India needs a national development corps

Every recruitment cycle in India sees tens of thousands of public posts attract millions of applicants.

- Ramanan Laxminarayan

The fact that even a posting for the position of office peon in the public sector draws tens of thousands of highly educated candidates indicates that in today’s jobs environment, stable entry points into employment are scarce.Although India is one of the youngest major economies in the world, youth unemployment, particularly in urban areas, remains elevated. According to the Periodic Labour Force Survey 2022-23, unemployment among Indians aged 15-29 remains around 10-12% nationally, with significantly higher rates in urban areas and among graduates. Degree holders are far more likely to be unemployed than those with less education, reflecting persistent skill mismatches. At the same time, hiring in the IT and business-process sector has slowed as firms adopt Artificial Intelligence tools that automate coding, testing, and back-office functions, reducing traditional entry-level opportunities. Hiring trends in western economies indicate that these opportunities may be more difficult to access going forward.

Across history and countries, sustained youth unemployment has often been associated with higher levels of social unrest and political volatility. At the same time, India faces immense unfinished work in health, education, and agriculture, which need energy, ideas and motivation. A National Development Corps may be the solution.