Monday, February 4, 2019

Dinesh Kamath's Editorial 'Delay in releasing key employment data' that was published in Newsband


Delay in releasing key employment data
The Centre had refused to release new data on employment that were due to be made public in December 2018. The findings of the new Periodic Labour Force Survey, for July 2017-December 2018, are not too flattering, with unemployment registering a five-decade high. On the question of job-creation for the youth, the Prime Minister and his Cabinet have been building an argument that jobs abound, but credible data are missing. Arun Jaitley, in his last year’s Budget speech, cited ‘an independent study’ to claim seven million formal jobs will be created in 2018-19.
It is essential for elected representatives of people to realise that most of them are not quite up to the intellectual levels to understand the complex mechanism of how things change in society. It is for that reason essential to have independent agencies that provide it with a mirror on the impact of their policies on the society. The NSC is one such. To criticise that the members of that institution do not know how to do their job is laughable at best and scary to the core. A chai-wala can become a PM; but he needs to go to college and train under experts to become a good statistician or an economist.
Not making the data public is more dangerous than the data itself. Isn’t this what 'Fascism' is about?
Some people are finding faults in BJP. But nobody is completely pure in politics. Modi govt is thousand times better than this family based Congress. Why do we forget the scams that surrounded us during UPA regime?
On the employment front, despite what the govt wants us to believe, there is a set back in the sphere of organised sector jobs. The govt is outsourcing many of its jobs in hospitals railways offices municipalities etc. Taking a cue from this, private sector systemically intent on profits and never on employment production and supplying the needs and concomitant improvement in invested capital use, jobs are in jeopardy. There is systemic decline in employment elasticity of growth: lowering levels of creation of employment for every unit increase in production. Even in the putatively highly employment intensive construction sector there is mechanisation and displacement of labour, becoming more and more capital intensive.Increased capital intensity lowers distributive justice or, spread of incomes among the lower strata in the socio-economic ladder. The Nov 2016 Demonetisation has contributed to lowering availability of employment from 20 days a month to hardly 10 in India.
Statistics are much more important than generally believed. That most of the Statistics and data put out in public domain by the Govt (from as early as the 1950's) have been suspect in terms of Truth and veracity is known. Earlier data had the problem of non-availability and non-collation of the full information, under consideration. Additionally, the mechanism to strictly monitor how the Officers entrusted with Statistics subject (collection/ collation and data management/ dissemination) is still under cloud. At times the Govt would want to present a "rosy" picture and influence the Statistics as per the whims and fancies of the Party/leader at the helm. It is now becoming very clear that such fudging and fumbling are being practiced at a maximum level under Modi Govt - almost reaching a stage that Trust is lost in Govt statistics. How this would affect ground realities of various Planned actions for Development - only Time will tell.
The institutions that release statistical information on wide range of subjects must be indepent and free from governmental intervention to manipulate or fludge the data to show lime light of the ruling party. This is bad. The government must scrap niti aayog and bring back the planning commission. This system in the past used to take into account the opinion from public on important issues but niti aayog a poor quality institution that never cared to take in to account public opinion on certain decisions that effect the common man's life.
People will lose faith completely in government statistics and data, and turn to anecdotal evidence.

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