Born in a farming family in rural Bihar, Uttam Kumar dreamt of getting a job, living in a city and improving the quality of life for his family. He studied civil engineering in Bhopal with whatever little money his impoverished father could raise for him. Despite the degree and three years of searching, he finds himself without a job.
According to the India Employment Report 2024, jointly released by the International Labour Organization (ILO) and the Institute of Human Development (IHD), the share of youths in the total unemployed population in 2022 was nearly 83%. Educated youth-with secondary-level or higher education-accounted for 65.7% of this population, up from 54.2% in 2000. Herein lies the irony.
Between 2014 and 2022, the Indian economy grew at a compound annual growth rate (CAGR) of 5.6%. A group of 14 other major developing economies saw an average CAGR of 3.8% during the same period. However, the youth of the country, who form the largest base of the population, seem to have been largely left out in this growth story. The report identifies those in the age bracket of 15 to 29 years as youth.
Chief economic adviser (CEA) to the government of India V. Anantha Nageswaran said it is incorrect to think that government can solve all social and economic problems such as unemployment. “In the normal world, it is the commercial sector that needs to do the hiring,” he said after the report was released.
However, it might not be easy for the government to get away with evasive statements, considering that some of its major policy decisions have been held responsible for the worsening employment statistics.
