The scourges of mass
unemployment and underemployment are the biggest of all problems that afflict
almost all countries in the world – developed and developing. In fact, they are
the root cause for all the other social evils and curses. The recent unprecedented
global slow down and credit crisis, supposed to be worse and far-reaching than
the global crisis of 1930s – have accentuated the burden of these countries.
However, economists agree that India
and China
by and large remained unaffected, the latter by its sheer economic potential
and bloom and the former on its strength of a vibrant public sector. Even
within the country, Tamil Nadu continued to remain as an island of sustained
industrial growth and Deputy Chief Minister Thiru M.K.Stalin, who also holds
the Industries portfolio, was justified in claiming recently that the global
economic slowdown had no impact on the State’s steady growth. Tamil Nadu has
given a double whammy back to recession now, having not only exceeded estimates
of a 20 per cent growth in IT exports in 2008-09, but having added 41,000 jobs
during year. The final tally released by the TN IT department showed a 29 per
cent growth in software exports from the state at Rs.36,860 crore in 2008-09
over Rs.28,420 crore in 2007-08. It was Rs.20,658 crore in 2006-07 when the
growth rate was 37 per cent over 2005-06 when the ADMK government was in
office. The story was the same in manufacturing sector also.
Is this achievement a
miracle? Certainly not. It was due to the sincere commitment and far-sighted
vision of the Kalaignar government that have accrued in sustained industrial
growth, employment generation and all-round prosperity in the state. Although
the New Economic Policy of the Government of India was unveiled in 1991, the
notoriously corrupt and autocratic regime of Jayalalitha during 1991-96
absolutely failed to reap the benefits of the new policy and keep the doors of
the state wide open for attracting investments. The proactive policies and
hassle-free transparent procedures added to a healthy administration of the DMK
government between1996-2001 and since 2006 constituted milestones in the course
of industrial development in the state.
In a mixed economy like
ours, the government and State-owned enterprises are considered ‘model employers’,
both in terms of investments and employment generation. But the previous regime
of Jayalalitha during 2001-06 imposed ban on recruitment to government
departments and government undertakings in the name of enforcing fiscal
discipline to tide over so-called financial crisis, thereby throttling
employment opportunities for lakhs of youngsters. The thoughtless appointments
of government employees and teachers on paltry consolidated pays and no
security of jobs encouraged the private sector also to resort to anti-worker
policies and practice. Jayalalitha’s ‘commission regime’ put off potential
investors from the state. The lengthy list of companies which repelled away
from Tamil Nadu and went to some other states for their investments includes
some international majors. A Russian company which submitted its tender for a
desalination plant filed a case in Madras High Court complaining of those in
the helm of affairs demanding a hefty commission for approval.
The DMK, which assumed
office in 2006, had the onerous task of reversing the negative trends that set
during the previous ADMK regime. In its election Manifesto for the 2006
Assembly elections the Party promised:
To the educated unemployed youth, who have not got
any job even after registering in Employment Exchange, unemployment allowance
will be given till they get a job at the rate of Rs.150 p.m. for those who
passed X standard, Rs.200 p.m. for those who completed XII standard and Rs.300
p.m. for graduates.
For the youth who have been affected by the age limit
ceiling and lost opportunity to get a job on account of the ban on recruitment
imposed by ADMK regime, age limit will be relaxed.
We will fill up the three lakh vacancies caused by
the ban on recruitment during ADMK regime.
As computer training is inaccessible to the youth in
villages, computer instructors will be appointed in villages and a scheme of
free computer training will be implemented.
By making use of the progress, Information
Technology, we will make efforts to set up I.T. Parks in Coimbatore,
Trichy, Madurai, Salem and Tirunelveli and increase employment
opportunities.
We will find ways to establish Business Processing
Outsourcing Centres in all districts.
As of any other electoral
promise, Kalaignar government fulfilled all those promises within a year of
assuming power. The ADMK regime by its G.O.Ms.No.212 of 29.11.2001 ‘issued
orders barring the filling up of vacant posts in the State and Subordinate
services by direct recruitment, except in respect of certain categories of
posts considered essential, such as Teachers, Doctors and Police Constabulary.
Vacancies for teachers were partially filled up by recruitment on temporary
basis on consolidated paltry pays of Rs.3,000-4,000. In the very first session
of the Assembly after the DMK assumed power, the Governor, in his address on
24.5.2006, among others, announced that the upper age limit for entering into
government service would be relaxed by five years, to enable the unemployed
youth affected by the ban on recruitment, to apply for government jobs. The
announcement was given effect by a G.O.Ms.No.98 dated 17.7.2006 and within one
year 2,28,149 persons were appointed in government jobs and the recruitment
process had become a routine now whenever vacancies arise. During the previous
rule even compassionate appointments were withheld and the DMK government had
to clear this backlog too besides regularizing the services of about one lakh
teachers on time scale from the temporary appointments to fill vacancies and
for additional posts which have become a continuing affair. Even now,
notifications have been issued for recruitment of 13,753 more employees for
Nutritious Meals Programme and Integrated Child Development Services. Even
though they are not full-time government employees, Kalaignar has implemented a
special time scale, promotions, retirement benefits and announced a host of
other benefits for these workers at their conference held recently.
In order to attract
investments into the various sectors of the State and thus contribute to the
development of the economy as a whole and generate employment opportunities,
the DMK government had made several policy announcements. These policies have
unveiled a road map and graphed a trajectory for bolstering the industrial
climate of the state and remove various road blocks which hampered the
industrial expansion of the state. These policy documents also envisaged the
investment incentives and schemes for the investors.
The major being the
Industrial Policy, announced with a mission to accelerate human development in
Tamil Nadu by maximizing investment, output, growth, employment and
manufacturing competitiveness through infrastructure and human resources
development in industries and services sectors. The key objectives of the Industrial
Policy are to:-
Position Tamil Nadu as the most attractive
investment destination.
Facilitate industry capturing a larger
share of world trade in goods/services.
Reform regulatory processes and remove
procedural hurdles in business.
Enable integration of existing industrial
clusters with global supply chains.
Build efficient and dependable industrial
infrastructure.
Develop human resources and intellectual
capital to world standards.
Encourage symbiosis with SMEs in major
industry clusters.
Another important policy
being the Information Technology Policy, which has the vision of putting a
smile of prosperity on the face of every citizen of Tamil Nadu by leveraging
Information Technology (IT) to create value and wealth for a knowledge-based State.
The key objectives of the policy are to:-
Establish the state as the destination of
choice for IT investments
Upgrade the quality of life for the
citizens through e-governance and IT applications in government.
Empower people in the rural areas so as to
bridge the digital divide.
Develop research and development
initiatives.
Promote use of Tamil in information
technology.
Similarly, the Information
Technology Enabled Services (ITES) policy has been announced with the vision of
making Tamil Nadu the Global ITES Capital; attracting increased foreign direct
investments; creating large-scale employment opportunities and adding value and
wealth by leveraging the inherent strength of the State. Its objectives are
to:-
Get the maximum global ITES investments to
Tamil Nadu
Develop Human Resources specific to ITES
Sector
Create world class infrastructure for IT
& ITES and an enabling frame work for protection of intellectual property
and data
Generate employment and other ITES
opportunities in major cities in Tamil Nadu
Provide a conducive environment for the
sector by reducing regulations and increasing opportunities.
Besides, a Biotechnology
Policy has been announced with the objective of utilising the resource base of
the State for its overall economic development. As per the policy, the
Government of Tamil Nadu aims to facilitate the establishment of Biotechnology Enterprise
Zones (Bio-Valleys) along the lines of Silicon Valley
to exploit the bio-resources of the State. Also efforts will be made to
encourage the establishment of different types of biotech entities consisting
of research organisations, service providers, as well as companies which will
commercialise the new products and processes.
All these policy initiatives
added to the advantages of the availability of a pool of skilled manpower,
road, air and port connectivity, a favourable industrial climate and healthy
industrial relations and the vision of the political relationship and its easy
accessibility have made Tamil Nadu as the most attractive and favoured
investment destination in the country. The outgoing Industries Secretary Thiru
M.F.Farooqui, who played key role in bringing in investments and in shaping
ambitious projects of Kalaignar and Thiru Stalin, had acknowledged that Kalaignar’s
keenness to bring in more investments and create more employment opportunities
was the main reason for the state’s success. The state has attracted Rs.30,512
crore investment in 2008-09 bettering the target of Rs.30,000 crore.
As a successful outcome of
the DMK government to increase employment opportunities during the past three
years, entrepreneurs had come forward to establish 29 new industries with an
investment of Rs.37,595 crore with an employment potential of over two lakh
persons till the end of year 2008. Global majors in heavy vehicle production
like Daimler–Hero, Ashok Leyland–Nisson, Ceterpillar and in automobile parts
like Delphi, Allison, car manufacturers like
Hyundai and Ford, electronic goods manufacturers like Dell Computers, Motorola,
Samsung and Nokia-Siemens have established their manufacturing units here. Information Technology
Park has been established in Coimbatore and steps are being taken to establish IT Parks
in Madurai, Tiruchi, Tirunelveli, Salem and Vellore,
of which the construction of first three will be completed by the year end.
The State’s IT export sector
employed 2.85 lakh persons in STP units and 45,481 in IT and SEZs, as on March
2009. The employees’ strength in STP stood at 2.44 lakh last year, indicating a
job addition of 41,020. Since IT SEZs have also been a recent phenomenon,
48,481 employees in SEZ units have all been added up in these two years.
Another area of key concern
of the DMK government was generation of rural employment avenues. It had most
effectively utilized the National Rural Employment Guarantee Scheme (NREGS) of
the UPA government. The NREGS has done wonders to uplift the rural poor by
guaranteeing them a decent daily income of around Rs.80 earlier and now Rs.100
after the UPA government increased the quantum of daily wage under the scheme.
TN is the only state in the
country to carry out NREGS as pristine pure and keeping to the main agenda,
which is to keep the contractor and the machines out. Other states have
degenerated as contractor-driven whereas it has ensured that the contractor is
kept out and with that, the politician too is out.
More than 100 panchayat presidents
were dismissed by the concerned district collectors on finding that they had
misused NREG to make money. The government has been ruthless while tackling
fraud.
The big farmers-SSI lobby
repeatedly targeted the NREG scheme as it took away their labour force by
offering decent wages. They were exploiting these labourers by paying around
Rs. 50 a day for dawn to dusk toil in the fields and factories, but NREG offers
far better wages and reasonable working conditions.
The NREG works de-silting
canals and deepening tanks ensured that water reached the tail-end farms and
there was no flooding. Several irrigation canals in the delta area and
elsewhere have been cleared of their wild-growth and other debris to create
smooth and deep channel for carrying the rainwater to tail-ends without
flooding the fields and villages.
The spending on wages for
beneficiaries under the scheme in Tamil Nadu has crossed Rs.1,200 crore so far
this year, and the state may exceed Rs. 2,000 crore for 2009-10. This would be
two times the expenditure of Rs. 990 crore last year.
The State has logged 16
crore person-days involving 30 lakh households, and the wages involved have
been mainly disbursed in cash. The Centre is insisting that it would release
funds for the scheme only if wage payments are made only through bank or post
office accounts, but Tamil Nadu has voiced concern over the move.
The State government feels
it is on sound legal footing when it opposes the idea of making bank payments
compulsory. The NREGS Act itself permits payment of wages in cash. Section 23
of the Act makes it clear that all payments of wages in cash and unemployment
allowances shall be made directly to the person concerned and in the presence
of independent persons of the community on pre-announced dates.
Payments through bank or
post office accounts would not solve the problem of ‘ghost workers’ and might
even worsen it. It will only aggravate the problem as village panchayat
presidents or staff can quietly credit payments to bogus beneficiaries.
Deputy Chief Minister Thiru
M.K.Stalin had recently written to Union Rural Development Minister Thiru
C.P.Joshi listing the practical difficulties in forcing rural workers to open
bank accounts and making them travel long distances for withdrawing their
payments. The Centre is yet to respond to the state’s concern. Making bank payments mandatory would create
discontent among NREGS workers and deny timely wages to them, Thiru Stalin had
said, and expressed fears that the scheme itself might be derailed as a result.
The most innovative and
productive employment avenue envisaged by Kalaignar during his third Chief
Ministerial period in 1989-91 is the Women Self-Help Groups scheme. Soviet
leader V.I.Lenin said, “Women constitute half the sky”; but the productive
force of half the population of our country is locked up in mundane domestic
chores and child bearing and rearing. Breaking this traditional and
conservative role of women in our feudal society and in fulfillment of the vision
of Thanthai Periyar and Mahakavi Bharathiar, Kalaignar unveiled their ambitious
scheme which aims at emancipating and empowering women, unleashing their
potential not only for augmenting their family income but also join the
mainstream workforce of the country and contributing their might in national
economic development.
Ever since he took over this
assignment when he became Minister in the year 2006, Thiru Stalin evinced keen
interest and played an active part in enlarging the scope of these SHGs quantitatively
and qualitatively. Now with a strength of 65,72,000 members, the 4,12,104 Women
SHGs in Tamil Nadu have become a great movement. The DMK government
strengthened the distribution of revolving funds for these groups and increased
daily allowances during the training period for the members of SHGs. It has
also instituted Manimekalai awards for best performing SHGs, panchayat-level
federations of SHGs and other awards. They are enjoying tremendous patronage of
the DMK rule can be seen from the fact that Rs.201 crore in 3 years had been
given as revolving fund while the previous ADMK regime allotted only Rs.76
crore in five years. Likewise bank loans to the tune of Rs.4,716 crore was
given to SHGs as against Rs.1,644 crore of loans during five years of ADMK
regime. This amount constituted 20 per cent of loans released across the
country to SHGs, according to Union Minister Thiru P.Chidambaram, who recently
lauded the performance of the State government in promoting these
self-employment groups. They are repaying bank loans in time and the recovery
rate is 99 per cent. The WSHGs in Tamil Nadu hold a deposit of about Rs.2,500
crore. These groups are now functioning in urban centres also.
It is heartening to note
that these women SHGs have established their entrepreneurial skills both in
manufacturing/value addition and marketing. For example, the SHGs formed by
women of fishermen community in the seashore areas of Chennai recently
organized an exhibition of value added fish food products that attracted large
number of foreign-tourists and women from upward moving families. A chain of
hygienic and tasty food outlets is being run by transgenders SHGs in Salem. Another WSHG is
producing sanitary napkins at affordable prices for poor women.
The DMK government has also
set up youth SHGs and in one year 16,269 groups benefiting 2,48,180 youngsters
were formed. It has appealed to the youth of TN to join in more and more SHGs
and get benefited by self-employment. In keeping with the electoral promise,
the Kalaignar government is implementing the scheme of monthly financial
assistance to educated unemployed youth at the rate of Rs.150 Rs.200 and Rs.300
p.m. for those who have studied upto 10th standard, HSC and graduate
level respectively, thereby helping them to apply for vacancies, pay
recruitment test fees and to buy books to prepare themselves without causing
burden to their parents.
The Tamil Nadu Adi Dravidar
Welfare Department in association with the TAHDCO conducted an Airhostess
training course for Dalit girls and they got placements in various Airlines.
The department also organized training courses in fashion designing in
association with the National Institute of Fashion Technology (NIFT).
The Social Welfare
Department in association with the Confederation of Indian Industry (CII) will
organise a job fair for persons with disabilities on coming December 15 in
Chennai.
Union Minister for Chemical
and Fertilisers Thiru M.K.Alagiri is keen on developing industries in southern
districts and during his tour of Indonesia he met some leaders of
the industry and could secure a tractor spare parts manufacturing unit near
Melur whose officials recently visited the proposed site.
Another innovative programme
for availing employment opportunities carried out at the individual / party
organizational level is the Kalaignar 85 and Kalaignar 86 Job Fairs organized
by Poet Kanimozhi MP in coordination with district DMK functionaries.
It began as an experiment in
June last year at Kariyapatti, the largest village in School Education Minister
Thiru Thangam Thennarasu’s constituency. By December 2008, job fairs held in
rural areas had provided jobs to about 50,000 unemployed youths spread across
five districts.
“We wanted to do something
to realise the ideals that my father and Chief Minister stood for to coincide
with his birthday celebrations,” recalled Poet Kanimozhi, MP and main organiser
of ‘Kalaignar 85’ job fairs. “All his life, my father has fought for equality
for all and for the rights of the oppressed and the backward classes. Taking
the job fair to a rural area or even a district headquarters is one way to make
sure that at least the educated unemployed youth have a fair chance,” she said.
Because of her interaction
with a cross section of people, ranging from job-seekers to industrialists,
Poet Kanimozhi says she had realised that there was a gap that her party could
help to bridge. Many industries did not find suitable hands and the State had
significant numbers of educated unemployed. Companies sought people for jobs
that ranged from software professionals and managers to watchmen and
drivers. “We merely provided a forum to
bring the job-seeker and the company together in an environment that is not
intimidating to the job-seeker,” she said.
‘Kalaignar 85’ last year travelled
to Nagercoil (August), Vellore
(September), Udhagamandalam (October) and Virudhunagar (November). The largest
number of applicants was in Vellore
– 65,272. “In Vellore, one boy had four letters of offer.
He came to me asking which he should choose,” recalled Poet Kanimozhi.
When he was briefed about
the job fairs, Kalaignar had one question: “What happens to those who do not
find a job?” The organisers explained to him that the orientation was done by
experts from a cross section of the industry – from NASSCOM to the local
security agency. The candidates were clearly told that if they met the
qualifications, they would get the job. There was no backdoor entry, no
recommendation. “When an applicant sees for himself the transparent manner in
which the entire process is conducted, they will not have any doubts in their
mind,” said Thiru K.K.S.S.R.Ramachandran, Minister and DMK Virudhunagar
District Secretary.
Thiru Thangam Thennarasu,
Minister for School Education, said the job fairs were completely non-political,
even though they were coordinated by DMK leaders in districts. “Kanimozhi is closely following the job fairs
and had written to various national and State-level industry bodies such as the
Confederation of Indian Industry (CII) and National Association of Software and
Service Companies (NASSCOM),” the Minister said.
The potential of private
sector was being tapped in view of employment opportunities generated out of
Rs.46,000 crore investment coming to Tamil Nadu since the DMK came to power.
“The credit for job fairs
goes to Poet Kanimozhi since it was her brainchild and she took it up as a
social responsibility. Towns and tier-II cities stand to benefit immensely,” he
added.
For instance, in the Vellore district job fair
held in September, 17,000 candidates out of the total 30,000-odd job-seekers
got jobs. “There will not be any sort of
discrimination in selecting candidates. We are also now contemplating to do
data analysis and take remedial steps for candidates who could not get
selected. The aim is to get as many jobs as possible,” the Minister said. The
age group eligible for participation is 20 to 35 years. A total of 19,098
candidates have got job offers in the three-day Kalaignar 86 “employment
opportunity camp” that concluded recently at Vadalur near Cuddalore. The
selection process for another 8,017 candidates is under way. A total of 54,000
candidates from various parts of the district registered for the camp and of
them 36,349 attended. They all belonged to three categories: A category (degree
holders), B (diploma/certificate holders) and C (SSLC and Plus Two candidates).
As many as 415 companies participated and selected 19,098 candidates, including
a substantial percentage of women. In
the C category, the highest number of 11,055 candidates were selected followed
by B category, – 5,772, and, A section – 2,271. She hoped that at least half of
the 8,017 candidates whose applications were under process would get
placements.
Altogether Kalaignar-86
job-fairs at various parts of the state evoked tremendous response from
employers. It has helped to ensure over 54,000 youth to obtain job orders this
year.
The DMK Youth Wing
conference held at Tirunelveli in December 2007 presented to the government
concrete suggestion to create employment avenues. For example it was noted that
there was a need for three lakh drivers for running heavy vehicles and cars and
demanded that uneducated youth may be imparted learning in driving. The
suggestions are under the consideration of the State government.
In all, the multi-pronged
strategy adopted by Chief Minister and DMK President Kalaignar for employment
generation in Tamil Nadu, has paid rich dividends and has taken the State
several steps ahead of others in turning it into a most productive and prosperous
state, in which every citizen is a stakeholder!
(06-12-09)
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