A report by the United Nations International Labour Organisation, released on Thursday, has predicted that unemployment in India will rise marginally between 2017 and 2018. The World Employment and Social Outlook report indicates a stagnation in job creation.
The report, however, acknowledged that India’s growth rate of 7.6% in 2016 contributed significantly to South Asia’s growth rate of 6.8%. “Unemployment in India is projected to increase from 17.7 million last year to 17.8 million in 2017 and 18 million next year. In percentage terms, unemployment rate will remain at 3.4 per cent in 2017-2018,” the report said.
The report projects the global unemployment rate to rise from its 2016 figure of 5.7% to 5.8% in 2017 translating into 34 lakh people without jobs. International unemployment rates, the report said, would remain high for now as the labour force continues to expand.
The unemployment rate will stabilise in 2018, but the rise in labour force compared to the creation of jobs will lead to 24 lakh unemployed people, the report said. The organisation advised countries to introduce policies and remedies that tackle the root cause of economic stagnation.