Unemployment Among Indian Youth: A Crisis Unfolds

India, a nation teeming with youthful energy, faces a paradoxical challenge: soaring youth unemployment amidst a demographic dividend.

As the sun rises over the bustling streets of Mumbai and the tranquil fields of Punjab, the echoes of frustration reverberate through the hearts of millions of young Indians.

The recently released India Employment Report 2024, a joint effort by the Institute for Human Development (IHD) and the International Labour Organization (ILO), paints a stark picture. Here are the key findings:

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1. Youth Population Surge: India’s working-age population (aged 15–59) has swelled to 64% in 2021, projected to reach 65% by 2036. Every year, approximately 7-8 million young people join the labor force.
2. Education vs. Employment: While youth enrollment in education has risen significantly (from 18% in 2000 to 35% in 2022), their participation in economic activities has plummeted (from 52% to 37% during the same period). The classroom doors open, but job opportunities remain elusive.
3. Unemployment Predominantly Youth Woes: Unemployment is predominantly a youth problem. In 2022, a staggering 82.9% of the total unemployed population were young individuals. Even educated youth—those with secondary education or higher—are caught in this web of joblessness.
4. Gender Disparities: Among the educated unemployed youth, women bear the brunt, accounting for 76.7% of the cohort. The battle for gender equality extends beyond textbooks—it’s a fight for economic empowerment.

Root Causes and Remedies

1. Quality of Education

• Skills Gap: Santosh Mehrotra, eminent labor economist, points to the dual challenge of opportunities and unemployability. Poor quality of education leaves graduates ill-equipped for the dynamic job market. The government must decouple skill development from formal education.
• Vocational Training: Shockingly, only 15.62% of Indian youth receive vocational training, and a mere 4.09% undergo formal vocational education. Bridging this gap is critical.

2. Agriculture Sector Surge

• Lack of Alternatives: Post-2019, employment in the agriculture sector surged. Why? Lack of quality education forces youth into traditional occupations. The fields beckon because other doors remain shut.