Question: “While we ﬂaunt India’s demographic dividend, we ignore the dropping rates of employability.” What are we missing while doing so? Where will the jobs that India desperately needs come from? Explain.
Answer: India has highest growth prospects among developing countries due to its young population. Young population is expected to drive next level growth of Indian economy but there are major issues that act as impediments. The largest and most serious among them is unemployment.
Issues in current scenario
While education levels in population have increased, skills have not. Educational standards focus on theoretical knowledge more and graduates are devoid of skills after they complete education. It is necessary that job oriented skills are inculcated.
- Infrastructure deficiency
While entrepreneur skills are desired and promoted, there is widespread deficiency of required infrastructure to support new ventures. The need for license, permissions, and time consuming efforts discourage new ventures. New privatisation reforms have helped upto certain extent but a lot is still desired.
Ex: Tax issues, labour issues, electricity and water issues etc.
Jobs prospects for future
- IT driven services
IT driven service sector has been the largest addition to job development in recent times. These include food delivery, product delivery, service delivery etc. They act as bridge between customers and service providers, for increasing their customer base.
- Agriculture and allied sectors
Agriculture sector promotes largest number of people especially in rural areas. The productivity and contribution of agriculture in recent times has suffered. Turning primary agriculture into food processing plants can drive next generation of development in rural areas. Technological support to agriculture will be additional boost.
Ex: Food parks for processing potatoes.
- Technology driven
Technology driven jobs can support next generation of individuals. The expertise with technology allows them to learn skills faster. These will rapidly expand into full scale employment sector in future.
Ex: YouTube content developer, drone manufacturer, robotics, freelance software developer.
- Large-scale manufacturing
Large scale manufacturing in India is currently restricted to unorganised and underutilized jobs where productivity is very low. High manufacturing jobs such as electronics, defence equipments, precision products can drive demand and growth for jobs.
Ex: Mobile parts manufacturing, assault rifle production.
Thus, employment as a issue needs more attention in order to achieve higher economic growth. Demographic dividend can be reaped only if structural changes are initiated.