Where are the jobs? What happened to Modi’s promise of 1 crore jobs annually. It has been a tough year for jobs creation and some 1.5 million jobs were lost during January-April 2017, according to the Centre for Monitoring Indian Economy.
Sectoral division of employment suggests that banks were seen to employ highest number of employees in FY17, roughly around 21 percent. Top 5 sectors with highest number of employment are banks, IT, mining, healthcare and textiles, collectively accounting for nearly 60 percent of the total employment.
Eleven sectors having more than 1 lakh employees account for nearly 80 percent of the total employment. Out of 31 sectors, 13 sectors registered increase in employment in terms of growth such as retailing (47.89 percent), healthcare (12.46 percent), plastic products (8.30 percent), IT (6.66 percent) and electrical (5.74 percent) in FY16 while in FY17.
As many as 16 sectors recorded positive growth in the employment, the highest being in electrical (14.85 percent), finance (11.24 percent) and trading (6.53 percent). 10 sectors witnessed growth in employment in both the years FY16 and FY17 such as retail, textile, healthcare, banks, electricals, IT, logistics, plastic products, chemicals and non-ferrous metal products.
Best growing sectors
Contrary to that, 12 sectors recorded negative growth in employment in FY16 as well as in FY17. FMCG, media & entertainment and paper exhibited fall in employment in FY17 after increasing in FY16. On the other hand, crude oil, infrastructure, trading, automobile & ancillaries, finance and hospitality, which had recorded negative growth in employment in FY16, witnessed growth in FY17.
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The employment growth in FY16, is dragged down by decline in employment in automobile and ancillaries, mining, power and finance while in FY17, the negative employment growth has emanated from reduction in employment especially in the mining, telecom and power sector.