Context: Recently, Labour Bureau, Ministry of Labour and Employment released the results of the Quarterly Employment Survey (QES) for the First Quarter (FQ) of 2021 (April to June).
About QES Survey

• The Quarterly Employment Survey (QES) is part of the All-India Quarterly Establishment-based Employment Survey (AQEES).
• It covers establishments employing 10 or more workers in the organised segment in 9 sectors.
• The 9 sectors are Manufacturing, Construction, Trade, Transport, Education, Health, Accommodation and Restaurants, IT/BPO, Financial Service

Objective: To enable the government to frame a “sound national policy on employment.”

• India ratified the International Labour Organization’s (ILO) Employment Policy Convention, 1964, in the year 1998, which requires the ratifying countries to implement “an active policy designed to promote full, productive and freely chosen employment.” India does not have a National Employment Policy (NEP) yet.

Key highlights of QES 2021 Data

• Shows a 29% increase in employment in nine sectors during the peak Covid-19 months of April-June 2021 over a base of 2013-14 (Sixth Economic Census – EC).
• There has been a decline in the share of female workers. From 31% in the 6th EC (2013) to 29% in QES (2021) data.
• Out of the 9 sectors, 7 sectors saw growth in employment while only 2 sectors (Trade, and Accomodation & Restaurants) saw a decline in employment figures.
• The IT/BPO sector saw the most growth of 152% during 2013-2021 period.
• Between 1998-2021, there has been an absolute increase in employment figures. Since 1998 (4th EC), the highest growth rate in employment (38%) was in the period 2005-2013.
• The simple growth rate of employment between 1998-2021 has been fluctuating, and not linear.

What can be inferred from the QES Data?

• The overall growth rate is incongruent with macroeconomic factors and other labour market portrayals. 
• The QES provides very broad employment figures — “3 crores and 8 lakhs approximately” for FQ-2021. But due to low employment demand, cost-minimising manufacturers the statistics in QES are arguable.

What more could have been done for the report? 

• At any rate, the F12021 QES must be considered as a starting point of the new data set rather than as a continuum of the Sixth EC as the Seventh EC would enable sensible comparisons. 
• Like the Sixth EC, it could have collected data on social aspects like caste and religion as the pandemic would have had differential impacts on the social statuses of workers. 
• Instead of five segmented employment surveys (QEP’s), the Labour Bureau can put in place a high-frequency labour market information database like most advanced economies.