Quick Revision Notes

Class 11 Economics

Chapter: Employment: Growth, Informalisation and Other Issues

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### 1. Important Concepts & Definitions (महत्वपूर्ण अवधारणाएँ और परिभाषाएँ)

• Worker (श्रमिक): An individual who is engaged in some economic activity to earn a living. This includes not only those who are working, but also those who are temporarily not working due to illness, injury, or other reasons, as well as unpaid helpers in family businesses (परिवार के व्यवसाय में बिना वेतन के काम करने वाले सहायक).
• Workforce (कार्यबल): The total number of people who are actually employed at a particular time. $$\text{Workforce} = \text{Total Population} - \text{Unemployed People}$$
• Labour Force (श्रम बल): The number of people who are able to work and willing to work at the existing wage rate, and are actively seeking employment. $$\text{Labour Force} = \text{Workforce} + \text{Unemployed People}$$
• Unemployment (बेरोज़गारी): A situation where people are able and willing to work at the prevailing wage rate, but fail to get work.

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### 2. Key Formulas & Ratios (प्रमुख सूत्र और अनुपात)

• Worker-Population Ratio (श्रमिक-जनसंख्या अनुपात): Used for assessing the proportion of a country's population that is actively contributing to the production of goods and services. $$\text{Worker-Population Ratio} = \left( \frac{\text{Total Workforce}}{\text{Total Population}} \right) \times 100$$

• Unemployment Rate (बेरोज़गारी दर): $$\text{Unemployment Rate} = \left( \frac{\text{Number of Unemployed Persons}}{\text{Total Labour Force}} \right) \times 100$$

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### 3. Types of Employment (रोज़गार के प्रकार)

1. Self-Employed (स्व-रोज़गार): Workers who own and operate their own enterprises to earn a living (e.g., shopkeepers, farmers, small businessmen). This forms the largest share of workforce in India.
2. Hired Workers (नियमित या आकस्मिक श्रमिक): Workers who are hired by others and are paid wages or salaries in return. They are further divided into:
   • Regular Salaried Employees (नियमित वेतन भोगी कर्मचारी): Workers hired on a permanent basis with social security benefits (e.g., government employees, teachers in private schools).
   • Casual Workers (आकस्मिक श्रमिक): Daily wagers who are not hired on a regular basis and do not have job security or social benefits (e.g., construction workers).

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### 4. Distribution of Employment in India (भारत में रोज़गार का वितरण)

• Sector-wise Distribution (क्षेत्रक-वार वितरण):

  • Primary Sector (प्राथमिक क्षेत्र - Agriculture/कृषि): Employs the largest share of the workforce, though its contribution to GDP has declined over time.
  • Secondary Sector (द्वितीयक क्षेत्र - Manufacturing/निर्माण): Includes manufacturing, electricity, gas, and water supply.
  • Tertiary Sector (तृतीयक क्षेत्र - Service Sector/सेवा क्षेत्र): Includes trade, transport, storage, and communication services.

• Gender-wise Distribution (लिंग-वार वितरण):

  • A higher proportion of women are found in rural areas compared to urban areas.
  • Rural women often engage in farm work or unpaid domestic activities that are not accounted for properly in GDP.

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### 5. Jobless Growth (रोज़गारहीन वृद्धि)

• Definition: A situation where an economy experiences positive growth in Gross Domestic Product (GDP) along with an insignificant or zero growth in employment opportunities.
• Significance: India has experienced jobless growth in recent decades due to capital-intensive techniques being preferred over labor-intensive ones.

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### 6. Informalisation of Workforce (श्रम बल का अनौपचारिकीकरण)

• Formal Sector (अऔपचारिक क्षेत्र / संगठित क्षेत्र): Includes all public sector establishments and private sector establishments employing 10 or more hired workers. Workers enjoy job security, regular income, and social security benefits (PF, gratuity, pension).
• Informal Sector (अनौपचारिक क्षेत्र / असंगठित क्षेत्र): Includes all enterprises employing less than 10 workers.
• Informalisation (अनौपचारिकरण): A phenomenon where the percentage of workforce in the informal sector tends to increase compared to the formal sector. Most workers in India (around 90%) are in the informal sector, lacking job security and legal protection.

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### 7. Unemployment in India: Types & Causes (भारत में बेरोज़गारी: प्रकार और कारण)

• Major Types of Unemployment (प्रमुख प्रकार):

  1. Disguised Unemployment (प्रच्छन्न/छिपी हुई बेरोज़गारी): Marginal productivity of labor is zero. More people are engaged in a job than actually required (commonly seen in agriculture).
  2. Seasonal Unemployment (मौसमी बेरोज़गारी): Occurs during certain seasons of the year (e.g., agricultural laborers remaining idle during the off-season).
  3. Industrial Unemployment (औद्योगिक बेरोज़गारी): Occurs in urban areas when people fail to find jobs in industries despite being qualified.
  4. Educated Unemployment (शिक्षित बेरोज़गारी): A situation where educated youth fail to secure suitable jobs matching their qualifications.

• Causes of Unemployment (बेरोज़गारी के कारण):

  • Slow economic growth rate.
  • Rapid growth of population.
  • Over-dependence on agriculture.
  • Defective educational system (lack of vocational training).
  • Slow growth of the industrial and service sectors.

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### 8. Government Initiatives for Employment Generation (रोज़गार सृजन के लिए सरकार के प्रयास)

To tackle poverty and unemployment, the Indian government has initiated various programs focusing on:

• Direct employment generation (e.g., MGNREGS - Mahatma Gandhi National Rural Employment Guarantee Act, which guarantees 100 days of wage employment).
• Indirect employment generation through promotion of Small and Medium Enterprises (SMEs) and self-employment schemes (e.g., Start-up India, Prime Minister's Employment Generation Programme).
• Providing skill development through training programs (e.g., Pradhan Mantri Kaushal Vikas Yojana - PMKVY).