7 reasons for high unemployment in India

 

If you are living in India, you must have certainly heard this statement regarding marksheet/ degree certificate: "A single paper (marksheet/degree) cannot define my future". And ironically when it comes to jobs, people expect them to give job based on that paper itself!

These are the 7 reasons why India has a high rate of unemployment:

1. No education only literacy: While India has a few institutes which are top class, others are simply pathetic. Ever since independence, our education seems to have been focused on literacy. Even in higher studies, in most of the universities, the goal has been to impart technical literacy, scientific literacy instead of technical and scientific education. While literacy enables one to read and understand the those technical terms, it doesn't promotes one to create something beneficial for the society and nation as a whole.  
2. Lack of R & D: There is a dearth of quality research in the country. Many times researchers' only motivation for research is career progress. Very few are motivated to do impactful research. Due to this we are chasing to acquire technologies from outside. By the time we master a technology, the world moves ahead further. Although, we are improving, there is still a long way to go.
3. We are late: There was a time when the manufacturing was labour intensive. China gained hugely by providing cheap labour to the world at the time it was required and hence became the world’s factory. We, on the other hand simply missed the bus. Now the manufacturing is all about automation and computers. So, establishing new companies does not generate as many jobs as it used to give previously.
4. Farmers income: Due to meagre earnings of farmers, most of them want to leave farming and look for jobs. They mostly seek unskilled or semi-skilled jobs. Unfortunately, our young graduates are so poorly skilled, they also look for semi-skilled jobs at best. This increases the pool of job seekers looking for entry level jobs, which are not generated in that high numbers. 
5. Labour laws: the labour laws which were initially framed to protect the interest of workers are now a hurdle themselves. They make difficult for a company to fire people whenever they need. In the absence of project, such bench strength people increase business cost making them uncompetitive internationally. Hence, companies prefer hiring contractual workers instead of permanent ones.
6. Government Jobs: The general image of a govt. job is “a job where you get salary, even if you are a non-performer”. Although this perception is not entirely true, it sets wrong benchmark in the job market making many employers unattractive to the young.
7. Aversion to hard work: Most job seekers eventually want to land up in a position where they don’t have to work. Hence, they just keep searching such positions, while there exist none. If a job position does not have physical word, then it will have mental one. No one, is going to pay just for sitting on chair enjoying your holiday at the company. 

          None of these reasons are going to vanish anytime soon. It will take a long time. So, what are the lessons for a job seeker? Is there nothing you can do? well, not really. In the next article, on the topic I will share some ways in which you can overcome these challenges. Till then, Goodbye!

- Pratik Badgujar