With the advent of technology, and machines replacing manual labour, Dr. Pankaj Vashisht spoke to us about the impact of technological changes on India’s sector-wise job market.
Dr. Vashisht analyzed the evolution of task content, by evaluating the demand and supply factors that have shaped it from the years 1983 to 2011. Globalizaton and the ICT Revolution being one of the primary reasons for this movement.
The sectors demanding skilled labor, and unskilled workers due to deroutization have increased, and this polarization has resulted in a dip in the employment of the category not falling in the skilled or unskilled sectors. The results have not been the same in the transition economies. There has been a further increase in social inequality, with the marginalized sections being isolated by these developments. The primary reason for their incapability lies in the poor quality of education that they receive. Therefore, although production has seen a constant increase, productivity does not seem to follow a similar trend.
Apart from the alteration in the task content, structural changes have also brought about an impact in the job market. There has been an increase in the contribution of the Services Sector towards the GDP and a decline in the Agriculture Sector, the agriculture sector having the highest rate of employment.
Although there is an overall development in the well-being of the society, we must keep in mind the socio-economic differences in our society. Results have shown that lack of quality education and other resources have led to the weaker sections lagging behind. Attempts must therefore be made in this direction. Moreover, with the changing structure and task content, there must be a subsequent moulding of the labour regulations, without which such developments and policies will be rendered toothless.