Unemployment in India: Skilling, Automation and the Future of Jobs
Updated: May 15
Authored by: Jitendra Bisht & Arunav Chetia
Over the last couple of decades, the Indian economy has been on a sustained high growth path. This has led to positive economic outcomes for a significant share of the country’s population. However, this period of sustained high growth has seen stagnant job creation and low absorption of labour into the economy, leading to persistent unemployment. This is at a time when more than half of the country’s population is between the working age of 15-59 years, referred to as India’s demographic dividend. While job creation has been plagued by long-standing structural issues, one of the key components of low absorption of labour is the lack of skilled, or what is sometimes called ‘industry-ready’ labour in the country.
Skill development schemes have tried to answer this skill gap, but how effective can they be with industrial automation now in the fray? This paper explores the nature of unemployment in India and analyses the performance of skill development schemes in improving employability in the context of automation.
Read the paper here.