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LATEST NEWS UPDATES | Quality gigs, a solution to urban unemployment -Vineet John Samuel

Quality gigs, a solution to urban unemployment -Vineet John Samuel

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published Published on Jan 5, 2021   modified Modified on Jan 5, 2021

-The Hindu

With no urban equivalent to the NREGA as yet, there must be a focus on supporting new forms of employment

With the Indian economy gradually finding its feet after a historic contraction of negative 23.9% in the April-June quarter, economic commentators have busied themselves with debating the need for fiscal expansion and the viability of a “V-shaped recovery”. These debates, however, have shifted focus away from the employment question, considered resolved after a sharp rally following the collapse in employment numbers in April. More recent data from the Centre for Monitoring Indian Economy (https://bit.ly/3hEnl7Z), however, point to a gradual slowdown in employment recovery from the month of July, with the latest numbers pointing to a sharp rise in the national unemployment rate from 6.51% in November to 9.06% for the month of December.

NREGA outlay

For labour flocking back to rural India, employment support came in the form of an increased outlay for the National Rural Employment Guarantee Scheme (NREGA), which witnessed a 243% increase in person workdays. This increased dependency on NREGA, has seen the Rural Development Ministry spend nearly 90% of its increased 86,4000 crore allocation by the month of November, while still being unable to fulfil demands for nearly 13% of the 75 million households that demanded work.

In several Indian cities however, shuttered businesses have meant that millions of workers have either had to leave or have had to take up new forms of work, with some finding the burgeoning gig economy to be their only source of employment. It is here that the Fairwork Foundation’s annual review of platform labour gains prominence.

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The Hindu, 5 January, 2021, https://www.thehindu.com/opinion/op-ed/quality-gigs-a-solution-to-urban-unemployment/article33496055.ece?homepage=true


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