India’s labour force increased by 88 lakh to 43.72 crore in April, one of the largest monthly increases since the beginning of the pandemic. According to data provided by the Center for Monitoring Indian Economy, the labor market has seen the biggest expansion since the outbreak of the global coronavirus (COVID-19).
However, the available jobs were insufficient to meet the demand. CMIE Managing Director and CEO Mahesh Vyas said India’s labor force grew from 8.8 million in April to 437.2 million in April, one of the biggest monthly growth since the outbreak of the corona pandemic. He said the country’s labor market stood at 428.4 million in March.
As per the data, the average monthly increase in the country’s labor force in 2012-13 was 0.2 million. The report said that an increase of 8.8 million in the labor force is possible only if some working-age people who were out of work join the working population in April.
The report said this is because the working-age population cannot exceed 2 million per month and an increase beyond that means people who were out of work have returned to the workforce. He said it would be useful to note that an increase of 8.8 million in April followed a decrease of 12 million in the previous three months.
Vyas said that the labor market is dynamic in which manpower moves in and out, perhaps depending on the demand at a given point of time. Employment growth in April was in industry and services. According to the data, the industry added 5.5 million jobs and services added another 6.7 million jobs.
Within the industry, the manufacturing sector created 30 lakh jobs, while construction added about 40 lakh jobs. CMIE figures show that employment in the agriculture sector has declined by 5.2 million.
