Gujarat's Unemployment Rate at 1.1%: One Crore Skilled Workers Needed by 2030
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Gandhinagar, March 12 (NationPress) Gujarat proudly holds the title of having the lowest unemployment rate in the nation at 1.1 percent, which is considerably lower than the national average of 3.2 percent, as stated by the Labour and Employment Development Minister Kunvarji Bavaliya in the Legislative Assembly on Thursday.
Referring to the Periodic Labour Force Survey (PLFS) conducted by the Central government, Bavaliya emphasized that these statistics illustrate the effectiveness of the state’s initiatives in employment and skill development.
“With Gujarat’s unemployment rate at just 1.1 percent compared to the national average of 3.2 percent, it highlights the government’s successful strategies,” he remarked.
The minister added that Gujarat leads the country in male labour force participation and ranks second for female labour participation.
Bavaliya delivered these insights while outlining a budget proposal of Rs 2,902 crore for the Labour, Employment and Skill Development Department for the fiscal year 2026–27 during the Assembly session.
He noted that this budget aligns with the state’s overarching development objectives and aims to enhance social security for workers while intensifying skill development to fulfill future economic demands.
“This budget is committed to ensuring the welfare and security of our workers while focusing on skilling, re-skilling, and up-skilling our current workforce,” he explained, further adding that Gujarat will need nearly one crore additional skilled professionals by 2030 to achieve the goals outlined in its long-term development vision.
Discussing labor reforms, Bavaliya mentioned that Gujarat has successfully consolidated 29 labor laws into four labor codes, which took effect on November 21 of the previous year.
These reforms aim to safeguard workers’ rights while also enhancing the ease of doing business for industries.
The minister highlighted that over 11.40 lakh workers have registered under the Gujarat Building and Other Construction Workers Welfare Board, which facilitates various welfare programs.
To improve healthcare access for construction workers, the government intends to augment the number of ‘Dhanvantari Arogya Rath’ mobile health units to 500 next year, with an allocation of Rs 60 crore.
Through the ‘Shramik Annapurna Yojana’, which offers nutritious meals to workers for just Rs five, the government has earmarked Rs 200 crore to set up 300 additional centers.
For skill enhancement, the state has set aside Rs 226 crore under the ‘Namo Gujarat Skill and Employment Mission’ and Rs 200 crore for upgrading industrial training institutes (ITIs) under the ‘PM Setu’ scheme.
To promote technical education for girls, Rs 40 crore has been allocated under the ‘Namo Kaushalya Laxmi Yojana’ to provide financial support ranging from Rs 15,000 to Rs 24,000 for female students enrolled in ITIs.
The budget also includes maternity assistance of Rs 37,500 for women working in construction and financial aid for workers afflicted by silicosis in the agate and stone sectors, with Rs three lakh for treatment and Rs four lakh in compensation for families in cases of death.
Bavaliya mentioned that the government also plans to provide portable houses equipped with solar panels and water tanks to 2,500 salt pan workers laboring under harsh conditions.
Under the ‘Chief Minister Bhagya Laxmi Bond’ scheme, bonds valued at Rs 25,000 will be issued in the names of daughters of construction workers for an 18-year term, with Rs two crore allocated for this initiative.
Workers commuting from labor hubs to workplaces in Ahmedabad, Vadodara, Surat, and Rajkot will benefit from an 80 percent subsidy on municipal bus pass costs through the ‘Shramik Transport Scheme’.
The government has also set aside Rs 97 crore for constructing new buildings for 16 ITIs and Rs 64 crore to enhance infrastructure facilities.
Bavaliya added that a ‘Case and Claim Management Module’ has been developed on the ‘Shram Setu’ portal to facilitate online resolution of workers’ gratuity claims and industrial disputes.
The budget also allocates Rs 10,000 to cover funeral expenses for workers in the informal sector and compensates up to Rs 4 lakh for accidental deaths or permanent disabilities.
The Assembly subsequently approved the budgetary demands.