Aditi Raj
It is believed that the Industrial unit work that commenced for the financial year 2023-24 would fetch an investment of over Rs. 5,500 crores and create thousands of job opportunities for the youth in the UT. This policy has an expenditure of over 28,400 crores, the highest amount given for the industrial development of J&K for the next 15 years. It is anticipated to create crores of investment and, consequently, 4.5 lakhs of jobs in the region.
On April 1, 2022, the New Industrial Policy (NIP) 2021 came into effect in J&K. In just a year, it showed positive results as it brought about 2,200 crores of investment in the territory creating over 10,000 jobs. With this, J&K is fast emerging as the ‘center for investments’ as it is attracting more and more investment projects in the region. This is for the first time since 1947, that over 10,000 jobs have been created in the union territory in just a year which is a very positive news for the youths of the territory. This new policy is varied from the ones which had earlier existed and are the first-ever project to utilise the local resources, skills, and talents of the UT.
According to the 2011 census, more than 70% of the population of J&K is below 35 years of age and is facing the persistent problems of chronic or under-unemployment. This is quite the number of youths waiting to avail themselves of the opportunity they have been longing for years. Further, the Covid-19 pandemic and lockdown had already led to delays in semester exams and ultimately degrees, creating a lot of apprehension among youths. So, this policy can prove to be a boon.
If we talk about the unemployment rate in J&K, according to PLFS (Periodic Labour Force Survey) data from Q3of the FY20, J&K had the highest unemployment rate followed by Kerala. Further, according to this report, the urban unemployment rate jumped to 12.6 percent in April-June 2021 from 9.3 percent in January-March(the previous quarter) 2021. As per the data, J&K’s unemployment score was 46.3 percent in this quarter. In the previous quarter, it was 44.1 percent. With this score, Jammu and Kashmir’s unemployment rate stood second highest just after Kerala, which was 47 percent. While, for the last quarter of the year i.e. October-December, 2021, it recorded an urban unemployment rate of 14.4 percent, which showed a drastic increase from the first quarter of the year which was at 9.3 percent. While the October-December quarter of 2022, recorded 13.5 percent urban unemployment rates. So, a slight decrease in urban unemployment could be seen from the previous year.
Further, for the Q4 FY23, unemployment rates for persons aged 15 years and above in urban areas were 6.8 percent which showed declination in the unemployment rate from last year’s statistics which was 7.2 percent. Last year, the overall unemployment rate was 8.2 percent during January-March 2022, the NSSO (National Statistical Survey Organisation) displayed. While it stood at 12.4 percent for all age groups, during January-March 2023 it showed a sharp increase in unemployment rates making it the record third-highest unemployment rate, just after Himachal Pradesh and Chattisgarh.
PLFS has been collecting data on unemployment rates since 2017-18 and its reports are released by the Ministry of Statistics and Programme Implementation(MoSPI). This report was launched in 2017 by NSSO and it releases quarterly reports. It has several indicators like the unemployment rate, Labour Force Participation Rate, distribution of workers, and Worker Population Ratio distribution of workers by broad status in employment and industry of work in CWS.
There is another body, CMIE i.e. Centre for Monitoring Indian Economy which measures monthly employment rates. The CMIE data from 2021 during September, October, and November month the unemployment figures were 21.4, 22.2, and 21.2 percent respectively. While in December, it came down to 15 percent, it recorded least in March 2021, the unemployment rate in J&K had gone down to 9.5.
During the 12 months of 2022 Jammu & Kashmir unemployment statistics, according to CMIE, were – 15.2, 13.2, 25, 15.6, 18.3, 17.2, 20.2, 32.8, 23.2, 22.6, 22.4, and 14.8 percent respectively. Again, in December 2022, it came down to 14.8 percent and recorded the least in February (13.2 percent).
Jammu and Kashmir’s latest unemployment data as per CMIE stands at 23.1 percent, latest by March 2023. While it was 21.8 percent in January 2023, and 17.1 percent in February respectively. This again displays that the government has not yet been able to tackle the major problem of the people of UT.
Unemployment is a cause of great concern for any region. The government and policymakers need to address and tackle this grave issue by creating more employment opportunities and schemes to promote job opportunities for the youth. Hence, I hope that this NIP as earlier mentioned proves in favour of these unemployed youth of the state. As it is said to create 10,000 job opportunities and consequently employ 4.5 lakhs people over the plan period, if it does so, this is what is the urgent need of the hour.
(The author is PG Diploma Digital media student at IIMC Jammu)
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