As per recent news reports, India is not able to create enough jobs for the youth. The situation will turn from bad to worse in the days ahead as more and more people are entering into the job market and there are not enough jobs. Now, we already have problems of underemployment in our economy. We have plenty of examples in our immediate circles as well, where people from top engineering colleges sit for clerical level exams just to get the "govt. job" tag. This hits the economy at various levels. One of them is that talented people do not perform to their fullest and this impacts the GDP negatively.
In a recent interview, a cabinet minister has vociferously put forward a fact that the nature of the job market is changing fast and we need more job creators than job seekers. Though this point is true, but can India with its present educational architecture churn out enough entrepreneurs? Also, this is a long term solution. What about the present working age population?
So what should the government do, specially at a time when private investment is not picking up for various reasons and people are getting pink slipped at their employers own sweet will. One of them is hardcore socialism. Government should create more government job vacancies and increase the age limit of present jobs as well. It should come up with more PSUs, akin to pre liberalization era and absorb as many "fit people" as possible. Simultaneously, the govt should try to change our education system holistically so that students get an entrepreneurial environment from a very early age. I believe our present educational architecture is fit to churn out good industrial workers, but not leaders/thinkers/entrepreneurs as risk taking is still a taboo in our culture. People are scared to drop out and start their own ventures, this is also the reason why so many people seek govt jobs.
I may be completely wrong in my analysis here. So I want to read some constructive comments/criticisms/analysis on this topic, which directly affects us all.
Comments
In private sector, who will hire us if there is an army of competent freshers sitting without jobs. Even the good college tags are not working now in the placement scenario.
Then there is a need to create an environment which minimizes cost for us if a business fails ..for eg ..making land available on rent ..regulating rents ..( this will enable lesser upfront costs) ..faster exit
There is need to handhold some sectors in the beginning to help them flourish and face external competition ( this is most relevant in setting up of electronics industry in India) ...
In the textile sector also ..our market is flooded by chinese products ..like blankets etc ...this should be dealt on war footing ..by addressing infrastructural and other concerns..to make Indian products cheaper and better in quality .
here every sector is surely being targeted to free it from govt regulations as much as possible but no emphasis is given from freeing sectors from politicians. Thus sectors maybe getting free from government but not from politicians.
From schools at districts to countless colleges to ngo's to companies and industries to agriculture, everywhere are these people who use these institutes for their furthering their business interests thru friends and families and turning their black money into investments and use legal loopholes for the welfare of their near one's rather than the people.
In india, even the teacher training institutes are under the control of legislatures thru various means at local levels to turn their money into legal currency and more than half are just like shell companies, providing no training on ground level. Use of cooperatives by them since the 70's is known to everyone.
so, discussions on these issues will always remains discussions on any platform for the sake of just discussion on possible problems' identification. But the real problem will always be suppressed by confusing people by piling them thru various other problems added daily by our 'so-called-economists'..........