There has been a net addition of over 12.44 lakh new jobs in the month of October.
The latest payroll data has shown that there has been a net addition of over 12.44 lakh new jobs in the month of October. The new jobs have seen a rise from 12.23 lakh new jobs in the previous month, going by the data released by Employees’ State Insurance Corporation (ESIC). While CMIE shows that the unemployment rate in the urban areas has touched a level of 9.3 per cent, the report published by the Ministry of Statistics and Programme Implementation says that nearly 1.5 crore new subscribers were added in this financial year. However, the present report said that it gives different perspectives on the levels of employment in the formal sector and does not measure employment at a holistic level.
The MOSPI report also underlined that the numbers of subscribers are from various sources, thus there are elements of overlap and the estimates are not additive. This report is based on the payroll data of new subscribers of various social security schemes run by ESIC, retirement fund body EPFO and the Pension Fund Regulatory and Development Authority (PFRDA).
Meanwhile, the CMIE unemployment data shows that the unemployment rate in October stood at 8.45 per cent, compared to 7.16 per cent in September 2019. Rural unemployment sharply increased in the month of October 8.26 per cent from 6 per cent, a month ago.
Amid a high unemployment rate and a slowing economy, the government had recently announced a slew of measures to add momentum to the economy as well as generate new jobs in the country. With the government’s initiative of capacity addition in fields such as the steel industry, the generation of new jobs are likely to catch the pace. The government is also aiming at the formalisation of the informal economy that will add to the current number of jobs and will help to increase the standard of living.