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LATEST NEWS UPDATES | Number Theory: Protests over railway jobs are a grim reminder of the state of India’s job market -Abhishek Jha and Roshan Kishore

Number Theory: Protests over railway jobs are a grim reminder of the state of India’s job market -Abhishek Jha and Roshan Kishore

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published Published on Jan 28, 2022   modified Modified on Jan 29, 2022

-Hindustan Times

The protests over problems with recruitment for railway jobs in the states of Bihar and Uttar Pradesh, may well be India’s first large-scale unemployment riots

The protests over problems with recruitment for railway jobs in the states of Bihar and Uttar Pradesh, may well be India’s first large-scale unemployment riots. The protests have taken place across a large number of places in these two states. News reports suggest that at least 10 million applicants were hoping to get the roughly 40,000 jobs which were on offer. The politics on the protests notwithstanding – opposition parties have attacked the ruling Bharatiya Janata Party (BJP) over both the issue and police’s handling of it – they ought to be treated as a bellwether for the socio-economic unrest which India’s job markets can generate. Here are four charts which put this in perspective.

India has among the worst labour market outcomes for young people

An international comparison of some of India’s peers and neighbours using World Bank data shows that India has among the worst labour market outcomes for the young (the 15-24-year-old population). This can be seen in persistence of high youth unemployment rates despite a very low labour force participation rate (LPFR) among this cohort. LPFR is defined as the share of economically active population – either working or looking for a job – in the given age group. This number was just 27.1% for the 15-24-year-old population in India, which is significantly lower than other countries. Despite such a low LFPR, youth unemployment rate is among the highest in India. Unemployment rate is defined as the share of unemployed persons in the labour force. A time-series analysis shows that things have become worse on this front in India in the last 15 years.

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Hindustan Times, 28 January, 2022, https://www.hindustantimes.com/india-news/protests-over-railway-jobs-are-a-grim-reminder-of-the-state-of-india-s-job-market-101643308438421.html


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