INTRODUCTION:
The government has implemented schemes to generate
employment such
as wage-based employment and the promotion of self-
employment.
In order to counter the rising unemployment scenario in
the country
which spiraled during the pandemic,
the government undertook various initiatives to
generate employment and reduce unemployment in the
country.
This article discusses various measures undertake
n by the government to check rising unemployment.
VARIOUS GOVERNMENT PROGRAMME:
Various Government Schemes for Unemployment in
India
Pradhan Mantri Mudra Yojana (PMMY)
It was undertaken by the government to encourage self-
employment.
Under this scheme collateral-free loans up to Rs. 10
lakh,
are provided to small/micro business enterprises and to
individuals to enable them to set up or expand their
business activities.
Pradhan Mantri Rojgar Protsahan Yojana
It was initiated in 2016-17 by the Ministry of Labor and
Employment.
Here government pays the entire employer’s
contribution (12% or as admissible)
towards the EPS and EPF for all
sectors to all eligible new employees for the next 3
years from the date of
registration of the new employee.
*Skill India Mission
It is implemented by the Ministry of Skill Development
and Entrepreneurship
with a focus to provide skilling
to one crore people under Short Term Training (STT),
Recognition of Prior Learning
(RPL), and Special Project (SP)
across the country for four years with an outlay of Rs.
12,000 crore.
Under the scheme, a short-duration skill development
training
program is being imparted to all prospective
candidates including candidates belonging to BPL in the
country.
Pradhan Mantri Garib Kalyan Yojana (PMGKY)
Here the government of India contributes both 12% of
the employer’s share and
12% employee’s share under the Employees Provident
Fund (EPF), totaling 24% of the wage
for the wage month from March to August 2020 for
organizations having up to 100 employees with 90%
of such employees earning less than Rs. 15000/-.
PM SVANidhi
This scheme was initiated by the Ministry of Housing
and Urban Affairs.
It focuses to provide affordable working capital loans to
street vendors to resume
their livelihoods that were impacted during the Covid-19
lockdown.
The vendors can avail of a working capital loan of up to
Rs. 10,000, which is repayable in monthly installments
in the tenure of one year.
Mahatma Gandhi National Rural Employment
Guarantee Act (MGNREGA)
It was initiated in the 10th five-year plan in 2013 and
works under the Ministry of Rural Development.
It is a centrally sponsored scheme with the pattern
90:10.
It provides a legal guarantee of at least 100 days of
unskilled manual work in rural areas.
Any member greater than 18 years of age of a rural
household, willing to do unskilled manual
work can apply to the local Gram Panchayat (which will
issue a Job Card).
National Career Service
It was envisioned for transforming the National
Employment Service to provide various employment-
related
services such as job matching, career counseling,
vocational guidance, information on skill development
courses,
apprenticeships,
internships, etc through an online portal.
National Career Service (NCS)
Focuses on a one-stop solution to provide various
services related to employment and career-related
services to the citizens of India.
This program is implemented by the Directorate General
of Employment, Ministry of Labour & Employment.
National Rural Livelihood Mission (NRLM)
The scheme named Deendayal Antyodaya Yojana-
NRLM ( national rural livelihood mission) was launched
by the Ministry of rural development, govt.
In India in June 2013 a restructured form of the Swarna
Jayanti gram Saroja Yojna (SGSY).
This scheme is fully focused on promoting self-
employment and the organization of the people who live
in rural areas.
In this program, the main idea is to organize the poor
into a self-help group.
This scheme aims to create efficient and effective
institutional platforms for the
rural poor, enabling them to make their livelihood and
good standard of living.
It aims to cover 7 crore low households, 600 districts,
6000 blocks, 2.5 lakh gram panchayats,
and 6 lakh villages across the country through self-help
groups and helps them for livelihood in a period of 8 to
10 years.
National Urban Livelihood Mission (NULM), 2013
It is a scheme initiated by the Ministry of Housing and
Urban Affairs.
A Centrally Sponsored Swarna Jayanti Shahari Rozgar
Yojana (SJSRY) since 2013 has been restructured as
DAY - National Urban Livelihoods Mission since 2013.
It is for all cities with a population of more than 1 lakh or
more.
It was brought in to decrease poverty, gain self-
employment and skilled wage employment, and build
strong grassroots level institutions.
The mission would aim at providing shelter equipped
with essential services to the urban homeless
What Is Unemployment?OR MEANING OF
UNEMPLOYEMENT?
-The term unemployment refers to a situation where a
person actively searches for employment but is unable
to find work.
Unemployment is considered to be a key measure of the
health of the economy.
The most frequently used measure of unemployment is
the unemployment rate.
It's calculated by dividing the number of unemployed
people by the number of people in the labor force.
1
Many governments offer unemployment insurance to
certain unemployed individuals who meet eligibility
requirements.
KEY TAKEAWAYS:
-Unemployment occurs when workers who want to work
are unable to find jobs.
-High rates of unemployment signal economic distress
while extremely low rates of unemployment may signal
an overheated economy.
-Unemployment can be classified as frictional, cyclical,
structural, or institutional.
-Unemployment data is collected and published by
government agencies in a variety of ways.
-Many governments offer unemployed individuals a
small amount of income through unemployment
insurance,
as long as they meet certain requirements.
Types of Unemployment
There are basically four types of unemployment: (1)
demand deficient, (2) frictional, (3) structural, and (4)
voluntary unemployment.
1. Demand deficient unemployment
Demand deficit unemployment is the biggest cause of
unemployment that typically happens during a
recession.
When companies experience a reduction in the demand
for their products or services, they respond by cutting
back on their production, making it necessary to reduce
their workforce within the organization. In effect, workers
are laid off.
2. Frictional unemployment
Frictional unemployment refers to those workers who
are in between jobs.
An example is a worker who recently quit or was fired
and is looking for a job
in an economy that is not experiencing a recession. It is
not an unhealthy thing because
it is usually caused by workers trying to find a job that is
most suitable for their skills.
3. Structural unemployment
Structural unemployment happens when the skills set of
a worker does not match
the skills demanded by the jobs available, or
alternatively when workers are available but
are unable to reach the geographical location of the
jobs.
An example is a teaching job that requires relocation to
China, but the worker
cannot secure a work visa due to certain visa
restrictions. It can also happen when
there is a technological change in the organization, such
as workflow automation that displaces the need for
human labor.
4. Voluntary unemployment
Voluntary unemployment happens when a worker
decides to leave a job because it is
no longer financially compelling. An example is a worker
whose take-home pay is less than his or her cost of
living.
Final Word:
Unemployment is a serious social and economic issue
that results in a tremendous impact on everything but is
often overlooked. A stronger system of assessing
unemployment should be put in place in order to
determine its causes and how to address it better.
References:
*Asian Development Bank, 1996. Emerging Asia:
Trends and Challenges. Oxford University Press.
*Brahmananda, P.R. 2013. 50 Years of the Free Indian
Economy, Indian Economic Association
*Trust for Research and Development, New Delhi.
*Centre for Monitoring the Indian Economy (CMIE).
1994. Basic Statistics Relating to the Indian
*Economy. Bombay: Table 13.4.
*Census of India (1991), 1994. Report on Post-
Enumeration Check. Paper 1 of 1994. New Delhi.
*Census of India (1991). 1996. Population Projections
for India and States, 1996-2016. Registrar
*General, India. New Delhi. August 1996. p.91.
*Husain, Shakir. 1996. "Gowda comes up with plan to
woo country's youth". Asian Age. (a daily)
*November 3.
*India. Ministry of Human Resource Development,
Department of Youth Affairs and Sports,
*National Youth Policy. New Delhi. undated.
*India, Office of the Registrar General, 2013.SRS Based
Abridged Life Tables, 1989-93, SRS
**Analytical Studies Report No. 1 of 1996, New Delhi.
*India, Office of the Registrar General, Sample
Registration System. Annual Reports for various
years. New Delhi.
*India. Planning Commission. 1952. First Five Year
Plan. New Delhi. p.615
ACHIEVEMENT OF UNEMPLOYMENT PROGRAMME
OF INDIA:
Employment Generation Schemes/ Programmes of
Government of India
Employment generation coupled with improving
employability is the priority of the Government.
Accordingly, the Government of India has taken various
steps for generating employment in the country.
The efforts comprise of various long term schemes/
programmes/ policies for making the country self-reliant
and to create employment opportunities. A brief on
Employment Generation Schemes/ Employment
Promotion
Programmes of the Government alongwith their website
detail is given below:
Updated on 14.07.2023
Employment Generation Schemes/ Programmes of
Government of India
Sr. No.
Name of the Scheme/ Programme:
Ministry:
Remarks:
1.Atmanirbhar Bharat Rojgar Yojana (ABRY)
Ministry of Labour and Employment
Aatmanirbhar Bharat Rojgar Yojana (ABRY) was
launched with effect from 1st October, 2020
as part of Atmanirbhar Bharat package 3.0 to
incentivize employers for creation of new employment
along with social security benefits and restoration of
loss of employment during Covid-19 pandemic.
The website link for the scheme is
https://labour.gov.in/aatmanirbhar-bharat-rojgar-yojana-
abry
2.Pradhan Mantri Rojgar Protsahan Yojana (PMRPY)
Ministry of Labour and Employment
Pradhan Mantri Rojgar Protsahan Yojana (PMRPY) was
launched with effect from 1.4.2016 to incentivise
employers for creation of new employment. The
beneficiaries registered upto 31st March, 2019 will
continue to receive the benefit for 3 years from the date
of registration under the scheme i.e. upto 31st March,
2022.
3.National Career Service (NCS) Project
Ministry of Labour and Employment
Project for transformation of the National Employment
Service to provide a variety of career related
services like job matching, career counselling,
vocational guidance, information on skill development
courses, apprenticeship, internships etc. This project
consists of three important components namely
- (i) NCS Portal (www.ncs.gov.in); (ii) Model Career
Centres; and (iii) Interlinking of Employment Exchanges.
The website is https://www.ncs.gov.in/
4.Mahatma Gandhi National Rural Employment
Guarantee Act (MGNREGA)
Ministry of Rural Development
MGNREGA is to provide at least 100 days of
guaranteed wage employment in a financial year to
every
rural household whose adult members volunteer to do
unskilled manual work.
The website link for the scheme is
https://nrega.nic.in/MGNREGA_new/Nrega_home.aspx
5.Pradhan Mantri Garib Kalyan Rojgar Abhiyaan
(PMGKRA)
Ministry of Rural Development
The Garib Kalyan Rojgar Abhiyaan (GKRA) is a 125-day
Abhiyan launched by Hon’ble Prime Minister on
20th June, 2020 with a mission to address the issues of
returnee migrant workers and similarly affected rural
population by Covid-19 pandemic through a multi-
pronged strategy of providing immediate employment &
livelihood opportunities to the distressed, to saturate the
villages with public infrastructure and creation of
livelihood
assets to boost the income generation activities and
enhance long term livelihood opportunities by giving
focus on
25 works in 116 selected districts across 6 States with a
resource envelope of Rs. 50,000 crore.
The website link for the scheme is
https://rural.nic.in/en/press-release/garib-kalyan-rojgar-
abhiyan
6.Aajeevika - National Rural Livelihoods Mission
(NRLM)
Ministry of Rural Development
Aajeevika - National Rural Livelihoods Mission (NRLM)
was launched by the Ministry
of Rural Development (MoRD), Government of India in
June 2011. Aided in part through investment
support by the World Bank, the Mission aims at creating
efficient and effective institutional platforms of the
rural poor, enabling them to increase household income
through sustainable livelihood enhancements
and improved access to financial services.
The website link for the Mission is
https://nrlm.gov.in/outerReportAction.do?
methodName=showIndex#gsc.tab=0
7.Pt. Deen Dayal Upadhyaya Grameen Kaushlya
Yojana (DDU-GKY)
Ministry of Rural Development
Deen Dayal Upadhyaya Grameen KaushalyaYojana
(DDU-GKY) is a placement linked skill
development program for rural poor youth under
National Rural Livelihoods Mission (NRLM) since
September, 2014. Rural Youth in the age group of 15-35
years are covered under this scheme.
Sub component of NRLM which is a placement linked
skill development scheme for rural poor.
The website link for the scheme is http://ddugky.info/
8.Rural Self Employment and Training Institutes
(RSETIs)
Ministry of Rural Development
RSETIs are Rural Self Employment Training Institutes,
an initiative of Ministry of Rural Development (MoRD)
to have dedicated infrastructure in each district of the
country to impart training and skill upgradation of
rural youth geared towards entrepreneurship
development. RSETIs are managed by banks with
active
co-operation from the Government of India and State
Governments. The details is at
website:http://nirdpr.org.in/rseti/index.aspx
9.PM- SVANidhi Scheme
M/o Housing & Urban Affairs
Prime Minister Street Vendor's Atma Nirbhar Nidhi (PM
SVANidhi) Scheme since June 01, 2020
to provide collateral free working capital loan to Street
Vendors, vending in urban areas, to resume their
businesses which were adversely affected due to
COVID-19 induced lock-down.
The details of the scheme is at the
website:https://pmsvanidhi.mohua.gov.in/
10.Deendayal Antyodaya Yojana - National Urban
Livelihoods Mission (DAY-NULM)
M/o Housing & Urban Affairs
To reduce poverty and vulnerability of the urban poor
households by enabling them
to access gainful self employment and skilled wage
employment opportunities, resulting
in an appreciable improvement in their livelihoods on a
sustainable basis,through building
strong grassroots level institutions of the poor. The
mission would aim at
providing shelters equipped with essential services to
the urban homeless in a phased manner.
The website for the scheme is https://nulm.gov.in/
11.Prime Minister’s Employment Generation Programme
(PMEGP)
Ministry of Micro, Small & Medium Enterprises
Prime Minister’s Employment Generation Programme
(PMEGP), which is a major credit-linked
subsidy programme aimed at generating self-
employment opportunities through establishment
of micro-enterprises in the non-farm sector by helping
traditional artisans and unemployed youth.
The details can be seen from the website:
https://msme.gov.in/1-prime-ministers-employment-
generation-programme-pmegp
12.Pradhan Mantri MUDRA Yojana (PMMY)
Ministry of Finance
Pradhan Mantri MUDRA Yojana (PMMY) is a scheme
launched by the Hon’ble Prime Minister on
April 8, 2015 for providing loans up to 10 lakh to the
non-corporate, non-farm small/micro enterprises.
These loans are classified as MUDRA loans under
PMMY. These loans are given by Commercial Banks,
RRBs, Small Finance Banks, MFIs and NBFCs. The
borrower can approach any of the lending institutions
mentioned above or can apply online through this portal
www.udyamimitra.in.
Under the aegis of PMMY, MUDRA has created three
products namely 'Shishu', 'Kishore' and 'Tarun' to signify
the stage of growth / development and funding needs of
the beneficiary micro unit / entrepreneur and also
provide a reference point for the next phase of
graduation / growth. The website for the scheme is
https://www.mudra.org.in/
13.Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
Ministry of Skill Development and Entrepreneurship
Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the
flagship scheme of the Ministry
of Skill Development and Entrepreneurship (MSDE)
implemented by National Skill Development
Corporation (NSDC). The objective of this Skill
Certification scheme is to enable Indian youth to take up
industry relevant skill training that will help them in
securing a better livelihood.
The details of the scheme is at the website:
https://www.pmkvyofficial.org/home-page
14.National Apprenticeship Promotion Scheme (NAPS)
Ministry of Skill Development and Entrepreneurship
National Apprenticeship Promotion Scheme (NAPS) was
launched in August 2016 by
Government of India to promote the Apprenticeship in
the country by providing financial incentives,
technology and advocacy support. The scheme has the
following two components, viz.,
(i) Sharing of 25% of prescribed stipend subject to a
maximum of Rs. 1500/- per month per apprentice with
the employers and
(ii) Sharing of basic training cost up to a maximum of Rs.
7,500 per apprentice.
The details of the scheme is at
website:https://msde.gov.in/en/schemes-initiatives/appre
nticeship-training/naps
-98541
Other details of the scheme is also at website:
https://www.apprenticeshipindia.gov.in/
15.Production-Linked Incentive (PLI) Scheme 13
Ministries
13 Ministries
Hon'ble Finance Minister, Smt Nirmala Sitharaman has
announced an outlay of INR 1.97
Lakh Crores for the Production Linked Incentive (PLI)
Schemes across 14 key sectors, to create
national manufacturing champions and to create 60 lakh
new jobs, and an additional
production of 30 lakh crore during next 5 years. The
details of the scheme is at website
: https://www.investindia.gov.in/production-linked-
incentives-schemes-india
16.PM GatiShakti - National Master Plan for multi-modal
connectivity
At present 21 Ministries/ Departments are involved.
PM GatiShakti National Master Plan (PMGS-NMP) was
launched on 13th October 2021
for providing multimodal connectivity infrastructure to
various economic zones. Cabinet Committee
on Economic Affairs (CCEA) accorded approval for the
implementation of PM GatiShakti National Master
Plan on 21st October 2021. PM GatiShakti is a
transformative approach for economic growth and
sustainable development.
The approach is driven by 7 engines, namely, Railways,
Roads, Ports, Waterways,
Airports, Mass Transport and Logistics Infrastructure.
The details is at website: https://dpiit.gov.in/logistics-
division
SHORT COMING OF UNEMPLOYMENT
PROGRAMME OF INDIA:
The unemployed rate in between age group 15- 29 has
been increased since 2009-2010.
According to the Global Employment Trends 2014 the
unemployment rate has raised to 3.8%,
last year it was 3.7%. The International Labour
Organisation (ILO) has said in the recent report
that India has shown rise in the unemployment in the
last two years.
If the problem of unemployment is solved it will help in
development of the country.
With Population of1.20 billion in our country the
unemployment rate is increasing day by day.
The problem of unemployment is rising but still many
industries are facing the problem of skilled
candidate for their company. There is a boom of
software companies, Outsourcing companies in India,
but still facing the problem of unemployment.
Here are some of the reasons why there is
unemployment in India
There are employment opportunities in India, but the
rising population problem creates the unemployment.
If the population grows in the same rate the next
generation will face more problems of unemployment.
If there is vacancy for 1 position 100 or 1000 apply for
the position and only one gets the job and others remain
unemployed.
*Inflation
Indians don’t take jobs which are below their grades.
Many find it difficult to work at the below qualification
level job.
Low wages or salary below the market rate.
Many big industries look for the skilled candidate only,
for their company.
*Recession
Many Employers give preference to the experienced
candidates only and not the fresher.
Not enough or new jobs: As per the experience &
analysis from Get Sarkai Naukri, number of new
government jobs is decreasing every year. Government
is not able to create enough jobs keeping in mind the
Indian population.
*Slow business expansion
Advanced Technology: Earlier for a task hundreds or
thousand people were required to do a work
but now due to the advanced technology only one
person can do many people’s work.
With the advanced technology companies are hiring few
persons to operate the machine.
Give a command on computer and the work is done this
has cut off the employment of many.
*Corruption:
In Government sector and in some private sector
people get the job by giving the bribe.
Even though the candidate is not that qualified but if he
gives the bribe he gets the job.
So to get a government job give a bribe.The qualified
candidate remains unemployed as no money to give the
bribe.
Problems caused due to unemployment:
Unemployment and poverty goes side by side. The
problem of unemployment gives rise to the problem of
poverty.
Young people after a long time of unemployment find
the wrong way to earn money.
To get rid from the unemployment stress, they accept
alcohol or drugs.
Unemployed youths accepts suicide as the last option of
their life
Lower economic growth
Increase rate in Crimes. As the employed youth don’t
have anything to do they start doing robbery, murder
etc.
Health issues i.e it affects mentally as well as physically.
CONCLUSION OR SUGGESTIONS BASED ON
PROJECT:
1. The very first solution for the unemployment is to
control the rising population of our country.
Government should motivate people to have small
families. Indian government has started initiatives
to control the population but still the population is rising.
2. The quality of Indian education should be improved.
The current education system is not upto the level.
Government should keep a strict watch on the
education system and try to implement new ways to
generate
skilled labour force. Government should select a
committee to look after the schools and universities.
The syllabus taught is of no use to the industries so the
education should be as per the current
requirements of the industries. Before completing the
education a practical knowledge should be given.
3. Also today’s youth should join the institute or select
the course where proper training is given and the course
is as per the current industries requirements. Take the
course as per your interest and which will bright your
future.
4. Government should encourage and develop the
agriculture based industries in rural areas so that the
rural candidates don’t migrate to the urban areas. More
employment should be generated in
rural areas for the seasonal unemployment people.
5. Rapid Industrialization should be created.
6. Development of the rural areas will stop the migration
of the rural people to the urban cities
and this will not put more pressure on the urban city
jobs.
7. Government should allow more foreign companies to
open their unit in India, so that more employment
opportunities will be available.
