The Indian government is reportedly considering significant changes to how it monitors employment trends across the country. As part of its ongoing efforts to gain a more accurate and timely understanding of the labour market, the Centre is mulling the introduction of a monthly jobs survey. This new approach would provide more frequent data on employment and unemployment, offering a real-time glimpse into the state of the Indian economy.
In addition to the monthly survey, the government is also contemplating changes to the frequency of the Periodic Labour Force Survey (PLFS). The PLFS, which currently provides annual estimates of key labour market indicators, could see its reporting frequency adjusted to provide more granular data. This move is seen as crucial to ensuring that policymakers, businesses, and analysts have access to up-to-date information, allowing for more responsive and effective economic planning.
The proposed changes come amid concerns that the current system may not fully capture the dynamic nature of India’s labour market, particularly in the informal sector, which employs a large portion of the workforce. The monthly jobs survey would likely focus on urban areas initially, before expanding to rural regions, ensuring a comprehensive picture of employment trends nationwide.
These considerations are part of a broader government initiative to enhance economic data collection and analysis. By improving the frequency and scope of employment data, the Centre aims to better address the challenges posed by unemployment and underemployment, especially in the wake of economic disruptions caused by the COVID-19 pandemic.
The proposed changes to the PLFS and the introduction of a monthly jobs survey would mark a significant shift in how labour market data is collected in India, potentially setting a new standard for economic monitoring in the country.