Employment Generation under Globalization in India: Adverse Implications of Capitalism

Abstract

Globalization-led economic reforms of 1991 have added new dimensions to strategy of economic planning, and it has been presumed that gains of growth will equally reach to the labour. But globalization has negatively affected Indian labour market. The large-scale technological developments have reduced the demand for labour. India is termed as youngest country in the world as its population in the 15 to 34 age group was 430 million in 2011 which is expected to rise to 464 million in 2021. Though it is a positive signal, this increased workforce brings along with them the possibility of increase in unemployment rate, unless this workforce is diverted towards new employment opportunities. Capitalism-led competition has resulted into capital deepening technique of production. This has pulled the wages down and increases the casualization of workforce.