Home / Knowledge / News / Textiles / India set to become Asia's largest labour force
India set to become Asia's largest labour force
10
Nov '15
With Asia's work force set to shrink over the coming decades, India is predicted to overtake China as the region's biggest source of workers.

According to a Bloomberg analysis of United Nations data, by 2050, the Asia Pacific region will have nearly 50 per cent of the world's total work force, down from the current 62 per cent.

The shifting patterns will see India account for 18.8 per cent of the global work force compared with 17.8 per cent today, toppling China from the top spot. China will account for 13 per cent, down from 20.9 per cent now.

The projections, which use working age population as a proxy for labor force, also show a push from Africa, with Nigeria jumping to third spot from ninth and Ethiopia and Congo making it to the top 10.

India's mammoth labor force is often referred to as its demographic dividend, a key asset on its way to achieving economic superpower status. But there's a lot of catching up to do: its per person income is just a fifth of China's.

One obvious problem for India will be finding jobs for such a large populace. The Bloomberg analysis says sketchy employment data in Asia's third-largest economy suggests the labor market is far from vibrant.

Employment too hasn't kept pace with the growing economy. A survey of selected companies including those in the leather, car and transportation sectors show employment growth fell to 64,000 new jobs in the first three months of the year from 117,000 in the previous quarter, and 158,000 before that. This is not what one would expect for an economy growing at 7 per cent.

India also suffers from a skills shortage. Only about 5 per cent of workers have formal skills training, compared with 96 per cent in South Korea. RBI Governor Raghuram Rajan called India's human capital his main medium-term concern.

"Yes we've got really smart computer engineers and we've got scientists who've put a satellite on its way to Mars but what we really are short of is in the middle layer: The good quality factory workers who have high-school degrees, who can do reasonable maths, the capable plumbers, the construction engineers who can build roads and bridges,'' Rajan said in an interview last week. "We have a lot of those because we are a populous country but we don't have enough. We need to create more of them in a hurry.''

Prime Minister Narendra Modi is racing to change that, with a new skills and entrepreneurship ministry and a policy to train 400 million workers by 2022.

Another question for India is when and if it will be ready to transition out of the informal jobs sector, which according to the government employs more than 90 per cent of the work force, among the highest rates in the world. That would mean higher tax revenue, which in turn could be spent on education. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

UNIDO, eWTP discuss strengthening ties to back e-commmerce

Textiles | On 25th Apr 2018

UNIDO, eWTP discuss strengthening ties to back e-commmerce

United Nations Industrial Development Organisation director general...

Courtesy: HueTrap

Apparel/Garments | On 25th Apr 2018

Making sustainability affordable is a big challenge

In a lot of instances, being sustainable comes with an additional...

Courtesy: Formosa Petrochemical Corporation

Textiles | On 25th Apr 2018

Formosa to set up petrochemical plant in Louisiana

Formosa Petrochemical Corporation has selected St. James Parish in...

Interviews View All

Ajay Ghariwala
Luthra Group

We are ready to adopt or follow every opportunity

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Vasanth Kumar
Max Fashion India

‘Traditional high-street retailers are now willing to offer franchisees to ...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Ravindra Jain, Ashish Baid

Oswal Prints Private Limited has been manufacturing and exporting ethnic...

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search