Latest official estimates show that the job creation in the organised sector witnessed sharp fall during April-June 2017 quarter due to significant job losses in manufacturing.
The number of jobs created, which were 1,85,000 in January-March 2017 declined by around 65% to 64,000 in April-June 2017.
The Labour Bureau conducts an establishment-based job survey in eight sectors – manufacturing, construction, trade, transport, education, health, accommodation and restaurants and information technology.
These sectors constitute 81% of the total number of factories in the country employing at least ten workers.
In April-June 2017, job losses in manufacturing sector were 87,000. Contrary to this, 1,02,000 new jobs were created in the quarter prior to it i.e. January-March 2017.
In the transport sector, 3,000 job losses were reported in April-June, compared to 3,000 jobs created in January-March.
A huge difference was seen in both, Trade and IT and BPO sectors.
While trade witnessed 7,000 new jobs being created in April-June, against 29,000 in the previous quarter, the number of new jobs in the IT and BPO sector stood were 2,000, compared to 13,000 in the previous quarter.
There was a decline of 23,000 in the number of casual workers – those earning daily wages – in April-June.
The decline was slower than the drop of 53,000 in the previous quarter and 152,000 in October-December 2016.
On the other hand, there was a decline of 64,000 in the number of contract workers in the same quarter.
The decline was more than the fall of 48,000 in the same quarter a year ago.
Credit: The Wire