Page 393 - economic_survey_2021-2022

Figure 12: Urban Labour Market Recovery from pre-pandemic levels Figure 12: Urban Labour Market Recovery from pre-pandemic levels
(age 15-29)(age 15-29)
age 15 & aboveage 15 & above
% Recovery% Recovery
% Recovery % Recovery
MaleMale
FemaleFemale
Male Male
FemaleFemale
101.4 101.4
100 100
95.9 95.9
100 100
97.0 97.0
94.2 94.2
95 95
92.7 92.7
99.2 99.2
95 95
90.6 90.6
98.5 98.5
95.9 95.9
94.9 94.9
90 90
90 90
90.0 90.0
84.0 84.0
89.2 89.2
85 85
85 85
84.8 84.8
80 80
80 80
77.5 77.5
84.0 84.0
75 75
75 75
July-Sept, 20
Oct-Dec, 20
Jan-March, 21
July-Sept, 20
Oct-Dec, 20
April-June, 20
April-June, 20
July-Sept, 20
April-June, 20
April-June, 20
Oct-Dec, 20
Jan-March, 21
July-Sept, 20
Oct-Dec, 20
D. Recovery in labour force participation rate for D. Recovery in labour force participation rate for
C. Recovery in labour force participation rate for C. Recovery in labour force participation rate for
Youth (age 15-29)Youth (age 15-29)
Working age (15 & above)Working age (15 & above)
FemaleFemale
FemaleFemale
Male Male
Male Male
% Recovery% Recovery
% Recovery% Recovery
105 105
110 110
101.2 101.2
103.8103.8
100.1 100.1
100.1 100.1
98.5
98.5
105 105
100.9100.9
100 100
99.4 99.4
101.3 101.3
100.7 100.7
100 100
100.4 100.4
96.0 96.0
95 95
97.6 97.6
100.6 100.6
100.7 100.7
100.6 100.6
95 95
98.1 98.1
90 90
90 90
85 85
85 85
80 80
80 80
75 75
75 75 A. Recovery in worker population ratio for Youth A. Recovery in worker population ratio for Youth Jan-March, 21 105 105 B. Recovery in worker population ratio for B. Recovery in worker population ratio for Jan-March, 21
Jan-March, 21
April-June, 20
April-June, 20 April-June, 20 July-Sept, 20 July-Sept, 20 Oct-Dec, 20 Oct-Dec, 20 Jan-March, 21 Jan-March, 21 Social Infrastructure and Employment Jan-March, 21 367
July-Sept, 20
July-Sept, 20
Oct-Dec, 20
Oct-Dec, 20
April-June, 20

F. Recovery in unempoyment rates for age 15 &
E. Recovery in unemployment rates for Youth
E. Recovery in unemployment rates for Youth F. Recovery in unempoyment rates for age 15 &
(age 15-29) above above
(age 15-29)
% %
% Recovery% Recovery Male Male FemaleFemale Recovery Male Male FemaleFemale
Recovery
195 195 275 275
255 255
175 175 235 235 204 258
258 204
177 145
155 155 145 177 136 136 132 132 215 215
195 195
135 135 119 119 175 175 153 153
115 115 133 133 155 155 157 157 127 127 114 114
135 135
95 95 116 116 108 108 115 115
95 95 118 118
75 75 75 75 107 107
April-June, 20 April-June, 20 July-Sept, 20 July-Sept, 20 Oct-Dec, 20 Oct-Dec, 20 Jan-March, 21 Jan-March, 21 April-June, 20 April-June, 20 July-Sept, 20 July-Sept, 20 Oct-Dec, 20 Oct-Dec, 20 Jan-March, 21 Jan-March, 21

Source: Quarterly PLFS reports, MoSPI

Source: Quarterly PLFS reports, MoSPI Source: Quarterly PLFS reports, MoSPI
10.50 Note that, the latest quarterly urban sector PLFS data reports the impact of first COVID-19
wave and the following recovery till Q4 of 2020-21. In order to gauge the performance of
1 1
the labour market during 2021-22, proxy measures have to be been used (though these have

limitations). The following sub-sections use the data on subscriptions of EPFO scheme and
demand for work under MGNREGA as proxy indicators to analyse these recent trends in urban
and rural areas respectively.
Trends in Urban Employment using Employees’ Provident Fund Organisation
(EPFO) Payroll Data
10.51 Broadly, the EPFO data covers the low paid workers in medium and large establishments
of formal sector . The net addition in EPFO subscriptions is an indicator of the extent of
19
formalisation of the job market, and the coverage of social security benefits to the organized/
semi-organized sector workforce. An analysis of the latest EPFO data suggests significant
acceleration in formalisation of the job market, driven by both new formal jobs and formalisation
of existing jobs, during 2021, with 13.95 lakh net addition to EPF subscribers in November
2021.
10.52 Owing to the large impact witnessed during the nation-wide lockdown, the net addition
to EPFO subscriptions declined and turned negative in April-May 2020, that implies a net exit
was registered from the scheme. With the unlocking of the economy and easing of restrictions,
the EPFO subscriptions bounced back swiftly, reaching 12.2 lakh in September 2020. The net
additional subscription witnessed a decline again in November 2020 and also during the second
19 EPFO publishes subscriptions data every month, with a lag of two months, however, it has limitations: (i) The data does not cover establishments
employing less than 20 persons, with few exceptions. Certain establishments notified by the Central Government even if they employ less than 20
persons each. Most of the establishments in India are smaller in size, EPFO payroll represents only a small fraction. Though old, yet the only latest
available Sixth Economic Census (EC), 2013 suggests that only 0.52 percent (about 3 lakh establishments out of total 58.5 million) establishments
were employing 20 or more workers. (ii) The data also do not cover workers getting pay more than `15000 per month, except those permitted or
paying their contribution on voluntary basis. It, thus, excludes most of the better paid skilled workers. (iii) Workers getting jobs in informal sector
are not reflected in EPFO subscriptions. In 2019-20, close to 90 percent of additional workers joined workforce were in the informal nature of
employment.