India is one of the fastest-growing countries in the world. On the contrary, India is experiencing a devastating rise in unemployment. Especially in recent years 2019-20. Unemployment not only has increased in urban areas but also in rural areas. Unemployment could seriously damage the country’s growth if not controlled in time.
Based on the data from the Centre for Monitoring Indian Economy (CMIE), India’s unemployment rate has increased to 7.14% in the week ending July 25. Due to the coronavirus crisis, many companies have laid off their employees. A significant amount of people have lost their jobs.
In fact, this is the first time many companies have laid off their employees because of low revenue and not enough sales. Mainly retail stores have been impacted very seriously. As a result, the country has witnessed a rapid rise in its unemployment rate.
However, as the vaccination rate is increasing day by day and everything is getting back to the previous situation. India can see a gradual growth in the economy. But that mainly depends on the vaccination rate. India is making full efforts to improve the vaccination rate. It could take some significant time for everyone to get vaccinated.
As the 2nd wave coronavirus crisis gradually drops, the country is hoping for a better growth rate in terms of its employment rate and economic growth rate.
If you observe the real-time data, the rate of unemployment has decreased in July compared to the previous three months. This could be a sample that things will eventually be getting better. During the crisis, unemployment has increased both in urban and rural areas. But now slowly India is hoping for better things.
Since the beginning of July the unemployment in rural areas has stayed below 9% and at the national level remained under 8%. The progress of vaccination and reopening of economic activities is the main result of that growth. This increased the employment rate as the companies started recruiting.
After the covid second wave, the company’s again starting their activities and getting ready to meet the ongoing demand in the country. Based on reports, many big companies in India are looking to mass hire. Every company in the country is looking forward to getting into the same position as before the coronavirus crisis.
So there is a high chance that salaried employees will increase in the upcoming months. At the same time, the government is also taking new initiatives in improving the employment rate. In some states, governments are conducting special training for unemployed people.
As of now, we can say that there is still a lack of decent jobs for the people. Till now many factors were out of anyone’s control like the Covid crisis, lockdown and natural disasters. But moving forward, the government will make its full efforts in bringing down the unemployment rate significantly.
Government initiatives like women’s employment, training facilities in both rural and urban areas, and awareness among people about opportunities all could add a great boost for the increase in employment.
