Objectives: To study the pattern of employment at gender and rural-urban level along with India’s GDP and industrial growth. To analyze the effect of industrial growth on industrial wages.
Methods/Statistical Analysis: The study is based on secondary time series data and collected data was calculated by simple percentages, Annual Average Growth Rate (AAGR) and Compound Average Annual Growth Rate (CAGR) method. The data is collected from various sources like Reserve bank of India, National Sample Survey Reports, World Bank database, International Labour Organization database (ILOSTAT), Planning Commission reports and reports published on Employment- Unemployment survey, 2016 by Labour Bureau of India.
Findings: The Industrial Sector which is supposed to work as ‘engine of growth’ didn’t able to raise the employment growth, employing only 23.79% of the total labour force in 2016-17. Nevertheless, this sector has the potential to generate more employment in the economy as it contributes 26.2% in total Gross Domestic Product (GDP) of India. The study found that there is slow growth in the employment level and fall in industrial share in total GDP. The industrial employment growth is also slow compared to the GDP growth rate in the last decade. After the post reform period this industrial employment growth didn’t go in line with industrial growth rate. All these results contradict and pose question mark on the government administration and policy makers.
Application/Improvements: This study tries to enhance the understanding about the changing pattern of industrial employment with respect to economic and industrial growth that will help to frame a more inclusive industrial policy.