(FREE) UPSC Current Affairs 2024 PDF

(GIST OF YOJANA) A New Chapter in India’s Employment Story

(SEPTEMBER-2024)

A New Chapter in India’s Employment Story

Context:

The Finance Minister’s Budget Speech unveiled the Government’s priorities with a focus on employment, skilling, and MSMEs. Key initiatives include a Rs 2 lakh crore package to benefit 4.1 crore youth and the introduction of the First Timers Scheme, offering financial support to new workers. The revamped National Career Services (NCS2.0) and Shram Suvidha portals aim to bridge gaps between job seekers and employers, while new schemes will boost job creation in manufacturing and support for SMEs. These measures represent a comprehensive approach to addressing labour market challenges and fostering economic growth.

First Timers: A lifeline for youth entering workforce

Job Creation in Manufacturing: Revitalising a Critical Sector

The services sector has been the dominant driver of India’s economic growth in recent decades, the manufacturing sector remains a critical pillar of the economy. It is not only a major contributor to GDP but also a key source of employment, particularly for semi-skilled and unskilled workers.
In recognition of these challenges, the government has introduced a new scheme to incentivise job creation in the manufacturing sector, with a specific focus on first-time employees. This initiative ties incentives to the employment of these workers, providing direct benefits to both employees and employers in relation to their EPFO contributions during the first four years of employment. The scheme is expected to benefit approximately 30 lakh youth entering the workforce in the manufacturing sector while at the same time incentivising their employers.

Services to Labour

The Budget envisages eShram portal as ‘one-stop-solution’ for unorganised workers by integrating a wide array of services to labour through integration of the e-Shram portal with other existing platforms, creating a one-stop solution for workers seeking employment, skills training, and career guidance, besides facilitating access to various government schemes.

Shram Suvidha and Samadhan Portal: Streamlining Compliance for Businesses

The Shram Suvidha and Samadhan portals, two key platforms that have been instrumental in enhancing ease of compliance for industry and trade, will be revamped. These portals have played a crucial role in simplifying labour law compliance, particularly for small and medium-sized businesses.

Conclusion:

The budget announcements made for the Ministry of Labour and Employment mark the beginning of a new chapter in India’s employment story. The whole-of-government approach is clearly reflected in the budget announcements. They reflect a deep understanding of the challenges facing our labour market and address them in a holistic and comprehensive manner. By focussing on job creation, youth employment, support for employers, and the empowerment of workers, these initiatives are laying the foundation for a more prosperous and equitable economy.