India Sees Record Job Growth in July 2024
EPFO Reports Highest-Ever Payroll Addition
In July 2024, the Employees’ Provident Fund Organisation (EPFO) reported its highest-ever monthly payroll addition with 19.94 lakh new members. This surge highlights the effectiveness of the Modi Government’s transformative schemes aimed at driving job creation and formalising the job market.
Key Figures
Of the new additions, 10.52 lakh were first-time employees, marking a 2.66% increase over June 2024 and a 2.43% rise compared to July 2023. This growth showcases an expanding job market and increased opportunities, particularly for youth and women.
Government Initiatives
India’s push toward economic growth and job creation has been bolstered by key government initiatives like the Production Linked Incentive (PLI) Scheme, the Startup India movement, the Employment Linked Incentive Scheme, and significant capital expenditure (Capex) drives.
Year-wise Net Payroll Additions
| Year | Net Additions (in lakh) |
|---|---|
| 2022-23 | 138.52 |
| 2023-24 | 131.48 |
Youth and Female Employment
Youth employment is leading the surge in formal job creation, with 8.77 lakh young individuals contributing to the net payroll in July 2024 alone. Among these, 6.25 lakh were first-time employees. The National Career Service (NCS) has played a significant role, hosting over 20 lakh active vacancies and registering 33.72 lakh companies.
Female workforce participation also saw a significant rise, with 4.41 lakh women joining the formal sector in July, 3.05 lakh of whom were new joinees. The net female workforce grew by 14.41%, reflecting the government’s focus on improving access to education, skill development programs, and support services like working women hostels.
Industry-wise Growth
The top sectors driving the highest net payroll additions in July 2024 include manufacturing, marketing services, the usage of computers, and building and construction. These industries collectively accounted for over 2 lakh new members, while other sectors such as expert services, electronic media companies, and banks also contributed to the rising employment numbers.
Doubts Revealed
EPFO -: EPFO stands for Employees’ Provident Fund Organisation. It is a government body in India that helps workers save money for their future.
lakh -: Lakh is a term used in India to represent 100,000. So, 19.94 lakh means 1,994,000.
Modi Government -: The Modi Government refers to the current government in India led by Prime Minister Narendra Modi.
Production Linked Incentive Scheme -: This is a government program that gives money to companies for producing more goods in India, helping create more jobs.
National Career Service -: National Career Service is a government initiative that helps people find jobs and career opportunities.
female workforce participation -: This means the number of women who are working or looking for work. In this case, more women started working in July 2024.