PRAHAR (Public Response Against Helplessness and Action for Redressal) a Delhi based NGO dedicated towards finding solutions for problems of the helpless,
GREATER NOIDA TENNEWS REPORTER LOKESH GOSWAMI
INDIA ON THE VERGE OF A LIVELIHOOD-LOSS EPIDEMIC
550 jobs disappear in India every day; by 2050 India would have lost 7 million
jobs while growing population by 600 million
Doing business in India gets tougher at the bottom of the pyramid
Millions of Indians employed in farming, petty retail, and informal
sectorsgrapple with falling incomes and rising stress levels
Unfriendly regulatory environment and lack of ‘livelihood-first’ economic
policies taking livelihoods away
New Delhi, 7 November 2016:
PRAHAR (Public Response Against Helplessness and Action for Redressal) a Delhi based NGO
dedicated towards finding solutions for problems of the helpless, today unveiled its national
research conducted to understand India’s livelihood challenges against the backdrop of its national
conference ‘Livelihood Challenges in 21 st Century and Action for Redressal’, held in NCR today.
The conference was attended by close to 1500 participants representing India’s largest workforce
segments of farming, retail and unorganized sector.
PRAHAR’s study conducted among more than 1000 farmers, farm workers, street vendors and
unorganized workers across India, unearthed some interesting findings:
70.8% farmers felt that their incomes have been decreasing, while 75% of street vendors felt
that they have been losing their incomes.
59% farmers feel that the drop in income has been the sharpest during the last 5 to 10 years,
while 50% street vendors feel that the income drop is sharpest in the last 2 years
Besides falling incomes, rising stress is a big cause of concern for farmers, street vendors and
unorganized workers. They feel more stressed to retain their incomes. 78% farmers feel
stressed, while 93% street vendors say they are feeling more stressed.
Forget the global ease of doing business ranking, Indians at the bottom of pyramid feel getting
business in India is getting more difficult.
For both farmers and street vendors, unfriendly regulatory environment and support is emerged
as a top reason for rising stress levels and falling incomes. This is surprising as the popular belief
is that these sectors are unregulated.
Under the garb of welfare measures, there exist many regulatory interventions or dependencies
enveloping the masses, which are killing livelihoods. Government of India needs to constitute a
think-tank which can help weed out such unfriendly regulations.
Speaking on the occasion, Mr. Abhay Raj Mishra, President, PRAHAR, said, “Indian intelligentsia and
policy makers backing of glamorous sectors like information technology, automation and services to
solve India’s economic problems is a flawed approach. It is farming and SME sectors which are
source of livelihood for 99% of Indian’s population today, with organized sector catering to a
minuscule 1%. To achieve economic nirvana, India needs ideas which reinvigorate and galvanize the
farming and SME sectors as a singular focus. This is PRAHAR’s focus and top priority”.
“We need livelihood-first ideas in India. We need to promote businesses which require more people
and fewer machines. Any economic activity which cannot deliver three to four times the global
averageof jobsshould be declared illegal in India”, he added.
“Instead of indiscriminately spending on welfare schemes, Government needs to invest in cultivating
local champions, who create livelihoods at the bottom of the pyramid. Government’s role should be
like a venture capitalist, which identifies talent in farm, petty retail, street vending and SME sectors,
and enables them to create businesses which are employment friendly”, he concluded.
With aggressive focus on technology and automation and the stifling government regulations,
people dependent on agriculture and the unorganized sector like small retailers, street vendors,
manual labour and so on see employment opportunities dwindling and their livelihoods under
severe stress. As per World Economic Forum data, unemployment rate in rural areas rose to 5.1 % in
2015-16,up from 4.7% in 2013-14. More than a third of farmer households today live below the
poverty line. According to the study by PRAHAR, while automation is threatening cotton, sugarcane,
rice, wheat, vegetable and fruit farmers, the tobacco farmers face financial distress with excessive
regulation in the tobacco industry. Clearly the Hon’ble Prime Minister Narendra Modi’s promise to
double rural income in five years to lift farmers out of poverty is not expected to meet the deadline.
As per PRAHAR’s internal studies and analysis workers who are worst affected by the livelihood
losses are farmers and farm labourers across India, small retailers, hawkers and unorganized retail,
contract labourers and construction workers in the same order.
Data from the PRAHAR study also reveal other startling facts. 46% farmers believe that their
livelihoods are under threat, with 17% believing that there is a dramatic reduction or it is becoming
impossible to sustain themselves from farming. 18% farmers believe that toughening or harsh
Government regulations coupled with multitude of Government agencies is making farming
unviable. 94% of farmers have farming as their primary source of livelihood. 100% farmers employ
farm workers whose livelihoods depend on the success of farming activity. 55% farmers believe that
the main reason for livelihood threat in farming is the mismatch between cost of cultivation and
price realization of farm produce.
According to the data released by Labour Bureau of Government of India in early 2016, India created
only 1.35 Lakh jobs in 2015 in comparison to 4.19 Lakh in 2013 and 9 Lakh in 2011. Also, according to
Census 2011, the average growth rate of the economy was 7.7 per cent per annum, when it was only
1.8 per cent for employment. These data clearly point to the fact that job creation in India is
successively slowing down, which remains alarming.
Agriculture contributes to 50% of employment in India followed by SME sector which employs 40%
of the workforce of the country. The organized sector actually only contributes a miniscule less than
1 percentage of employment in India. India has only about 30 million jobs in the organised sector
and nearly 440 million in the unorganised sector. According to the World Bank data, percentage of
employment in agriculture out of total employment in India has come down to 50 per cent in 2013
from 60 per cent in 1994.
The labour intensity of small and medium enterprises (SMEs) is four times higher than that of large
firms. The multinationals are particularly capitalistic a fact vindicated during investment
commitments of US dollar 225 million made for the next 5 years during the Make in India Week in
February 2016. However, what went unnoticed is that these investments would translate into
creation of only 6 million jobs. Highly capitalistic multinationals want to start factories in India to sell
their products to the white-collar middle class but will not create the manufacturing workforce the
country is longing for.
About PRAHAR
PRAHAR (pronounced as प्रहर in Hindi which means ‘gatekeeper’) is an NGO based in Delhi which
stands for Public Response Against Helplessness and Action for Redressal. As evident from the name
itself, PRAHAR attempts to address ‘Helplessness’ which citizens’ experience, as they struggle with
their everyday lives, and find themselves all alone in dealing with them. PRAHAR is dedicated
towards finding solutions for problems of the helpless. A key character of helplessness’s is that it
cannot be fought alone. PRAHAR collaborates with supporters, influencers, organizations, like-
minded people and donors to provide direction, voice and resources to seek solutions to these
problems.
PRAHAR’s national campaign on livelihoods include following activities:
Carrying out studies to go deeper into the subject and identify the real areas which need to be
addressed. PRAHAR would conduct a national opinion poll among the most vulnerable sections
of the society to understand their concerns and their views on what could arrest the problem.
Take up the issues directly affecting the aggrieved class of participants, who could be farmers,
small retailers, factory workers or others.
To arrive at a charter of demands from the weaker sections of the society who are facing
unprecedented livelihood challenges and take their concerns to the policy makers and the
custodians of the constitution of India.
Identify specific solutions and set up redressal forums to deal with specific challenges or threats
whether they pertain to a class of workers or a particular sector of the economy.
Prepare an action plan for reinvigoration of livelihood creation and generation of new
opportunities for the emerging young class, while safeguarding current livelihood opportunities
which are constantly losing ground because of arrival of technology or other changes.
To constitute a Monitoring Committee with a calibrated representation of stakeholders and
experts to keep track of recommendations made and results achieved.