Busines

How has the number of jobs changed in the formal sector?

Aspirants at a job fair. Representative image | File

Aspirants at a job fair. Representative image | File  

more-in

How is the employment scenario in the formal economy which accounts for 10% of India's labour force? Here's a look at the growth of jobs in the corporate sector over the last four years.

Start-stop growth

On an average, about 0.2 mn jobs were added annually to the formal workforce between FY15 and FY18. But the employment growth has been inconsistent over the years.

 

The other half

The fall in jobs growth in FY18 compared to FY17 can be attributed to the fact that about half the companies saw either negative or unchanged growth in jobs compared to last year.

 

Flourishing ones

The 3.8% overall jobs growth in FY18, despite half the firms showing negative growth, can be attributed to some sectors absorbing workers at a high rate, compensating for the rest. Graph shows sector-wise employment growth in FY18 over FY17.

Jobs in finance and retail grew by more than 12%, boosting the overall numbers, compensating for job loss in telecom, trading and the like.
 

Sales connect

Graph plots percentage of employment growth in various sectors. 15 out of 37 sectors that witnessed positive sales growth had negative employment growth.

image/svg+xml
 

Where is the data from?

The figures are excerpts of a study conducted by CARE Ratings based on the annual reports of 1,610 companies employing 6 million people and generating net sales of Rs 5.6 lakh crore.

(Visualised for the web by Varun B. Krishnan)