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Employment: The Fault Line in India's Emerging Economy

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  • Ajit K Ghose

    (Institute for Human Development, New Delhi, India.)

Abstract

Poor employment conditions constitute the major fault line of India's emerging economy. Rapid economic growth over the three decades since early 1980s has not brought about any transformative change in employment conditions in the country. The modern, organised sector of India's dual economy recorded high output growth but failed to generate much employment with the result that the bulk of the work force continued to be in low-productivity jobs in the unorganised sector. It was only in the 5-year period beginning in 2005 that the employment conditions improved substantially. This also was a period of exceptionally high rate of GDP growth of close to 9 per cent per annum. Analysis suggests that it is only such high growth that can bring about substantive improvement in employment conditions. Economic growth in India has to be very high to be inclusive.

Suggested Citation

  • Ajit K Ghose, 2012. "Employment: The Fault Line in India's Emerging Economy," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 54(4), pages 765-786, December.
    • Handle: RePEc:pal:compes:v:54:y:2012:i:4:p:765-786
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    Cited by:

    1. Ghose, Ajit Kumar,, 2015. "Employment in a time of high growth in India," ILO Working Papers 994885873402676, International Labour Organization.

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