Union Budget 2021: Investment focus on infrastructure, manufacturing to create job opportunities, say HR experts

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February 01, 2021 7:02 PM

Union Budget 2021: Further, the announcement of social security benefits to gig workers and platform workers and the proposed setting up of a portal to collect information on gig workers will create the right impetus for remote and flexible work, they said.

Union Budget 2021The government on Monday said social security benefits will be extended to platform and gig workers.

The schemes and outlays proposed by the government in the Budget for core sectors like manufacturing and infrastructure will benefit these segments especially with improved job creation opportunities, HR experts said.

Further, the announcement of social security benefits to gig workers and platform workers and the proposed setting up of a portal to collect information on gig workers will create the right impetus for remote and flexible work, they said.

“Given the schemes and outlays the government has proposed in the budget for the core sectors – manufacturing and infrastructure, these sectors should see a boost in jobs being created by them,” said Rituparna Chakraborty, Co-Founder & Executive Vice President, TeamLease Services.

In fact, the plan to set up a professionally managed Development Financial Institution and to allocate Rs 20,000 crore towards capitalising it will not only create employment opportunities, but it will also have a positive impact on consumer spending, which had taken a beating due to the pandemic, Chakraborty noted.

The government on Monday said social security benefits will be extended to platform and gig workers.

Presenting the Union Budget for 2021-22, Finance Minister Nirmala Sitharaman said the government also proposed setting up of a portal to collect information on gig-workers, building and construction workers, among others.

“The extension of social security benefits, for the first time, globally to this class of workforce will create the right impetus for remote and flexible work. This will undoubtedly boost employment across the four corners of the country, assure about 3 million contractual workers during uncertain economic cycles, and place India firmly as a global talent hub,” said Paul Dupuis, MD and CEO, Randstad India.

One of the biggest steps that will strengthen the ‘human capital’ pillar under Aatmanirbhar Bharat is reskilling and training. The apprentice programme and collaboration with globally accredited institutions will build niche expertise, which will be on par with the global world of work, Dupuis added.

According to Roopank Chaudhary, Partner, Chief Commercial Officer India & South Asia, Performance & Rewards, Aon, “A larger percentage of organizations in India plan on increasing the amount of work given to gig workers in the next 2-5 years and this could be an important enabling factor in the relationship between employers and gig workers”.

“In a time of unprecedented economic stress, overall the budget seems like a balanced one however it is disappointing to see that sectors like aviation, hospitality & tourism which needed a lot more sops to pull them out of the dumps seem to be ignored,” said Joseph Devasia, Managing Director, Antal International India.

Devasia, however, noted that investment focus on infrastructure, including roads, highways, shipping and Healthcare, Agriculture, Power etc will benefit these sectors, especially with improved job creation opportunities.

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