Post COVID-19, unemployment could be major concern

Recently, during the campaign for the Zilla Panchayat polls that have since been postponed, Chief Minister Dr Pramod Sawant had announced that in the next two years they would advertise more than 8,000 vacancies in various departments.

This was a fortnight ago, however, in the last 15 days the situation has changed with the global Coronavirus pandemic wreaking havoc in the economic world too. The question now arises is whether 8,000 jobs would suffice when the pandemic settles down and the world returns to normal. Considering the recession that the world would encounter in the months ahead, Goans could be major victims of job cuts.

Economists in the US project employment reductions of 47 million worldwide, which would translate to a 32.1 per cent unemployment rate. There will also be a considerable amount of corporate restructuring once the economy begins to recover, with businesses large and small, trying to bolster their battered balance sheets by reducing head counts.

The CM has acknowledged that there are 8,000 seafarers working abroad who are attempting to return home. Besides, there are Goans in the United Kingdom, USA, Italy, Germany and France who are waiting to come back. What could the scenario be if a large chunk returns? Many would try to get back to their workplace as the situation eases down but that would not happen in the immediate future. Also there would be many who would not want to go back abroad. Cruise line companies have shut business, so too many hotels. If they remain in Goa, they too would need jobs, but with no new industries coming in, the 8,000 jobs announced by the government would just not suffice.

By just promising jobs the CM won’t achieve much, as a few thousand government jobs will hardly matter. As per national statistics, Goa is amongst several States, like Manipur, Kerala, Mizoram and Nagaland where unemployment rate has reached double digits. The CM has to bring out structural changes and educational attainments, which will unravel a strong effect. While the employment exchange has 1.25 lakh unemployed persons registered, the mining ban has seen at least 50,000 to 1 lakh job losses. Besides this, tourism has seen a massive dip in the last two years and people dependent on tourism too are now looking for government jobs.

While pessimism regarding joblessness indeed needs to be tackled, it is also important to pay attention to the larger issue of employment creation post COVID-19. Since wage employment can’t be provided on a large scale, entrepreneurship must be promoted by creating a facilitating environment for start-ups, innovations, etc. For this, the government has to bring in new industries or promote the Economic Development Corporation’s Chief Minister’s Rojgar Yojana (CMRY) entrepreneurship scheme more aggressively. The CMRY scheme, many say, has several formalities and documentation that are difficult for an unemployed youth to follow and this needs to be done away with. 

Also, why can’t a part of the lakhs of square metres which have been taken from the Special Economic Zones promoters, be allotted to promising Goan entrepreneurs? The concept of Mahiti Ghars must also be restarted. Youth must be encouraged to take up stalls at airports, bus stands, markets and even fish should be granted.

Considering that non-Goans have captured the markets throughout Goa for fish, vegetables and flowers, the government through the horticulture, agriculture and fisheries departments can encourage youth to put up stalls, which would give better pricing than the market rates – like the horticulture vegetable outlets. Also, keeping in view the skill gaps in various activities, emphasis has to be given to vocational education and training, which can be integrated with the general education system. Instead of confining training to the initial entry level in jobs, up-skilling and re-skilling need to adjust to the requirement of the changing economy.

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