Question

Informalisation of workforce in India has increased various concerns on the front of employment generation among the youth of the country. State and elaborate whether the statement is true/false with valid arguments.

Hint:

Increasing informal employment highlights the need for creating secure, formal job opportunities in the economy.

Answer 1

The statement is True. Informalisation refers to the increase in employment in the informal sector, where workers lack job security, social benefits, and legal protection. In India, the informal sector continues to dominate the employment landscape, especially in rural areas. Arguments in support:
Lack of Social Security: Informal jobs do not offer benefits like provident fund, health insurance, or job security.
Underemployment and Low Wages: Informal sector jobs often involve lower wages and disguised unemployment.
Exploitation of Workers: Informal workers are vulnerable to exploitation due to lack of legal protection.
Limited Skill Development: Most informal jobs are low-skilled, reducing opportunities for career advancement.
Employment Generation Concern: Rising informalisation means a lack of quality employment opportunities for the youth, adversely affecting economic growth and social stability.