While every country across the globe faces the issue of unemployment, India has unbelievable skills and with the right focus on training youth, the country can effectively tackle the problem, says Jamie Dimon, chairman and CEO of JP Morgan Chase.
“We have some of your engineers in AI, data scientists who are among the best in the world. But every city can basically look at what jobs it needs, where are the pipelines. Cities have different things -- for instance, in Texas it's welding, in other cities it is coding, in others cities it is automotive; so if you do research you can find where the pipelines are and then get the high schools and colleges to start to train people for those jobs, so that when they get out of the school they have a good paying job and it’s important to give an opportunity to people,” the veteran banker told CNBC-TV18.
Dimon, the chairman and CEO of the biggest bank in America, was in New Delhi on Monday to sign an agreement with the World Bank for scaling up school-to-work transition in India. JP Morgan has committed $10 million to the World Bank for this project and will begin work in Rajasthan and Maharashtra.
It may be noted that the Central government’s Periodic Labour Force Survey in 2017-18 revealed that unemployment in the country reached an all-time high rate of 6.1 percent. Estimates based on official employment surveys and the Census show that in 2018, there were 471.5 million persons employed and 30.9 million unemployed in India. At the heart of the unemployment problem in India were young, unemployed men aged 15 to 29 years who comprised 21.1 million or 68.3 percent of all the unemployed in the country.
A study by the National Council of Applied Economic Research has also noted that between 2018 and 2022, close to 70 million workers will be joining the workforce and they will need to develop the necessary and relevant skills to keep pace with technological changes.
“I have been coming here for the better part of 15 years. India has grown almost three times the size, we now cover about 400 companies in India with a lot of multinationals coming in. Our global service centres have gone from 6,000 people to 33,000 people. When we started, it was kind of call centres and now it is cyber security, AI, Big Data, Cloud, all these various things. So we have $12 billion of credit here, we also have spent $500 million building great new corporate centres in Mumbai, Chennai and Bengaluru, and it is just part of our plan to continue to grow. So, it has been a great experience for us here and we are going to continue building,” Dimon added.
First Published: IST