(A Quarterly Review of Development and Management Trends)
A National Journal Indexed in the UGC-CARE List
Decoupling Economic Growth and Employment: A Comprehensive Analysis of India’s Jobless Growth Phenomenon
Ashwani Kumar Gupta1, Aviral Mishra2, Saurabh Kumar Srivastava3 and Sourav Mondal4
1Associate Professor, School of Business & Commerce, Chandigarh University, Unnao, UP, Email id: ashwanig88@gmail.com
2Assistant Professor, Amity University Uttar Pradesh, Noida, India, Email id: aviralbhu@gmail.com
3Assistant Professor, School of Management, Bennett University, Greater Noida, Email id: saurabh.management.kashi@gmail.com
4Assistant Professor, Symbiosis Centre for Management Studies, Pune, Symbiosis
International (Deemed University), Pune, India, Email: sourav.mondal@scmspune.ac.in
ABSTRACT:
The present study investigates the phenomenon of jobless growth in India, examining its impact on employment from 2000 to 2022, focusing on sectoral shifts, labor market dynamics, and policy effectiveness. Employing a quantitative approach, the study uses secondary data from sources like CEIC and NSSO, applying trend analysis, structural break analysis, decomposition analysis, correlation, and multiple regression. Results confirm a disconnect between economic growth and employment generation, particularly in the formal sector, with a weak negative correlation between GDP growth and unemployment. The analysis reveals significant structural breaks coinciding with the 2008 financial crisis and the 2020 pandemic, emphasizing the impact of global events. A shift-share analysis highlights the declining role of agriculture and the rising dominance of industry and services in employment. Decomposition analysis confirms services as the largest contributor to employment growth, while agriculture’s contribution dwindles. These findings corroborate existing research on jobless growth while providing new insights into sectoral shifts and the impact of economic shocks. The study recommends policy interventions focused on job creation, skills development, and addressing informal sector challenges to mitigate jobless growth and promote inclusive economic development. Limitations include the reliance on secondary data and the national-level focus, suggesting avenues for future research.
Keywords: Jobless Growth; Employment; GDP Growth; Sectoral Shifts; Labor Market Dynamics
DOI:
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