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Ignited hopes, no jobs. Why Jats, others revolt

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Sonipat, Gurgaon : Square-jawed, cleft chin and hair untidily spiked, Vikas Thakaran glared as he explained on Feb 23 why he was here in this scrum of young men blocking Bakhtawar chowk, 30 km southwest of India’s capital, part of a violent week-long revolt that has left 12 dead, vehicles and railway stations burnt, and the army deployed.

Thakaran, 24, is a computer-science engineer, but he is unemployed. “I applied for government jobs four-five times, many times elsewhere, but I didn’t get through,” he told IndiaSpend. We found many educated, angry and either unemployed young men like Thakaran, or those unable to find a job corresponding with their aspirations and education, among the thousands of protestors from a caste group that many say has no reason to protest.

Traditional landowners, the Jats are a powerful Hindu caste is now demanding classification as a “backward” caste – so that they can easily get government jobs. An argument rejected last year by the Supreme Court.

However, IndiaSpend analysis of employment data and assessment of aspirations of young Jats revealed that the protests are exhibitions of India’s slow, insufficient job creation and a failing education system creating thousands of “unemployable” graduates.

This disconnect India between education, aspirations and jobs explains similar demands to be classified as “backward” and “other-backward-caste (OBC)” by socially powerful caste groups – Gujjars (Rajasthan), Marathas (Maharashtra), Patels (Gujarat) and Kapus (Andhra Pradesh), among others – struggling to find satisfactory employment.

India needs more than a million a month, the Organised industry added 500,000 jobs in 2014.

Saurabh Rangi, 24, a native of Rohtak city, scored 75 percent in the All India Engineering Entrance Exam (AIEEE), but he is on the streets of Haryana’s Gurgaon city – 30 km northwest of Delhi-because he is not eligible to get admission to a government college and he had to pay “lakhs” of rupees to his engineering from a private college. Rangi is angry because he holds a public-relations apprentice job at cardekho.com, an automobile website, but wants a government job.

“I got a B.Tech in 2013, but I am unemployed even after two years,” said Keshav Lather, as he protested in Gohana, Sonipat, 43 km west of Rohtak. “I have applied for a Central government job. But I always lose out because of reservationÂ…a professional education does not necessarily mean a good job. We were surprised at the type of jobs and money offered to many of our friends.”

Labourers, guards and maids form the majority of the jobs accessible to more than a million Indians – some estimate it is nearly two million – who join the workforce every month, as India Spend reported. Over 30 years, India generated no more than seven million jobs every year, with only a fraction being the kinds of jobs the young Jats desire.

This is why protestors across India demand secure government jobs; it is why engineers and doctors mob for job openings for peons, clerks and constables (as they did in Uttar Pradesh last year when 2.3 million applied for 368 positions of peons).

As we also reported, new employment data indicate two disturbing trends

One, a slowdown in employment in the formal, organised sector (which in any case employs only 12 percent of India’s labour force), the prime staging ground of Prime Minister Narendra Modi’s Make in India programme. Due to some reasons more than 400,000 workers working in Indian factories, lost their jobs during the financial year 2012-13, according to government data.

Two, this slowdown hides a larger, long-term trend: India Inc is automating and squeezing more output from its workers and so needs fewer of them.

In isolation, the latest government data show that organised industry added nearly 500,000 jobs in 2013-14. Unemployment in India, according to labour ministry data, is less than five percent, but these data do not reflect under-, partial- or disguised-employment, such as Rangi’s.

No more than 17 percent of all Indians are wage earners, as a 2013-14 labour ministry report acknowledged, with no more than 60 percent of those above 15 years old who sought work over the year getting it (more than 46 percent in urban India did not find work).

“What India needs annually is not just 23 or 24 million jobs but livelihoods,” said economist Ajit Ranade.

He said job opportunities would come only with new investments and enterprises. “If we need to create two million jobs every month, then we need to also create 20,000 to 50,000 new enterprises every month,” he said. “At this stage of our business cycle, we need a big push in the form of investment in infrastructure.”

Jat youth on the streets do not want Pvt-sector jobs, as our interviews indicated, but here too, as IndiaSpend has reported, employment declined by six percent since 2004-05-and this is the sector that offers the most jobs – 340 million.

Ranade said the government should focus on small and medium enterprises, revamp infrastructure, rationalise tax structures, revive skills in traditional industries, set up technical training institutes producing skilled workers and ensure ease of doing business.(IANS)

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Sony Mobile Exit India Market Owing to Hyper- Competition

Sony Mobile would continue to monitor the market situations and business feasibility in the country

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Sony Mobile, India
the pressure from Chinese brands and Samsung in the major price segment resulted in continuous decline of sales for Sony. Pixabay

Facing stiff competition from Chinese and South Korean players, Japanese conglomerate Sony Corporation has announced to quit the Indian smartphone market.

Sony had less that 0.01 per cent of the total Indian smartphone market share in the first quarter of 2019, according to Counterpoint Research.

Sony Mobile, however, said that it would continue to monitor the market situations and business feasibility in the country.

“Our focus markets are Japan, Europe, Hong Kong and Taiwan to drive profitability and future prospects in the 5G era,” Sony Mobile said in a statement on Wednesday.

Sony Mobile, India, Market
Sony Corporation has announced to quit the Indian smartphone market. Pixabay

“We have ceased sales in Central and South America, the Middle East, South Asia, Oceania, etc. in FY 18,” it added.

The company assured that it would continue its customer support operations including after sales support and software updates for existing customers in India.

The India smartphone market is currently dominated by Chinese players like Xiaomi, OPPO, Vivo and OnePlus among others, besides South Korean tech giant Samsung.

According to Shobhit Srivastava, Research Analyst, Mobile Devices and Ecosystems, Counterpoint Research, the pressure from Chinese brands and Samsung in the major price segment resulted in continuous decline of sales for Sony.

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“With declining sales in India and other markets, Sony took the right decision to focus on the high ASP (average selling price) markets such as Japan,” Srivastava told IANS.

Sony India in July last year brought its flagship “Xperia XZ2” smartphone for Rs 72,990 to India that turned out to be its last launch.

“In a cut-throat market like India where Chinese smartphone brands rule the roost with industry-leading specs and having over 60 per cent market share, it’s tough for other brands to garner a meaningful revenue share. Sony has had a very miniscule market share in India,” Prabhu Ram, Head, Industry Intelligence Group (IIG), CMR, told IANS.

For Sony, the performance of its mobile business has lacked the sheen, and has been a clear outlier compared to its other divisions.

Sony Mobile, India, Market
Sony had less that 0.01 per cent of the total Indian smartphone market share in the first quarter of 2019. Wikimedia Commons

“It makes sense for it to cut its losses and refocus on other verticals,” Ram added. (IANS)