Question

What was the youth unemployment rate in urban areas of Kerala in 2023-24?

• A. A. 35.1%
• B. B. 24.1%
• C. C. 15.9%
• D. D. 22.2%

Answer 1

Answer:

B. B. 24.1%

Understanding Youth Unemployment in Urban Kerala (2023-24)

• The reported youth unemployment rate of 24.1% in urban areas of Kerala for 2023-24 indicates a significant socio-economic challenge for the state.
• This specific figure represents the percentage of individuals aged 15 to 29 years who are unemployed, actively seeking employment, and residing in the urban regions of Kerala during the specified period.

The Kerala Model Paradox

• The "Kerala Model of Development" is globally recognized for its exceptional human development indicators, including nearly universal literacy, low infant mortality rates, and high life expectancy, often surpassing those of much wealthier regions.
• However, a prominent paradox of this development model is the persistent challenge of high unemployment, especially among its educated youth, which often remains above the national average.
• This paradox highlights a gap between social development achievements and economic opportunities within the state.

Key Factors Contributing to High Youth Unemployment in Kerala

• Educational Attainment vs. Job Creation: Kerala produces a highly educated workforce; however, the rate of job creation, particularly in the formal and manufacturing sectors, has historically not kept pace with the supply of educated labour.
• Limited Industrialization: Compared to several other Indian states, Kerala's industrial base is relatively small, which constrains the generation of large-scale employment opportunities.
• Preference for Formal Sector Jobs: There is a perceived societal preference among youth for government jobs, white-collar positions, or jobs outside Kerala, leading to a mismatch with available opportunities within the state.
• Dependence on Remittances: A significant portion of Kerala's economy is bolstered by remittances from Keralites working abroad, primarily in the Gulf countries. While economically beneficial, this reliance also indicates a scarcity of local high-paying job prospects.
• Land Scarcity and High Costs: Limited availability of land and high real estate prices can deter industrial expansion and large-scale agricultural ventures that could create more jobs.

Data Source and Methodology

• Unemployment data in India, including state and region-specific figures, is primarily collected through the Periodic Labour Force Survey (PLFS) conducted by the National Sample Survey Office (NSSO), which falls under the Ministry of Statistics and Programme Implementation (MoSPI).
• The PLFS is a crucial source for various labour market indicators like the Unemployment Rate (UR), Worker Population Ratio (WPR), and Labour Force Participation Rate (LFPR) across different age groups and geographic segments (rural/urban).

Economic and Social Implications

• Persistent high youth unemployment can lead to significant socio-economic issues such as underutilization of human capital, increased social frustration, a 'brain drain' as educated youth migrate for better prospects, and a missed opportunity to harness the demographic dividend.
• It also places considerable pressure on government resources for social welfare programs and employment generation schemes.

Government Initiatives

• The Government of Kerala has launched various initiatives aimed at addressing unemployment, including programs focused on skill development, promotion of entrepreneurship (e.g., through startup missions), encouraging investments in the IT and tourism sectors, and enhancing vocational training to better align skills with industry demands.