India is seeing major shifts in employment trends with growing concerns around youth unemployment, unemployability, and the widening skill gap. The India Employment Report 2024 and EPFO data have raised questions on job readiness and the need for urgent reforms.
Key Employment Trends
- EPFO Data shows rising formal employment, especially among 18–25 age group.
- A large share of new EPFO subscribers are fresh graduates, showing push towards formalisation.
- However, long-term job stability and wages remain uncertain.
Challenges in Youth Employment
- Youth form 83% of India’s unemployed population (India Employment Report 2024).
- Those with higher education are also struggling to find jobs.
- Only 50% of graduates are job-ready (Economic Survey 2023–24).
- A majority of youth lack basic digital and professional skills
Technology and Future Jobs
- AI and automation are changing job profiles, especially in the tech sector.
- By 2030, 170 million new jobs may be created, but 92 million could be lost, resulting in a net gain of 78 million jobs.
- To benefit, India must bridge the skill gap urgently.
Way Forward: Key Reforms Needed
- Stronger industry-academia links and accountability of institutions for placements.
- Mandatory digital and soft skills training, with Idea Labs in schools and colleges.
- Global skilling strategy to meet job demands abroad, especially in ageing countries.
- Creation of Indian Education Services to bring top talent into education.
- Allow industry professionals to teach to make education more practical.
Conclusion:
India must act swiftly to prepare its youth for future jobs. A skilled and adaptable workforce is key to turning demographic advantage into economic success.
