li>National Apprenticeship Promotion Scheme (NAPS) was launched on<strong>19<sup>th</sup> August 2016</strong> to promote apprenticeship training and increase the engagement of apprentices.</li>
<li>NAPS has replaced <strong>Apprentice Protsahan Yojna (APY).</strong></li>
<li>The scheme has the following <strong>two components:</strong>
<ul style="list-style-type: circle;">
<li><strong>Reimbursement of 25% of prescribed stipend</strong> subject to a maximum of Rs. 1500/- per month per apprentice by the Government of India to all employers who engage apprentices.</li>
<li><strong>Reimbursement of cost of basic training</strong> ( upto a limit of Rs. 7500/- for a maximum of 500 hours/3 months) by the Government of India to Basic Training Providers (BTPs) in respect of apprentices who come directly for apprenticeship training without any formal training</li>
</ul>
</li>
</ul>
</div>
<h3>Objectives of the Scheme</h3>
<ul style="list-style-type: square;">
<li>To <strong>improve employability of students</strong> by introducing employment relevance into the learning process of the higher education system</li>
<li>To forge a <strong>close functional link between education and industry/service sectors</strong> on a sustainable basis.</li>
<li>To provide <strong>skills which are in demand,</strong> to the students in a dynamic manner.</li>
<li>To establish an <strong>&lsquo;earn while you learn&rsquo; system</strong> into higher education.</li>
<li>To help business/industry in securing<strong> good quality manpower.</strong></li>
<li>To link student community with employment facilitating efforts of the Government.</li>
</ul>
<h3>Stakeholders</h3>
<ul style="list-style-type: square;">
<li><strong>Institutions:</strong> The higher education institutions would explain the scheme along with various options to the students who are in the final year, and elicit their interest in participation.</li>
<li><strong>Sector Skill Councils (SSCs):</strong> SSCs would identify industries for apprenticeship, and would also conduct assessment leading to certification. Whereas the certification is not a guarantee for placement, it is expected to vastly enhance a candidate&rsquo;s choice of securing employment.</li>
</ul>
<div class="border-bg">
<p><strong>Sector Skill Councils</strong></p>
<ul style="list-style-type: square;">
<li>Sector Skill Councils are set up <strong>as autonomous industry-led bodies by&nbsp;National Skill Development Corporation (NSDC)</strong>, which are responsible for the defining the skilling needs, concept, processes, certification, and accreditation of their respective industry sectors in accordance with National Skill Qualification Framework.</li>
<li>They create Occupational Standards and Qualification bodies, develop competency framework, conduct Train the Trainer Programs, conduct skill gap studies and Assess and Certify trainees on the curriculum aligned to National Occupational Standards developed by them.</li>
</ul>
</div>
<ul style="list-style-type: square;">
<li><strong>Ministry of Skills Development and Entrepreneurship (MSDE):</strong> MSDE would not only monitor the programme, progress of the apprentices, but would finance the programme by disbursing the claims from the business enterprises towards stipend reimbursement as per the NAPS.
<ul style="list-style-type: circle;">
<li>The ongoing efforts of the SSCs would be monitored by MSDE, which would also periodically introduce new SSCs into the SHREYAS fold. The entire programme would progress with dynamic interface &amp; information sharing between MHRD and MSDE.</li>
</ul>
</li>
</ul>',
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	(int) 12 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1413,
		'category_id' => (int) 21,
		'title' => 'Women’s Livelihood Bond',
		'description' => '<p>The<strong> World Bank, UN Women (a United Nations entity dedicated to gender equality and empowerment of women), and Small Industries Development Bank of India (SIDBI)</strong> have come together to launch a five-year tenor <strong>women&rsquo;s livelihood bond (WLB).</strong></p>
<ul style="list-style-type: square;">
<li>The proceeds from these social impact bonds will be used to help rural women in the country&rsquo;s poorest States to set up or scale up their own enterprises.</li>
<li>WLB&rsquo;s will be unsecured and unlisted.</li>
</ul>
<div class="border-bg">
<p><strong>Unsecured and Unlisted Bonds</strong></p>
<ul style="list-style-type: square;">
<li><strong>Unlisted Securities:</strong> Unlisted securities are shares, bonds or any other securities that are not traded on a stock exchange but through the over-the-counter (OTC) market.</li>
<li><strong>Unsecured Bonds:</strong> Unsecured bonds, also called debentures, are not backed by any collateral, or mortgages on real estate. Instead, the issuer promises that they will be repaid. This promise is frequently called "full faith and credit."</li>
</ul>
<p><strong>Social Impact Bond</strong></p>
<ul style="list-style-type: square;">
<li>A<strong> social impact bond (SIB) is a contract with the public sector or governing authority,</strong> whereby <strong>it pays for better social outcomes in certain areas</strong> and passes on the part of the savings achieved to investors.</li>
<li>A social impact bond is not a bond, per se, since repayment and return on investment depend upon the achievement of desired social outcomes;<strong> if the objectives are not achieved, investors receive neither a return nor repayment of principal.</strong></li>
</ul>
</div>
<p></p>
<ul style="list-style-type: square;">
<li>The bonds will be placed with leading wealth managers and corporates in the country on a private placement basis.</li>
<li>The return on these bonds will be 3% per annum.</li>
<li><strong>SIDBI</strong> has also put together its own <strong>₹1,000 crore social-impact fund &lsquo;Prayaas&rsquo; for providing funding support to women entrepreneurs.</strong></li>
<li>The proposed bond will enable individual women entrepreneurs in sectors like food processing, agriculture, services, and small units to borrow around Rs 50,000 to Rs 3 lakh at an annual interest rate of around 13%-14% or less.</li>
<li><strong>SIDBI will act as the financial intermediary</strong> and channel funds raised to women entrepreneurs through participating financial intermediaries like banks, NBFCs or microfinance institutions.</li>
</ul>',
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	(int) 13 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1412,
		'category_id' => (int) 21,
		'title' => 'Khadi Gramodyog Vikas Yojana',
		'description' => '<p>The Cabinet Committee on Economic Affairs has approved the following:</p>
<ul style="list-style-type: square;">
<li>8 different schemes of Khadi &amp; Village Industries are now merged under two heads i.e. 'Khadi Vikas Yojana' and 'Gramodyog Vikas Yojana':
<ul style="list-style-type: circle;">
<li><strong>Khadi Vikas Yojana</strong> includes Market Promotion &amp; Development Assistance (MPDA), Interest Subsidy Eligibility Certificate (ISEC), Workshed, Strengthening Weak Infra, Aam Aadmi Bima Yojana, Khadi Grant.</li>
<li><strong>Gramodyog Vikas Yojanaa</strong> [Village Industries Grant].</li>
</ul>
</li>
<li>To bring in a new component of<strong> 'Rozgar Yukt Gaon'</strong> to introduce enterprise-based operation in the Khadi sector and to create employment opportunities.</li>
</ul>
<div class="border-bg">
<p><strong>MPDA</strong></p>
<ul style="list-style-type: square;">
<li>The <strong>Market Promotion and Development Assistance Scheme (MPDA)</strong> was launched as a unified scheme by merging different schemes implemented by the Khadi sector including publicity, marketing, market promotion, and marketing development assistance.</li>
<li>Grant/subsidy was also provided for construction of Khadi plazas. The overall objective of the scheme is to ensure increased earnings for artisans.</li>
</ul>
<p><strong>Interest Subsidy Eligibility Certificate</strong></p>
<ul style="list-style-type: square;">
<li>Interest Subsidy Eligibility Certificate Scheme was <strong>launched in May 1977</strong> to help Khadi and Polyvastra producing institutions in <strong>mobilizing the capital funds from banking institutions.</strong></li>
<li>Under the Scheme,<strong> implementing agencies can avail of bank loan as per the ISEC issued by the KVIC on payment of only 4 percent of interest</strong> and <strong>difference</strong> between the actual interest charged by the bank and 4 percent<strong> is borne by KVIC as interest subsidy.</strong></li>
</ul>
</div>
<h3>Rozgar Yukt Gaon</h3>
<ul style="list-style-type: square;">
<li><strong>Rozgar Yukta Gaon (RYG)</strong> aims at introducing an<strong> 'Enterprise-led Business Model' in place of 'Subsidy-led model'</strong> through a partnership among 3 stakeholders- Khadi Reform and Development Programme (KRDP)-assisted Khadi Institution, Artisans and Business Partner.</li>
<li>It will be <strong>rolled out in 50 Villages by providing 10,000 Charkhas, 2000 looms &amp; 100 warping units</strong> to Khadi artisans, and would create direct employment for 250 Artisans per village.</li>
</ul>',
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	(int) 14 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1397,
		'category_id' => (int) 22,
		'title' => 'Is the Unemployment Crisis for Real?',
		'description' => '<div class="border">
<p>(The editorial is based on the article &ldquo;Is the unemployment crisis for real?&rdquo; which appeared in The Hindu for 15th February 2019. In this article we will see how to not let the brewing unemployment crisis turn into a calamity.)</p>
</div>
<p><strong>National Sample Survey Office (NSSO) latest </strong><g class="gr_ gr_157 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="157" data-gr-id="157">labour</g><strong> force survey suggests that unemployment rose to an all-time high of 6.1% last year. This is a very worrying trend.</strong></p>
<p>The jobs situation in India does not reflect a crisis yet, but this unemployment rate is a matter of serious concern. A crisis is understood as an emergency that demands immediate attention, without which we could see a calamity of sorts. <strong>Though there is no immediate calamity of any kind on hand, there is a deeply insidious problem at work in the form of shrinking employment opportunities, shrinking formal jobs, and a shrinking </strong><g class="gr_ gr_141 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="141" data-gr-id="141">labour</g><strong> force.</strong></p>
<p>A populous and demographically young country like India has a lot to gain if the expanding working-age population can join the <g class="gr_ gr_115 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="115" data-gr-id="115">labour</g> force and be provided with gainful employment. More hands at work can ensure greater prosperity and relatively evenly spread growth.</p>
<h3>Concerns</h3>
<ul style="list-style-type: square;">
<li><strong>If India cannot provide employment to its growing working-age population, it does not just miss a chance to become a prosperous country but also risks becoming an unmanageable or unruly country.</strong></li>
<li>Unemployed youth, beyond a threshold, can lose hope of a job and can easily stray into becoming antisocial elements.</li>
<li><strong>Statistics give us clues about the brewing problem and its insidious nature.</strong> First, we are in the midst of a serious investments deficit. The impact of this fall in investments is visible in shrinking jobs.</li>
<li>This fall in jobs is not translating into a proportionate rise in unemployment. But it is showing up in a fall in the <g class="gr_ gr_147 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="147" data-gr-id="147">labour</g> participation rate. A rise in unemployment is bad, but a fall in the <g class="gr_ gr_148 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="148" data-gr-id="148">labour</g> participation rate is worse.</li>
<li><strong>With education comes the expectation of a &lsquo;better&rsquo; job.</strong> Those who can afford education also tend to be in a position to wait for a job that meets their requirements.</li>
<li><strong>The data show that unemployment is higher among the educated, and lower among those with less financial means and education.</strong></li>
<li>The <strong>urgent crisis confronting the economy, then, is underemployment.</strong>
<ul style="list-style-type: circle;">
<li><strong>Underemployment occurs when workers are unable to find employment that makes use of their qualifications and skills.</strong> For instance, an engineer might be working in a mechanic shop.</li>
<li><strong>Underemployment and/or refers to the sharing of low-productivity work,</strong> as is common in agriculture, for example. Or picture a 16-year-old who spends his mornings selling just enough coconuts to make the bare minimum to survive. And these are just examples of visible underemployment.</li>
</ul>
</li>
<li><strong>Persistent underemployment also contributes to the decline in </strong><g class="gr_ gr_118 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="118" data-gr-id="118">labour</g><strong> force participation rates.</strong> As people grow frustrated with their inability to find a good job, they may stop looking for work and drop out of the <g class="gr_ gr_121 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="121" data-gr-id="121">labour</g> force altogether.</li>
<li>Both underemployment and this form of discouragement are a significant loss of productive potential.</li>
</ul>
<p><strong>There also an argument saying what India has is a wage problem.</strong></p>
<ul style="list-style-type: square;">
<li>Wage problem is when there is no or very less increase in wages.</li>
<li><strong>The furor around the unemployment issue is ill-founded.</strong> Most of the analysis is based on incomplete representations of the <g class="gr_ gr_126 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="126" data-gr-id="126">labour</g> market. The recent surveys that profess <g class="gr_ gr_127 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="127" data-gr-id="127">spiralling</g> unemployment are either unverifiable or heavily skewed by sampling biases.</li>
<li>This narrative raises questions on the political motivations behind these surveys that may intend to change the perception of India&rsquo;s growth trajectory, nationally and globally.</li>
<li>This problem can only be solved by creating higher-quality jobs to meet aspirations.</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li><strong>India has been creating formal jobs in large numbers.</strong> Further, deliberations based on other proxy databases like vehicle sales, the annual reports of the IT department, and MUDRA loan disbursals help ascertain jobs in large job-creating markets like transport, the professional sector, and small-scale entrepreneurship, respectively. This provides us with a robust methodology of ascertaining employment.</li>
<li><strong>There is a need to improve the quality of jobs by improving productivity in agriculture and in enterprises.</strong></li>
<li>The government should align education, technical and vocational education and training to market demand and make enduring and <strong>long-term investments in human capital through good-quality education, skills, and on-the-job training, as well as in basic social protection.</strong></li>
<li><strong>Need to improve our </strong><g class="gr_ gr_123 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="123" data-gr-id="123">labour</g><strong> market information system.</strong> This way, emerging demand for skills are spotted quickly and the necessary training and certifications for the same are created quickly.</li>
<li>This calls for an agile public-private partnership in capturing demand for skills and following through with quick investments in skill-building to match demand with supply.</li>
<li><strong>A related requirement:</strong> jobs and skills planning need not be centralized in New Delhi; it has to be done at the state and district levels, where there is granular information on education, skills <g class="gr_ gr_213 gr-alert gr_gramm gr_inline_cards gr_run_anim Punctuation only-ins replaceWithoutSep" id="213" data-gr-id="213">and</g> job options. Jobs and skill commissions are best created at the state and district levels, with Delhi only providing the guidelines, the tech infrastructure and funding for them.</li>
<li><strong>Another need of the hour is </strong><g class="gr_ gr_104 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="104" data-gr-id="104">labour</g><strong> market reforms.</strong> Some good moves have been seen over the last few years, with the Apprentices Act being modified to make it more attractive for employers to hire young workers and the extension of fixed-term <g class="gr_ gr_105 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="105" data-gr-id="105">labour</g> contracts from textiles to all industries in the last budget.</li>
<li><strong>Key to employment growth is not the big company or factory that employs thousands of workers, but medium-scale units.</strong> The enterprises-to-jobs multiple is highest for medium-scale units. India needs to nurture and expand its equivalent of the German Mittelstand(Mittelstand commonly refers to small and medium-sized enterprises in German-speaking countries, especially in Germany, Austria, and Switzerland. This can&rsquo;t happen without deep changes to <g class="gr_ gr_151 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="151" data-gr-id="151">labour</g> laws and access to credit.</li>
<li><strong>Smart urbanization is key.</strong> The link between good urbanization and jobs growth is positive, and unless India&rsquo;s urbanization is concentrated in narrower areas and serviced by good infrastructure, job creation will be sub-optimal. Governance in urban areas is decentralized and empowered. Currently, urban development is centralized at the state level, and mayorships are merely ceremonial titles.</li>
<li><strong>Finally, there is a large scope for more employment expansion in government&mdash;but of the right kind.</strong></li>
<li>Despite the general assumption that government is too bloated, the reality is that governments&mdash;at central, state and local levels&mdash;have a low capacity to employ more people due to their tendency to spend state budgets on freebies (deeply subsidized food, farm loan waivers, etc.) instead of public goods (good policing and legal systems, good schools and hospitals).</li>
<li><strong>Once this spending pattern changes, even governments will employ more people. It is an observed fact that as economies move from basic poverty levels to middle and higher income levels, the size of government grows&mdash;and so will employment.</strong></li>
</ul>',
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	(int) 15 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1340,
		'category_id' => (int) 21,
		'title' => 'India’s First Career Portal',
		'description' => '<p>The <strong>Rajasthan government</strong> launched <strong>India&rsquo;s first &ldquo;career portal&rdquo;</strong> to address the needs of <strong>secondary and higher secondary students (from class 9th to 12th)</strong> for information on <strong>scholarships and career choices.</strong></p>
<ul style="list-style-type: square;">
<li>The portal launched with the <strong>support of United Nations International Children's Emergency Fund (UNICEF)</strong> is expected to help the students take <strong>&ldquo;informed decisions&rdquo;</strong> about their <strong>academic and professional pursuits.</strong></li>
<li>By enabling the students to choose their career path matching with their aspirations, interest, inclination and aptitude, the portal would reduce dropouts at various stages in schools and improve retention in jobs.</li>
<li>The portal was <strong>developed by UNICEF</strong> after an assessment of needs, awareness and perspective of students, teachers and system functionaries.</li>
<li>It will provide <strong>information</strong> on 200 vocational and 237 professional careers, 455 employment avenues, 960 scholarships, 955 competitive examinations and 10,000 institutions of higher education to the students from Classes IX to XII.</li>
</ul>
<h3>Why Rajasthan?</h3>
<ul style="list-style-type: square;">
<li>UNICEF had selected Rajasthan for launching the portal because of its <strong>track record in employment-oriented education.</strong></li>
<li>Most of the boys and girls in the State were <strong>keen to join the workforce as soon as they finished Class X or XII</strong>. Besides, the assessment revealed a substantial progress in terms of <strong>gender equality among the students.</strong></li>
<li>According to the assessment conducted by UNICEF, <strong>two largest sources of career information</strong> for students are<strong> teachers and family members.</strong> About 69% of students mentioned that they were using Internet for their career-related queries, which indicates that the <strong>adolescents will quickly learn to use the career portal.</strong></li>
<li>The establishment of<strong> Rajiv Gandhi Career Counselling Cell</strong> for adolescents and youths was also announced. The cell will link school and college students with skill development programmes and internship opportunities in the pursuit of their career choices.</li>
</ul>
<div class="border-bg">
<p><strong>United Nations International Children's Emergency Fund (UNICEF)</strong></p>
<ul style="list-style-type: square;">
<li>The United Nations International Children's Emergency Fund was created by the<strong> United Nations General Assembly in 1946,</strong> to provide emergency food and healthcare to children in countries that had been <strong>devastated by World War II.</strong></li>
<li>In <strong>1950, its mandate was broadened</strong> to address the long-term needs of children and women in developing countries everywhere. UNICEF became a <strong>permanent part of the United Nations system in 1953.</strong></li>
<li>UNICEF is <strong>headquartered in New York, USA.</strong></li>
</ul>
</div>',
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	(int) 16 => object(Cake\ORM\Entity) {

		'article_id' => (int) 1287,
		'category_id' => (int) 22,
		'title' => 'How to Boost Women’s Workforce Participation',
		'description' => '<div class="border">
<p>(The editorial is based on the article &ldquo;How to Boost Women&rsquo;s Workforce Participation&rdquo; which appeared in Businessline for 27th January 2019. In this editorial, we&rsquo;ll discuss the gaps in female work participation in India and see some best practices on how women across the world are being incentivized for work.)</p>
</div>
<p><strong>There has been much </strong><g class="gr_ gr_105 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="105" data-gr-id="105">clamour</g><strong> over the fall in Female Labour Force Participation Rates (FLPRs) in recent years.</strong></p>
<ul style="list-style-type: square;">
<li><strong>The data from the Labour Bureau indicate that the FLPR for ages 15 and above has declined from 30% in 2011-12 to 27.4% in 2015-16.</strong></li>
<li>Additionally, estimates suggest that not only has there been a fall in FLPR, but the size of the total female <g class="gr_ gr_86 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="86" data-gr-id="86">labour</g> force has also shrunk from 136.25 million in 2013-14 to about 124.38 million in 2015-16, a drop of 11.86 million in two years.</li>
<li><strong>If the ILO projections are any indication, the FLPR is slated to fall to 24% by 2030 which will certainly detract India from achieving SDG 5 (sustainable development goal number 5) &mdash; eliminating gender inequalities by 2030.<img class="content-img" src="http://www.drishtiias.com/images/uploads/843drishti_ias_working women.jpg" style="float: right; border-width: 5px; margin: 5px;" width="402" height="226" caption="false" /></strong></li>
</ul>
<p>In recent years, <strong>government policies</strong> were aimed at addressing the falling FLPR have mainly focussed on launching employment programmes with special provisions to incentivize female employment such as:</p>
<ul style="list-style-type: square;">
<li>MGNREGA; Micro Units Development and Refinance Agency (MUDRA);</li>
<li><strong>Launching special skill training programmes; and heavy investment in programmes that support the education of the girl child.</strong></li>
<li>Working Women Hostels for ensuring safe accommodation for working women away from their place of residence.</li>
<li>Support to Training and Employment Program for Women (STEP) to ensure sustainable employment and income generation for marginalized and asset-less rural and urban poor women across the country.</li>
<li>Rashtriya Mahila Kosh (RMK) to provide microfinance services to bring about the socio-economic upliftment of poor women.</li>
<li>National Mission for Empowerment of Women (NMEW) to strengthen the overall processes that promote all-round Development of Women</li>
<li><a href="/infographics/info-paper2/the-maternity-benefit-amendment-act-2017" target="_blank" rel="noopener">Maternity Benefit (Amendment) Act, 2017</a></li>
</ul>
<p>The Skills Report, a joint initiative of Wheebox, a Talent Assessment Company, PeopleStrong, an HR Tech Company and Confederation of Indian Industry (CII) said that the employable population has touched 47 percent this time. <strong>The increase in employability touching 47% is a good sign for the market. But we have a long way to go an entire ecosystem should focus on bridging the employability gaps.</strong></p>
<ul style="list-style-type: square;">
<li>Not much attention has been given to address the underlying social norms that compel women to be primary caregivers and disproportionately place the burden of care responsibilities on women.
<ul style="list-style-type: circle;">
<li><strong>According to the NSSO</strong>, the proportion of women engaged primarily in domestic duties has only increased between 2004-05 and 2011-12 from 35.3% to 42.2% in rural areas and from 45.6% to 48% in urban areas.</li>
</ul>
</li>
<li>There are two important considerations that warrant the attention of policymakers.
<ul style="list-style-type: circle;">
<li>The amendment to Maternity Benefit Act has inserted an additional section that provides for the crèche facility in every establishment having 50 or more workers. The threshold for applicability of the provision related to is high and should be reduced.</li>
<li><strong>The law perpetuates gender stereotypes to the extent that it recognizes that child care is just the mother&rsquo;s responsibility by not giving male employees an equal benefit to visiting their child during the day. All of these limitations must be looked into.</strong></li>
</ul>
</li>
<li>With respect to the unorganized sector, there is a need to ensure the implementation of the National Creche Scheme that targets the provision of child-care facilities to unorganized sector women workers.</li>
<li><strong>A recent report suggests that reductions in the Centre&rsquo;s contribution from 90 percent to 60 percent in 2017</strong> have resulted in delayed and non-existent payments from the States prompting many cr&egrave;ches to shut down across the country.</li>
</ul>
<h3>Way Forward</h3>
<ul style="list-style-type: square;">
<li>One thrust area in which government support can have direct implications for reducing the time burden on women is child-care support.</li>
<li><strong>Child-care subsidies free up mothers&rsquo; time to enter the </strong><g class="gr_ gr_73 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling multiReplace" id="73" data-gr-id="73">labour</g><strong> force and have had significant implications in impacting female employment.</strong></li>
<li>A study has found that implementation of free child-care services in Rio de Janeiro, Brazil, almost doubled the employment rate of mothers (who were not working prior to receiving this benefit) from 9 percent to 17 percent.</li>
<li>Additionally, child-care subsidies can also have positive spillover effects on the education of young girls for they no longer have to be left behind to take care of their younger siblings.</li>
<li>Further, in the backdrop of the gradual breakdown of traditional family arrangements of child care, a community-based approach to the provision of child-care services can be looked into.
<ul style="list-style-type: circle;">
<li>The Second National Commission on Labour, 2002 cited the &lsquo;<g class="gr_ gr_70 gr-alert gr_spell gr_inline_cards gr_run_anim ContextualSpelling" id="70" data-gr-id="70">praveshdwar</g> home-based childcare programme&rsquo; of the Government of Nepal as an excellent example of community-based child care which catered to the children aged 0-3 years and was run by mothers themselves.</li>
<li>Mothers often formed groups of six and took turns to look after children at their homes.</li>
</ul>
</li>
<li><strong>The government can also work towards making reflective programmes on gender equality in secondary education compulsory that challenge the traditional dynamics that dictate the duties of the woman to be a &lsquo;caregiver&rsquo; and man to be a &lsquo;breadwinner&rsquo;.</strong></li>
<li>Care responsibilities are often a barrier for women in realizing their workforce participation aspirations; therefore, programmes to boost female employment without any arrangement for reducing the care responsibilities of women will only increase their burden.</li>
<li><strong>Social norms are alterable, and broader economic trends and government policies are what really matter. Initiatives such as Skill India, Make in India, and new gender-based quotas &mdash; from corporate boards to the police force &mdash; can spur a positive change.</strong></li>
<li>The state governments should also make policies for the participation of rural women in permanent salaried jobs.</li>
</ul>
<p>Today, Indian women are poised to take part in a rapidly expanding economy. The government&rsquo;s strategy to address the time burden barrier to female participation will certainly be a proactive stance.</p>',
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		'article_id' => (int) 1263,
		'category_id' => (int) 21,
		'title' => 'Future of Work: ILO',
		'description' => '<p>Recently <span style="font-weight: 400;">International Labour Organization (ILO)&rsquo;s</span> Global Commission on the Future of Work has published <strong>Future of work</strong> report 2019 titled " <strong>Work for a brighter future</strong>".</p>
<ul style="list-style-type: square;">
<li>The report calls on governments to take steps to address the challenges caused by unprecedented transformations going on in the world of work.</li>
</ul>
<h3>Key Findings</h3>
<ul style="list-style-type: square;">
<li>According to ILO, Globally <strong>190 million people are unemployed</strong>, while <strong>300 million workers live in extreme poverty</strong>. At the same time wage gaps are growing at a time of declining wage growth.</li>
<li>Technological advances &ndash; <strong>artificial intelligence, automation and robotics</strong> &ndash; will create new jobs, but those who lose their jobs in this transition may be the least equipped to seize the new opportunities.</li>
<li><strong>Adopting sustainable practices with clean technologies</strong> will create millions of jobs but other jobs will disappear as countries scale back their carbon- and resource-intensive industries.For example:
<ul style="list-style-type: circle;">
<li><strong>Implementing the Paris Climate Agenda</strong> could create 24 million new jobs, but it could still be brutal to the 6 million workers expected to lose their jobs in the transition to a greener economy.</li>
</ul>
</li>
<li><strong>Changes in demographics</strong> are significant as expanding youth populations in some parts of the world and ageing populations in others may place pressure on labour markets and social security systems, yet in these shifts lie new possibilities to afford care and inclusive, active societies.</li>
<li>The future of work requires a <strong>strong and responsive social protection system</strong> based on the principles of solidarity and risk sharing, which supports people&rsquo;s needs over the life cycle</li>
<li>There is an urgent need to seize the opportunities presented by these transformative changes to create a brighter future and deliver economic security, equal opportunity and social justice &ndash; and ultimately reinforce the fabric of our societies.</li>
</ul>
<h3>Recommendations</h3>
<ul style="list-style-type: square;">
<li>A <strong>universal labour guarantee</strong> that protects fundamental workers' rights, an adequate living wage, limits on hours of work and safe and healthy workplaces.</li>
<li><strong>Guaranteed social protection</strong> from birth to old age that supports people's needs over the life cycle.</li>
<li>A <strong>universal entitlement to lifelong learning</strong> that enables people to skill, reskill and upskill.</li>
<li><strong>Managing technological change to boost decent work</strong>, including an international governance system for digital labour platforms.</li>
<li>Greater investments in the care, green and rural economies.</li>
<li>Development of the <strong>rural economy, where the future of many the world&rsquo;s workers lies</strong>, should become a priority.</li>
<li>A transformative and measurable agenda for <strong>gender equality</strong>.</li>
<li>Reshaping business incentives to <strong>encourage long-term investments</strong>.</li>
<li>Place people at the centre of economic and social policy.</li>
<li><strong>International governance system</strong> be set up to <strong>police the gig economy, and ensure that &lsquo;digital labour platforms&rsquo;</strong> such as Uber and Swiggy respect certain minimum rights and protections.</li>
</ul>
<div class="border-bg">
<p><strong>International Labour Organization</strong></p>
<ul style="list-style-type: square;">
<li>The <strong>International Labour Organization (ILO) was founded in 1919</strong> to promote social justice and thereby contribute to universal and lasting peace.</li>
<li>The ILO is responsible for drawing up and overseeing international labour standards.</li>
<li>It is the <strong>only tripartite United Nations agency that brings together representatives of governments, employers and workers</strong> to jointly shape policies and programmes promoting decent work for all.</li>
</ul>
<p><strong>Gig Economy</strong></p>
<ul style="list-style-type: square;">
<li>A gig economy is a free market system in which temporary positions are common and organizations contract with independent workers for short-term engagements.</li>
</ul>
</div>',
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		'article_id' => (int) 1268,
		'category_id' => (int) 21,
		'title' => 'World Economic Situation and Prospects (WESP) 2019: UN',
		'description' => '<p>According to the <strong>UN's World Economic Situation and Prospects (WESP) 2019</strong>, India will continue to <strong>remain the world's fastest-growing large economy</strong> in 2019 as well as in 2020.</p>
<h3>Findings</h3>
<p><strong>India</strong></p>
<ul style="list-style-type: square;">
<li>India's economy is expected to grow at <strong>7.4% during 2018-19,</strong> <strong>7.6% in 2019-20,</strong> and<strong> 7.4% in 2020-21.</strong>
<ul style="list-style-type: circle;">
<li>The reasons for high growth projections are<strong> robust private consumption</strong>, a <strong>more expansionary fiscal stance</strong> and <strong>benefits from previous reforms. </strong></li>
<li>However, for a sustained and a more robust growth, <strong>sustained recovery of private investment</strong> remains a crucial challenge.</li>
</ul>
</li>
<li>Other major challenge is the <strong>job creation rates in the formal sector</strong>, leaving<strong> many workers underemployed or in low-salary jobs.</strong> <strong>Strengthening labour market</strong> indicators is a crucial aspect to forge a more inclusive development trajectory.</li>
<li><strong>Female labour force participation</strong> remains<strong> low and is declining.</strong></li>
<li>Earlier,<a href="/daily-updates/daily-news-analysis/important-facts-for-prelims-22nd-january-2019" target="_blank" rel="noopener"><strong> International Monetary Fund (IMF) too had projected</strong> </a>India&rsquo;s GDP to expand 7.5% in FY20 and 7.7% in FY21.</li>
</ul>
<p><strong>Global</strong></p>
<ul style="list-style-type: square;">
<li>Global growth is expected to remain at 3% in 2019 and 2020.</li>
<li>The global economy is facing number of risks, which include an escalation of trade disputes, an abrupt tightening of global financial conditions, and intensifying climate risks.</li>
</ul>
<div class="border-bg">
<p><strong>World Economic Situation and Prospects</strong></p>
<ul style="list-style-type: square;">
<li>WESP is a joint product of the United Nations Department of Economic and Social Affairs (UN/DESA), the United Nations Conference on Trade and Development (UNCTAD) and the five United Nations regional commissions (Africa, Europe, Latin America and the Caribbean, Asia and the Pacific, and Western Asia).</li>
</ul>
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		'article_id' => (int) 1236,
		'category_id' => (int) 21,
		'title' => 'Mohan Reddy Committee Recommendations Accepted',
		'description' => '<p>All India Council for Technical Education (AICTE) has accepted the recommendations of the committee headed by <strong>BVR Mohan Reddy.</strong></p>
<ul style="list-style-type: square;">
<li>The committee was set up to provide <strong>Short and Medium Term Perspectives for Engineering Education.</strong></li>
</ul>
<h3>Committee Recommendations</h3>
<ul style="list-style-type: square;">
<li><strong>No new engineering institutes</strong> should be allowed to set up<strong> from 2020.</strong></li>
<li>Concessions should be made for applications already in the pipeline.</li>
<li>Only requests from existing engineering institutes to either<strong> start programmes in new technologies or convert current capacity in traditional engineering disciplines to emerging new technologies like artificial intelligence or robotics</strong> should be entertained.</li>
<li>Creation of <strong>new capacity in colleges should be reviewed</strong> every two years.</li>
<li>Committee found that the <strong>current capacity utilization in traditional disciplines is just 40% as opposed to 60% seat occupancy in branches such as computer science and engineering, aerospace engineering and mechatronics.</strong>
<ul style="list-style-type: circle;">
<li>The committee had urged the AICTE to <strong>introduce undergraduate engineering programmes</strong> in emerging technologies like <strong>artificial intelligence, the blockchain, robotics, quantum computing, data sciences, cybersecurity, 3D printing, and design.</strong></li>
</ul>
</li>
<li>The committee found that the<strong> innovation, incubation, and start-up ecosystem is lacking in educational Institutions</strong>. Thus, every education Institution should be mandated for the following:
<ul style="list-style-type: circle;">
<li><strong>Entrepreneurship should be a minor elective for Undergraduates.</strong></li>
<li>Tinkering Laboratories similar to<strong> Atal Innovation Laboratories</strong> to be in every educational Institution.</li>
<li>Educational Institutions need to set up<strong> incubation centers, mentoring clubs,</strong> and accelerator programs.</li>
</ul>
</li>
<li>As for approving additional seats in existing institutions, the committee has suggested that the AICTE should only give <strong>approvals based on the capacity utilization of concerned institute.</strong></li>
</ul>
<h3>Background</h3>
<ul style="list-style-type: square;">
<li>Over the last couple of decades primarily in the post-liberalization phase,<strong> India faced the challenge of meeting the fast-growing demand of skilled workforce</strong> emanating from various key sectors of the economy.</li>
<li>Since the requirement could have been met only through<strong> widening the infrastructural base of the education sector by increasing the number of specialized technical institutions,</strong> the country went into institution overdrive.</li>
<li>The <strong>government took the lead by setting up several technical institutions.</strong> The policy continued unabated for about two decades, without any meaningful appraisal or evaluation of institutions being established, <strong>resulting in mushrooming of engineering institutions.</strong></li>
<li>In 2003, the <strong>UR Rao committee</strong> had warned of the rise in the number of engineering colleges and <strong>suggested that a five-year moratorium on approving undergraduate technical institutions</strong> be put in force in states where the annual student intake exceeded the national average of 150 per million population.</li>
<li>A 2017 study by<strong> Aspiring Minds</strong> found that <strong>95% of engineering graduates were unemployable for the software industry, which accounts for the bulk of engineering jobs.</strong></li>
<li>In December 2017, an<strong> investigation by The Indian Express</strong> has found there were <strong>no takers for 51% of the 15.5 lakh B.E/B.Tech seats in almost 3,200 engineering colleges</strong> in 2016-17.</li>
<li>The investigation found glaring<strong> gaps in regulation</strong>, including alleged <strong>corruption</strong>; a vicious circle of<strong> poor infrastructure,</strong> labs, and faculty;<strong> non-existent linkages with industry</strong> and the<strong> absence of a technology ecosystem</strong> to nurture the classroom. All this led to <strong>low employability of graduates.</strong></li>
</ul>',
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