Educated Unemployment in India

One of the burning issues, Educated Unemployment in India is at alarming rate.  Before diving into the topic, let’s look into some interesting facts about education sector of India.

In India, we have 821 universities in total. It includes 49 central universities, 367 state universities, 123 deemed universities and 282 private universities. According to online sources, an estimated number of annual graduates in India are 68 million. This is an amazing number, Right? However, we always fail to provide them with job. According to Pew report, about 18.6 million Indians were jobless and another 393.7 million work in poor-quality jobs. According to report prepared by NSSO (National Sample Survey Office) unemployment rate in India at 6.1%, a four-decade high, possibly caused by the 2016 demonetisation of large banknotes and other taxation policies.

What is educated unemployment? In simple words, it is a situation where educated individual of working age is not able to get a job or unable to secure a job.

Reasons for educated unemployment

  • Slow Growth of Industrialisation: Slow industrial growth leads to very few job creation.
  • Defective Planning: It is one of the cause of unemployment. There is a wide gap between supply and demand for labour. 
  • Expansion of universities: The number of universities has increased manifold. In result, educated unemployment in India has increased.
  • Fall of Small and Medium Enterprises: In recent years, some government polices has led downfall of the greatest employer of the country. i.e. small and medium enterprises available throughout the country. In result, many people lost jobs in country.



Steps taken by government to curb unemployment

  • Pradhan Mantri Mudra Yojna:  This scheme focus on starting new small businesses and generating employment. 
  • Launch of Industrial Training Institute: These are post-secondary schools in India. It focuses on  training in various trades.

Other ways to deal with unemployment

  • Change in educational system: We must reform our Educational system. We should focus on vocational training. Emphasis on theoretical  should be shifted to practical training in related fields. According to some sources, more then 70% engineers and other professionals are incapable to work in real world.
  • More assistance to self employed people: Self employment is primary occupation in India. People do agriculture, trade, etc. Government must help them financially and ease in doing business.
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