India needs 10 million new jobs annually to maintain GVA growth, know what the latest report is saying

New Delhi : Goldman Sachs has recently presented a report, based on which it has been found that India will need about 10 million new jobs every year from financial year 2025 to 2030, to achieve an average GVA i.e. Gross Value Added of 6.5 percent annually. The lead can be maintained.

Encouraging affordable housing development could boost the real estate sector, which employs more than 80 percent of the work force in the construction sector. This will give a great boost to employment generation in various skill levels.

Employment opportunities will increase

Establishing IT hubs in Tier-2 and Tier-3 cities and Global Capacity Centers (GCCs) in smaller cities will reduce pressure on Tier-1 urban centers and increase employment opportunities in underserved sectors. Such as textile, food processing and furniture Shifting fiscal incentives towards labor intensive manufacturing sectors can help in job creation for low to medium skilled labour.

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labour-intensive sectors

While the government's production-linked incentive (PLI) schemes have mainly benefited capital-intensive industries, Goldman Sachs notes an encouraging shift towards more labour-intensive sectors, including textiles, shoes, toys and leather goods. This approach aims to align India's manufacturing sector with broader employment goals, as about 67 percent of manufacturing sector jobs remain in labour-intensive sectors.

about 13 percent of jobs

Over the last 2 decades, India has added approximately 196 million jobs, two-thirds of which have been created in the last 10 years. Significant changes have occurred as more labor has transitioned from agriculture to manufacturing and service roles. Construction remains a primary driver of employment in India, accounting for about 13 percent of total jobs. Investment in real estate and infrastructure has not only created jobs but also positively impacted income levels in low- to middle-income households.

New roles were born

Similarly, the service sector, which contributes about 34 percent to total employment, has also expanded significantly. Notably, the retail trade segment has benefited from digital transformation, as retail salespeople have moved to online platforms, creating new roles in sectors such as inventory management, packaging and delivery service.