Slack in economy deepens jobs crisis, 35 lakh unemployed in only one sector

New Delhi, Nov 20 (HS): The Indian economy is getting sluggish quarter-by-quarter, in such a situation the prospects of jobs are also getting bleak. To save costs, companies are taking out senior and middle-level employees and employing more and more freshers. Since 2014, 35 lakh people have lost their jobs in the manufacturing sector.

Data shows that unemployment has been at a record level in the past years and the increase in GDP has not provided much relief on the jobs front. There is a crisis in millions of jobs due to sluggishness in the economy. IT companies, auto companies, banks are all taking cost-cutting measures. There is an atmosphere of fear among the employees that the situation may become worse. Major IT companies have either announced layoffs or are preparing to do so. Most of its head is falling on the middle or senior-level employees.

There is a crisis on the job of 40 lakh employees of middle to senior level in the IT sector. Companies are emphasizing the recruitment of fresher because they have to pay very little salary. IT company Cognizant has announced the removal of 7,000 employees. Capgemini has fired 500 employees.

The condition of the auto sector is very bad for the last one year. Due to this, in May to July 2019, 2 lakh jobs in the auto sector have been scissored. Not only this, the sword is still hanging on 10 lakh jobs in this sector. Maruti Suzuki has laid off 3,000 temporary workers. Nissan is also preparing to take out 1,700 employees. Mahindra & Mahindra has laid off 1,500 employees since April. Toyota Kirloskar has given VRS to 6,500 employees.

According to the All India Manufacturers Organization (AIMO), since 2014, over 35 lakh jobs have been run in manufacturing itself. The condition of the telecom sector has also been deteriorating for the past several years. BSNL, a disastrous state-run company, has so far shown 75,000 people under the VRS scheme.

This year many state-run banks have been merged. Due to this, the number of employees has come down significantly. The number of employees of 9 public banks has been cut by 11,000. The maximum number of 6,789 employees have been laid off from the State Bank of India. Punjab National Bank has laid off 4,087 employees.

There is no definite way of calculating jobs, so it is not possible to guess how deep this crisis is. Only formal sector jobs can be estimated from government data. For this, employment data obtained from EPFO, ESIC, NPS is taken. These figures are sometimes conflicting.

Apart from this, 81 percent of people in India get employment in the informal sector. Therefore, it is almost impossible to get a proper idea of ​​jobs. According to Employees State Insurance Corporation (ESIC) data, 83,35,680 jobs created between September 17 and March 2018, 1,49,62,642 jobs between April 18 and March 19 and 64,52,017 jobs between April 19 and August 2019.

Similarly, according to the Employees Provident Fund Organization (EPFO), 15,52,940 jobs have been created between September 17 and March 2018, 61,12,223 jobs between April 18 and March 19 and 42,27,109 jobs between April 19 and August 2019.