Pandemic Corona has drastically declined the urban job rate at 11.9 % in the week ended 21 June over the previous week. The proper arrival of the monsoon has given a necessary boost to rural employment, absorbed thousands of migrant workers who have returned to their homes for seasonal farm jobs. According to the data declared by the Centre for Monitoring Indian Economy (CMIE) reveals that the rural unemployment rate drops down to 7.26% in the week ended June 21 from 10.96% in the last year. Currently, the job rate is drop down to a much lower rate than March 25, when India went into a strict lockdown.
The withdrawal of migrant workers from cities has increased fears of uncontrolled joblessness in rural areas. But those fears became meaningless with the arrival of summer crop planting season as it opened up the seasonal job avenues. Increased government spending in the rural jobs program also helped the migrants. Mitra, professor of economics at the Institute of Economic Growth, New Delhi states that good sowing season helped the rural employment atmosphere. Already there is spooking employment in the rural areas as a result the labor force participation has risen. Further spending by the Central government and State government in schemes like employment guarantee schemes and the new job schemes etc., offer informal work to migrants. As a result of the withdrawal of lockdown curbs by the government the rural unemployment rate has steadily picked up. On the other hand, the urban job rate drastically decreased due to the spreading of coronavirus. The urban unemployment rate steadily increased to 11% due to the spread of coronavirus infections in metropolitan cities like Mumbai, Chennai, Delhi, etc. The urban job loss rate falls to nearly 2 % to 11 % on the weekend of June 21 over the past week.
Economists said that opening up of the rural economy, progress in monsoon booming sowing season helped in employment upliftment. CMIE managing director Mahesh said that they are expecting a 30% increase in growth in this sowing season. Extra fund allocation under MGNREGA and Garib Kaylan Rojsar Abhiyan also aided in employment generation in rural areas.
