A Vicious Circle of Low Investment, Low  Skill Formation, Low Productivity and Low Wages in South–West Madhya Pradesh

Dr. Surya Prakash Tripathi

Volume : III, Issue : IV, April - 2014

A Vicious Circle of Low Investment, Low Skill Formation, Low Productivity and Low Wages in South–West Madhya Pradesh

Dr. Surya Prakash Tripathi

Abstract :

Every year the number of unemployed youth is increasing in South -West Madhya Pradesh. Many students are coming out of school every year and this increases the number of unemployed youth while the job opportunities are the same. Unfortunately, large numbers of young people are leaving school without even the foundations necessary to avoid some of the worst forms of disadvantage in the labour market. Those lacking foundation skills face the prospect of extremely low pay - barely enough for their own survival, let alone to support their families. Addressing the deficit in foundation skills is now more urgent than ever. If governments and the private sector fail to educate and train young people and employ them in decent jobs, they risk disappointing young people�s aspirations and wasting their potential. This limits opportunities for sustainable growth, and jeopardizes gains from policy interventions in other areas, such as poverty reduction, health and agriculture. Alongside the risks, growing youth populations represent a window of opportunity for development. The rising ratio of working-age people to dependants could give economic growth a boost: a demographic dividend. Those needs start with early childhood care and education - the crucial preparation for a life of learning. The scale and urgency of the problem demand that this study take a pragmatic approach, focusing on skills that can offer all young people, including the disadvantaged, and a chance of obtaining better jobs. Although considerable progress has been made in improving access to primary school in the region, a large proportion of young people still leave school without the skills necessary to avoid some of the worst forms of disadvantage in the labour market. Early unemployment, or employment in low skilled work with no prospect of advancement, wastes young people�s potential to forge better lives for themselves and to contribute to their economies and societies. And those with the worst educational outcomes- the urban poor and those in rural areas - are consigned to activities with very low pay, or none at all. Young women, in particular, face discrimination that limits their opportunities in both education and the labor market. Many young people in the region do not have the skills they need for decent jobs. This Study outlines the urgency of making sure young people are given a second chance to acquire skills for work. It shows the regions in the world with the largest numbers of young people in need of foundation skills to find decent jobs. Left unassisted, unskilled youth either add to the increasing number of unemployed or are trapped working for very low pay.