Why in news?
- NITI Aayog recently conducted Champions of Change, a conference for top two hundred CEO’s in India.
- The participants found “Jobless growth”is the major hindrance to the economic sustainability.
What creates jobless growth?
- India is doing fairly well on the growth front the overall economy is growing at 7.1%, while the services sector, which accounts for over 53%.
- The trouble is, this is not translating into an adequate number of jobs.
- The spectre of “jobless growth” is real, and as millions continue to join the workforce every year without finding enough ‘good’ jobs.
- Many industries are “reluctance” to invest in labour-intensive sectors.
- The only way to stay competitive is greater investment in technology and automation, but automation grabs the job.
How jobless growths can be addressed?
- Union government isbanking on the manufacturing sector to solve the jobs problem.
- Manufacturing firms must invest in ways to create large numbers of productive, well-paid jobs.
- Creating a circular economy is need of the hour.
- The focus of firms necessarily needs to be more circular, “take, make, refurbish, repair, reuse” model.
- The manufacturing sector could look at how it can create jobs around the products it makes, rather than find ways to create more jobs making those products.
Source: The Hindu
