85% of 17 mn formal jobs created under UPA not secure: ILO report

Another survey has raised questions about the growth model of the United Progressive Alliance government.

The Economic Times reports that a recent International Labor Organization study states that of the 17 million new formal sector jobs created between 2009-10 and 2011-12, as much as 85 percent offer no employment benefits and social security.

[caption id=“attachment_749835” align=“alignleft” width=“380”]  Representational Image. Reuters[/caption]

This means that though more people are working now, their quality of work and livelihood is going down.

Until 2000, informal employment constituted 90 percent of the jobs sector but that number went down to 82 percent by 2011-12. So though ostensibly more formal sector jobs are being created, in reality many of those can be categorised as informal since they lack employment benefits and social security.

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This report belies the claims made by the UPA government that falling unemployment rates was one of the highlights of the government’s 10-year tenure.

Recently a Crisil report also pointed out thateconomic slowdown, coupled with falling labour intensity of industry, would reverse labour migration from agriculture and redirect 12 million to low-productivity farms in 2013-19.

The study pointed out that unless long-pending labour reforms are pushed with determination to boost employment-intensive manufacturing industries, the result could be acute job distress and an imminent social implosion.

Read the entire ET report here.