core sector communique

Twelfth Quarterly Survey Report on “Effect of Economic Slowdown on Employment in India”
covering the period July to September, 2011 brought out by Labour Bureau

The Ministry of Labour & Employment has been continuously monitoring the effect of global financial crisis and economic slowdown in India since September 2008. The current survey to assess the impact of economic slowdown on employment in India, is the Twelfth in the series of “Quarterly Quick Employment Survey in Affected Sectors” conducted by the Labour Bureau covering the period July to September, 2011.

In the twelfth quick employment survey, the sample establishments covered in the previous survey have been revisited to assess the changes in employment position. During the survey, the information has been collected from 2,215 units/establishments by covering 21 centers spread across eleven states/UT’s.

The results about effect on employment in the eight selected sectors (mining is not being covered after the Ist quarterly survey) i.e. Textiles including Apparels, Leather, Metals, Automobiles, Gems & Jewellery, Transport, IT/BPO and Handloom/ Power loom are briefly summarized as follow:-

• It may be observed from the enclosed statement that the upward trend in employment has been continuously maintained since July 2009. During the quarter July to September 2011, employment has increased in respect of all sectors except Leather and Transport where there was a marginal fall. The overall employment has increased by 3.15 lakh during the quarter.

• At the sectoral level, the maximum increase of 2.04 lakh in employment during the period September, 2011 over June, 2011 was in IT/BPO sector, followed by increase of 0.42 lakh in Textiles including Apparels, 0.38 lakh in Metals, 0.22 lakh in Automobiles, 0.09 lakh in Handloom/ Power loom, 0.07 lakh in Gems & Jewellery.

• The maximum increase in overall employment by 3.18 lakh is seen in the Direct category of workers as compared to (-) 0.02 lakh in the contract category of workers at overall level during the period September, 2011 over June, 2011.

• In the export oriented units, the employment at the overall level has increased by 1.96 lakh whereas in the non-exporting units, it has increased by 1.16 lakh during the period September, 2011 over June, 2011.

• While comparing the results of the last four quarterly surveys conducted during 2010-11 i.e. September, 2011 over September, 2010 the overall employment has increased by 9.11 lakh, with the highest increase recorded in IT/BPO (7.96 lakh) sector followed by 1.07 lakh in Metals, 0.71 lakh in Automobiles, 0.08 lakh in Gems & Jewellery and 0.07 lakh in Leather industries during the period.

• Overall estimated employment in all selected sectors has experienced a net addition of 23.58 lakh during the period October, 2008 (first survey) to September, 2011 (twelfth survey).