Economy

There is evidently not much good news floating around in the economy. First, some numbers. In 2019, according to ILO estimates, youth unemployment rate in India was at 10.51%. This figure has hovered around 10% for the past decade. But unemployment rate among the urban youth is much higher. According to data released by the Centre in its Periodic Labour Force Survey (PLFS) 2017-18, unemployment among urban youth in the age group of 15-29 years was at 23.7% in that December quarter, rising consistently over the three previous quarters of that year. If that trend continued, and all reports indicate…

For Ghulam Ahmed Mir, owner of a provision store on Residency Road, Lal Chowk, pulling up the shutters of his shop on June 14th, was like a dream come true. But tears filled Mir’s eyes as soon as he stepped into his shop for the first time in 85 days. Rats and insects had wreaked havoc inside. Packets of biscuits, chocolates, coconut, atta, dry fruit and other grocery items were strewn on the floor. “The rats and insects have tasted everything and wasted everything for me,” said a tearful Mir. As the clock struck 9 on the morning on June…

The warning bell was rung by the Prime Minister when he announced Janta Curfew on March 22nd this year. I had returned to Mumbai on March 13th after a series of Board Meetings in Chennai. We were discussing annual operating plans but knew that we may be hit by a tidal wave soon. We did not expect it to be a Tsunami.  When I spoke with HR heads of companies in mid-May, many said that they knew a lockdown was coming. Many global companies had issued a diktat as early as March 15th to move employees out of offices. The challenge…

There's much work done in society on a regular basis that remains unrecognised or even taken for granted, until one undertakes to do it in his own hand. That's something each of us has experienced over the last three months of the lockdown, as we have had to do all household work in the absence of our domestic workers. Having washed utensils at least thrice a day, swept floors every day, washed clothes and cleaned toilets, perhaps we will now be goaded into some serious thinking about what we can do for the people who silently perform these chores, almost…

“Hire and fire is a loaded word, the American system is ‘employ at will’,” said Hari T N, Head HR, Bigbasket, one of India’s largest online supermarkets. The distinction sort of escaped me. “Here we have an employment contract.” That was just the point, as we see the continuing and substantial shift in the job market to a contract-based system. “Firms would prefer to employ at will in practice and they are trying to circumvent the hiring and firing laws by having more workers on contract,” added Vidhya Soundararajan, Assistant Professor, IIM Bangalore. The context was a query “On paper…

“We are requesting the government to come up with a law or policy like that passed in California last year (for the protection of gig workers),” said Tanveer Pasha, representative of the Ola-Uber drivers’ association, in a panel discussion titled ‘Formalising the Gig Economy’, held on June 8. Vidhi Centre for Legal Policy and Citizen Matters, in collaboration with the Bangalore International Centre (BIC), had organised the panel discussion as part of Bengaluru Solutions Series, a public engagement series dedicated to urban issues. This was the sixth installment of the series. The discussion was centred around legal protections for gig…

They left their villages so that their families would have one mouth less to feed. With their meagre incomes in the big city, they gave themselves the bare necessities: food, clothing and a roof above their head. The rest of their earnings went to their families in their distant towns and villages. It was no great life. But the cash -- however small -- came regularly. Their families back home could eat regularly; perhaps, a sibling could now go to college; may be, their mother could secretly save and pay off an old debt. They could not have asked for…

The Gig Economy is characterised by economic activity based on short-term or temporary labour contracts - as opposed to permanent employment - typically in the service sector. The rise of app-based companies has created a new economic model which deems workers to be independent contractors, rather than employees. While this allows for low barriers for entry and exit to the field, it exempts gig workers from protections conferred by employment laws including minimum wages, overtime and other benefits. The COVID-19 crisis, in particular, has brought into sharp focus the precarious conditions gig workers are subject to. Platform workers engaged in…

Rajeshweri S. Silambarasan V. Krishnamurthy P. Not names you would be familiar with, but just a few among the thousands of street vendors in Chennai who have survived the lockdown. Around two and a half months ago, Rajeshweri used to sell flowers at Nesapakkam; Silambarasan ironed clothes at Mugalivakkam and a small roadside juice shop at Nanganallur won bread for Krishnamurthy. What ties them together today is poverty and uncertainty; the lockdown and the apathy of the Greater Chennai Corporation (GCC) have thrown their lives into disarray. However, what saw them through the travails of the period was the monetary…

The once bustling pink city’s bazaars located in the walled city area lie forlorn and quiet today. Before the COVID lockdown, locals and tourists used to throng the famous Jauhari bazaar and Bapu bazaar, drawn to it by the glitter of gems and jewellery, sparkle of embellished lac bangles and colourful bandhej (traditional tie-dye) fabrics. But hopes are high that shops and workers will be able to return, albeit slowly and painfully. The tourists who kept the city’s economy buzzing will probably not return in the foreseeable future. And locals may not have the resources, or the inclination, to spend…