Unemployment

January 2, 1965

THE ECONOMIC WEEKLY

Unemployment Statistics in India

V R K Tilak

This article refers to the various sources of information regarding unemployment in India and examines the

estimates that are available from each of these sources. The figures of unemployment are examined particularly

with reference to the period 1951-61, the first decade of economic planning.

are unemployed?

HOW many personsthis question deThe answer to

pends primarily on the concept used

in regard to unemployment. Among the

various characteristics of human population, it is perhaps the most difficult

of measurement. In developing countries where rapid population growth is

accompanied by a large number of new

entrants to the labour

market, the

structural unemployment is growing in

size. In most of these countries where

agriculture is the predominant economic activity, employment is governed by seasonal fluctuations. Even employment in the manufacturing sector

is highly sensitive to seasonal changes

as it is mostly confined to the processing of agricultural products. Employment in construction activity is also

seasonal in character. The seasonal

aspect of the problem adds to the difficulties of measurement of unemployment. Experience shows that it is precisely in countries where unemployment is assuming large dimensions,

there is no systematic basis for estimating unemployment, while on the other

hand, unemployment is measured with

more frequency and

greater accuracy

in countries where the problem is not

so acute. In the latter, there are also

several sources to check the estimate

of unemployment?—unemployment " i n surance records,

trade union returns,

labour force surveys, Employment Exchanges, etc.

It is the purpose of this paper to

refer to the various sources of information regarding unemployment in India

and to examine the estimates that are

available from each of these sources.

The figures of unemployment are examined here particularly w...