New Delhi: Unemployment has long been a critical issue in Telangana. While India as a whole faces high unemployment, Telangana’s challenges have unique historical and emotional dimensions. Jobs – especially government jobs – along with water and funds have been central to the state’s demands, crystallised in the slogan “neellu, nidhulu, niyamakalu” (water, funds, jobs), which fuelled the prolonged fight for statehood.
In the 2023 assembly elections, the Congress promised to fill two lakh job vacancies if elected. It did come to power – replacing the Bharat Rashtra Samithi (BRS) – but ten months into its term, the Congress has faced criticism from the BRS for allegedly failing to meet its employment commitments and disappointing the state’s job-seeking youth.
In August, the Congress responded by releasing a “job calendar”, a key election promise. This document outlines vacancies in government departments and a timeline for filling them. While it does not specify exact numbers, it provides a detailed schedule of the types of positions, tentative exam dates, recruiting agencies and candidate qualifications.
Unemployment: current data and trends
According to the Periodic Labour Force Survey (June 2023-July 2024), Telangana’s unemployment rate for those aged 15–59 was 5.1%, above the national average of 3.5%. Youth unemployment (ages 15–29) was even starker, at 16.6% compared to 10.2% nationally.
The Telangana Employment Study 2024 by the Rajiv Gandhi Institute for Contemporary Studies reported that high youth unemployment, educational mismatches, a sectorally skewed job market and widespread informal labour drive Telangana’s unemployment crisis.
Urban youth in particular face significant hurdles, with unemployment reaching 25.4% compared to 9.7% for rural youth. Graduates are heavily impacted, with 20% of college graduates and 19.7% of diploma holders unemployed, suggesting a severe skills mismatch.
The lack of high-skill, white-collar jobs further limits employment options for educated youth.
Sectoral employment divide and income inequality
Furthermore, the Telangana Employment Study reported a deep urban-rural divide.
The agriculture, forestry and fishing sector employs a significant portion of the workforce but contributes little to the state’s GDP due to lower productivity.
Conversely, the services sector – especially information and communication – drives GDP growth through high productivity but employs a smaller workforce.
In rural areas, 65.1% of workers were in agriculture, while in urban areas, 65.7% were in services. This imbalance limits economic diversification and restricts income potential in rural areas, where high-paying jobs are scarce.
Moreover, informality in Telangana’s labour market is rampant: 54.9% of workers lacked formal contracts, 40.3% received no paid leave and 46.7% had no social security access, the study said.
This informality limits wage stability, job security and access to essential social benefits, leaving many workers vulnerable to economic shifts.
Young, less-educated individuals are finding work in rural agriculture, manufacturing and urban service sectors, though these jobs are often unstable. In contrast, educated youth are unable to secure white-collar jobs, fuelling frustration and reinforcing a strong demand for government employment.
Promises, delays and progress
In December 2022, former information technology minister K.T. Rama Rao in an open letter expressed confidence in Telangana’s potential to fill over 250,000 jobs. He reported that approximately 135,000 jobs were filled in the BRS’s first term (2014–2018), with recruitment for an additional 90,000 initiated in its second term (2018–2023).
However, the Pay Revision Commission’s December 2020 report revealed a more sobering reality, noting that 191,000 government positions remained unfilled since Telangana’s formation in 2014.
In November 2023, Rao asserted that the BRS government had filled 160,000 government jobs and created 430,000 IT jobs in the private sector, claiming this growth had pushed Telangana to the highest per capita income in the country, exceeding Rs 300,000.
Per capita income, however, is generally not a helpful indicator, as it represents the mean income rather than the median. This can misrepresent the financial condition of the average person in Telangana, especially given the state’s significant income inequality, which is indicated as much by the marginal employment share of the IT and IT-enabled services sector as mentioned earlier.
In the week leading up to the elections, Rao shared job statistics indicating that only 25,000 government jobs were filled during the BRS’s second term, despite his claim of “completing selections” for 160,000 jobs.
Job calendar and student aspirations
The Congress’s job calendar provided clarity, allowed candidates to plan for multiple exams and eased some of the uncertainty. By establishing a set schedule, the calendar also aimed to prevent delays, providing stability for job seekers.
Despite setbacks, including leaked Group-I exam papers and further delays, the Telangana State Public Service Commission conducted the Group-I mains exams from October 21-27 this year. Of 31,382 candidates, 563 will secure government positions.
Though progress has been slow, the popularity of these recruitment exams reflects the determination of Telangana’s youth to pursue government jobs in an environment where each step forward can feel like two steps back.