Has Narendra Modi been successful in creating jobs for millions of young people and is his claim that he has improved the job scenario in India true?

Since the Bharatiya Janata Party (BJP) government, led by Prime Minister Narendra Modi, took office in 2014, there have been numerous discussions and debates regarding the impact of their policies on job creation in India. Various reports and data suggest that these policies have had a marked negative impact, leading to increased unemployment and economic stagnation in sectors where jobs are crucial.

The BJP's Job Creation Promise and Its Reality

One of the key promises made during the 2014 Lok Sabha elections by the BJP was to create 2 crore jobs annually. However, this has not materialized as expected. Instead, countless reports and surveys reveal that the number of job losses in various sectors, particularly in the information technology (IT) and business process outsourcing (BPO) industries, have been substantial. Widespread layoffs and downsizings have become a regular occurrence, affecting millions of workers across the country.

The IT and BPO Sector Struggles

Major players in the IT and BPO sectors, such as Wipro, Infosys, TCS, and HDFC, have been forced to implement drastic cost-cutting measures, inevitably leading to job cuts. For instance, TCS workers in Lucknow, who had been with the company for a remarkable 33 years, were recently informed of their impending departure from the city. Such turnarounds are not isolated incidents but rather a reflection of broader organizational restructuring efforts aimed at cost reduction.

Government Sectors and Job Losses

While the private sector struggles, government sectors too have seen significant layoffs. The education sector, for example, has witnessed the termination of 172,000 shikshamitra positions (primary school teachers) across various states. This massive loss of jobs not only affects these individuals but also exacerbates the ongoing unemployment crisis. The combination of job losses in both the private and public sectors paints a grim picture of the current job scenario in India.

Economic Performance vs. Job Growth

Despite the growing GDP, a closer look reveals a disturbing trend of jobless growth. The GDP growth rate of 7% is not translating into corresponding job creation. In fact, the recent job creation figures have been abysmal, with the government only managing to create 1.55 lakh and 2.31 lakh jobs in 2015 and 2016 respectively, far below the 10 lakh jobs created in 2009 during the Manmohan Singh government.

The Unemployment Crisis

According to data from the Labour Bureau, the job market in India has been in a state of decline. The 10 million youth entering the job market every year face significant challenges, with the government failing to address the issue adequately. Even with the increasing number of graduates being produced by India's 700 universities and 35,000 colleges, the job creation figures remain dismally low. This situation is particularly worrying as it starkly highlights a stark mismatch between the workforce and available job opportunities.

Okuns Law and the Future

Okun's Law, a fundamental economic principle, posits that sustained jobless growth is unsustainable. If India continues to face this trend, it may lead to a significant economic downturn. The current jobs-to-gdp growth ratio of 1.1% is far below the threshold required for a healthy economy, raising serious concerns about the sustainability of the current economic model.

Changing Metrics for Job Data

The government's response to the unemployment crisis has also been questioned on the grounds of data manipulation. To mask the alarming job losses, the methodology for gathering job creation data has been altered, including the addition of industries such as education, hospitality, and others. While this may temporarily deceive some, it does not address the underlying issues and challenges faced by the job market and the youth.

The Need for Action

The current administration must acknowledge the severity of the unemployment crisis and take proactive measures to address it. This includes implementing policies that stimulate job growth, providing support to industries, and offering training and skill development programs for youth. Only through comprehensive and targeted interventions can India hope to reverse the trend of job losses and foster a healthier job market.

Conclusion

The promises made by Narendra Modi during the 2014 elections have not been fulfilled, leading to widespread job losses and an overall decline in the job scenario in India. The government must take a more proactive approach to employment and address the growing unemployment crisis before it leads to a more severe economic implosion. Only then can India truly realize its potential and become a job-rich nation.