India’s formal employment sector demonstrated robust growth in the first half of the 2024-25 financial year, as evidenced by an increase in enrollments across key social security schemes, according to official data. The Employees’ Provident Fund (EPF), which serves larger organizations and higher-paid employees, saw a 2.3% rise in new members, reaching 6.1 million between April and September compared to the corresponding period the previous year.
Moreover, the Employees’ State Insurance Corporation (ESIC), catering to smaller organizations, experienced a notable 5.2% growth with 9.3 million new additions, while the National Pension System (NPS) subscribers increased by 6.8%, reflecting a trend towards better-quality employment. The latest review by the Finance Ministry highlights a growing formal workforce, particularly in manufacturing and organized sectors, with a strong influx of young employees aged 18-25, many being first-time job seekers.
In September 2024 alone, the Employees’ Provident Fund Organization (EPFO) reported the addition of 950,000 new members, 59.9% of whom were from the 18-25 age demographic. Despite a temporary dip in manufacturing employment in September, the sector rebounded in October as indicated by the purchasing managers’ employment sub-index, which remained in expansion for the eighth consecutive month.
The services sector saw significant employment expansion, achieving the highest index level in 26 months. Furthermore, the Naukri Jobspeak index, which tracks white-collar job hiring, marked a 10% year-on-year increase in October 2024, reaching 2733 points, underscoring strong white-collar job growth.
Overall, the data reveals a positive trend in India’s formal employment sector, strengthening the nation’s economic landscape by integrating more youth into higher-quality job streams in both manufacturing and services sectors.
Original Story https://www.morungexpress.com/india-registers-higher-growth-in-better-quality-formal-sector-jobs
Category : Business , India
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Publish Date: 2024-11-26 12:40:00
