Employment generation reduced to a trickle in 5 yrs

Ambika Sharma

Tribune News Service

Solan, April 20

With the industrial units failing to operate optimum capacities, employment generation has reduced to a trickle.

The state’s industrial hub of Baddi-Barotiwala-Nalagarh is acclaimed as the pharmaceutical hub of Asia as it houses nearly 360 units, but a majority of these units comprising small-scale industries are dependent on job work.

The productivity has not only declined in such units but they are barely operating 40 to 60 per cent of their capacities. “The bigger units which manufactured their own products have also scaled down their production after the Central excise benefit lapsed in March 2010. Since a majority of them shifted their products to other states where the Central excise benefit was available there was a sharp decline in employment generation” confided a production manager of a key pharmaceutical company.

This was confirmed by the latest report of the Comptroller and Auditor General, where it has been pointed out that out of the promised 1,86,785 jobs which was supposed to be generated from the industries set up in the state in the past five years, merely 53,510 jobs had been offered to the youth.

This was not just an indication of the fact that managements of industrial units presented an exaggerated claim of generating employment at the time of seeking approvals, but also that once set up they dither from offering jobs to the local youth.

With employment opportunities declining in the public sector, the educated youth was hopeful of getting jobs in the industrial sector but the results have been dismal.

Interestingly, even when the industrial package was available in 2009-2010 as against the expected employment of 51,750, only 13,704 jobs were offered to the youth from the 1,055 units which had come to production.

Likewise in 2010-11, 2011-2012, 2012-2013 and 2013-14, only 13,742; 10,713; 9,337 and 6,014 jobs were created in the industry as against the promise of 18,203; 26,572; 14,573 and 15,687 jobs, respectively.

The quantum of industrial units which had sought clearance was also lesser than those which came into production, but even those units which came into production did not utilise optimum manufacturing capacities to generate the promised employment.

Labour Commissioner Amit Kashyap when asked said their officials ensured that industrial units fulfilled the criteria of ensuring 70 per cent employability to the Himachali youth.