Worker: All those persons who are engaged in various economic activities and hence contribute to

Gross National Product are workers.

Labour force: All persons, who are working (have job) and though not working, are seeking and are
available for work, are deemed to be in the labour force.
Labour force = Person’s working + Persons seeking & available for work.
Work force: The number of persons, who are actually employed at a particular time are known as work
force.
Worker population ratio: Worker- population ration is the percentage of total population engaged in
work.
WPR= Total number of workers/ total population x 100.
It helps in knowing the proportion of population that is actively contributing to the production of goods
and services of a country.
Labour force participation rate: The ratio of labour force to total population is called labour force
participation rate.
Employment: Employment is an activity which enables a person to earn his means of living.
Full employment: Full employment is a situation in which all the workers who are capable of working
and willing to work get an employment at a prevailing wage rate.
Self employed: When the worker uses his own resources to work and make a living then we call it as Self
Employment.
Casual workers: peoples who are not hired on a regular basis by their employers and not provided with
benefits of permanent job are called casual workers.
Regular workers: Workers who are hired by their employers on a permanent basis and also get social
security benefits (like pension, provident fund, etc.) are higher in regular workers.

UNEMPLOYMENT: unemployment is a situation in which workers are willing to work and able to work at
the existing work rate but do not get work is called unemployment.
Types of urban unemployment:
1. Industrial unemployment: It refers to the unemployment among the illiterates who wish to work in
industrial establishment .
2. Educated unemployment: Educated unemployment refers to the unemployment among the Educated
people.
Types of rural unemployment:
Rural unemployment is of two types:-
1. Disguised unemployment: Disguised unemployment refers to a state in which more people are
engaged in work than are really needed.
2. Seasonal unemployment: Unemployment that occurs at certain seasons of the year is known as
Seasonal unemployment.

Casualisation of workforce: The process of moving from Self- Employment and regular salaried
employment to casual wage work is known as Casualisation of Workforce. This happens in India due to-
1. disguised unemployment in rural areas.
2. migration to urban areas where they only work as daily wagers or casual workers.

Formal sector establishment : All the public enterprises and private establishments, which Employ 10 or
more hired workers are called formal sector establishments.
INFORMAL SECTOR ESTABLISHMENT: All those private enterprises which hire less than 10 workers are
called Informal sectors. Eg: Workers who work in farms, owners of Small Enterprises, Agriculture
labourers. Here they do not get regular income. No protection or regulation by government can be
dismissed at any time. Live in slums, use outdated technology, do not maintain accounts.

CAUSES OF UNEMPLOYMENT IN India:

There are several causes of unemployment in India. Some of the major causes include:

1. Population Growth: India has a rapidly growing population, which leads to a large number of people
entering the workforce each year. However, there are not enough job opportunities to accommodate
this growing workforce, resulting in high unemployment rates.

2. Lack of Skills and Education: Many individuals in India lack the necessary skills and education required
for the available job opportunities. This mismatch between the skills demanded by employers and the
skills possessed by job seekers leads to high unemployment rates.

3. Slow Economic Growth: India has experienced periods of slow economic growth, which affects the job
market. When the economy is not growing at a sufficient rate, companies may not be able to expand
and create new job opportunities, resulting in higher unemployment rates.

4. Agriculture Dependence: India has a large population dependent on the agriculture sector, which
suffers from low productivity, lack of modernization, and seasonal nature of work. As a result, many
individuals are unable to find year-round employment, leading to unemployment.
5. Lack of Industrialization: The industrial sector in India is not sufficiently developed, especially in
certain states or regions. This leads to a lack of job opportunities in manufacturing and industries,
resulting in higher unemployment rates.

6. Technological Advancements: With the advancement of technology, certain jobs become obsolete
and are replaced by automation or machines. This leads to job losses in specific sectors, further
contributing to unemployment.

7. Lack of Investment: Insufficient investment in various sectors of the economy, such as infrastructure,
manufacturing, and entrepreneurship, leads to a limited number of job opportunities and higher
unemployment rates.

8. Government Policies: Sometimes, government policies can contribute to unemployment in India.

Inefficient labor laws, complex regulations, corruption, and bureaucratic hurdles can make it difficult for
businesses to operate and create new jobs.

Policies implemented by the government of India for employment:

The government of India has implemented various policies to promote employment and create job
opportunities for its citizens. Some of these policies are:

1. Make in India: This policy aims at attracting foreign investments and promoting manufacturing in the
country. It focuses on sectors like textiles, automobiles, electronics, and others, which are labor-
intensive and can generate significant employment.

2. Skill India: This policy aims to enhance the skills of the Indian workforce by providing vocational
training and upskilling opportunities. It focuses on creating a skilled workforce capable of meeting the
demands of various industries.

3. National Rural Employment Guarantee Act (NREGA): This act guarantees 100 days of employment per
year to rural households through public works projects. It aims to provide livelihood support and
improve economic security in rural areas.

4. Start-up India: This initiative promotes entrepreneurship and supports the growth of start-ups by
providing various incentives and support mechanisms. It aims to foster innovation and create
employment opportunities in the start-up ecosystem.

5. Pradhan Mantri Rojgar Protsahan Yojana (PMRPY): This scheme provides financial incentives to
employers for generating new employment. It encourages employers to hire more workers and boost
job creation.

6. Industrial Policy: The government has introduced various industrial policies to promote investment,
innovation, and competitiveness in different sectors. These policies aim to create a conducive
environment for businesses, leading to job creation.
7. Digital India: This policy aims to digitally empower citizens and promote the growth of the digital
economy. It focuses on expanding internet connectivity, improving digital infrastructure, and promoting
digital literacy, ultimately leading to increased employment in the digital sector.

8. National Manufacturing Policy: This policy focuses on promoting growth and competitiveness in the
manufacturing sector. It aims to create productive and sustainable employment opportunities by
attracting investments, encouraging innovation, and improving infrastructure.

9. Make in Northeast: This policy specifically aims at promoting manufacturing and employment
generation in the northeastern states of India. It focuses on leveraging the region's natural resources,
infrastructure development, and skill enhancement.

10. National Skill Development Mission: This mission aims to create a skilled workforce by providing
training, upskilling, and reskilling opportunities to individuals across various sectors. It focuses on
bridging the skill gap and increasing employability.

These are some of the policies implemented by the government of India to promote employment.