The Indian economy needs to add 7.85 million jobs every year until 2030 in the non-farm sector, according to the Economic Survey 2023-24.
The total additions to the workforce at 46.7 million in 2023-24 were the highest since 1981-82, with the rate of growth at 6 percent also outpacing the previous three decades, according to recent data released by the Reserve Bank of India using its KLEMS database.
Formal employment data released by the government last month showed that over 31 million people entered the formal workforce for the first time in FY24.
Out of these, 21 million joined the Employees’ State Insurance Corporation, and another 10 million joined the Employees’ Provident Fund Scheme.
A July survey by the NCAER and the NSE found that employment outlook has improved for the next two quarters, with companies looking to hire more.
The recently released PMI surveys also highlighted a similar phenomenon, with job creation rising fastest pace in decades, after a slow pace in FY24.
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