A core group of officials drawn from multiple government departments and ministries will work towards integrating efforts to deal with the imperative of employment generation. This would be done by way of streamlining efforts and integration data sets, which are “currently existing in silos”, a statement from the Ministry of Labour and Employment said on Friday.
The inter-ministerial meeting comes close on the heels of the announcement made in Budget 2024-25 about three employment-linked incentive (ELI) schemes for two years and an internship programme in partnership with India Inc for five years.
Union Minister for Labour and Employment Mansukh Mandaviya, who chaired an inter-ministerial meeting on employment data on Friday, said there is a need to integrate multiple data sources on employment generation existing across various departments and ministries of the government “to develop a system that captures a holistic picture of employment generation.
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“There is a need to create linkages among different employment data sources, assimilating and integrating them to develop a system that captures a holistic picture of employment generation in the country,” Mandaviya said.
He noted that the “employment data currently exist in silos” and various ministries and departments are implementing numerous schemes and projects that lead to huge employment generation, but there is no centralised database for employment.
Mandaviya also stressed on the need to prepare the youth with adequate skill sets and professional qualifications to match the industry’s demands. He also urged industry bodies to identify young people and offer them internship opportunities, to help them secure jobs and join the government’s efforts.
Terming the Budget as “youth and employment centric”, Mandaviya also discussed the Employment Linked Incentive (ELI) package announced in the meeting. Minister of Commerce and Industry Piyush Goyal and Labour Secretary Sumita Dawra were present in the meeting, which saw participation of officials from 19 departments and ministries. Representatives from industry bodies like the Federation of Indian Chambers of Commerce & Industry (FICCI) and the Confederation of Indian Industry (CII) also took part in the meeting.
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Schemes under the Prime Minister’s Package for Employment and Skilling have received a Budget outlay of Rs 2 lakh crore spread over the next few years. With only eight months remaining in the ongoing financial year 2024-25, the schemes have been allocated Rs 12,000 crore for this year, out of which Rs 10,000 crore has been allocated to Ministry of Labour and Employment for the three ELI schemes and Rs 2,000 crore has been given to the Ministry of Corporate Affairs for the internship programme.
At present, there are various datasets regarding employment from different ministries. The Ministry of Statistics and Programme Implementation (MoSPI) comes out with Periodic Labour Force Survey (PLFS), while payroll data is released by Employees’ Provident Fund Organisation (EPFO).
Enrolment in the EPFO, which comes under the Ministry of Labour and Employment, will form the basis of the three ELI schemes, which will focus on recognition of first-time employees, workers in manufacturing, and additional job creation.
Inadequate employment generation and loss of jobs in the informal sector was also flagged in the Economic Survey for 2023-24 that was tabled in Parliament on Monday.
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According to the PLFS, more than 45 per cent of the workforce is employed in agriculture, 11.4 per cent in manufacturing, 28.9 per cent in services, and 13.0 per cent is in construction. The Survey had pointed out that the predominance of agriculture in providing employment to nearly half of the population, especially females, is both a challenge and an opportunity.