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India's government jobs shrink even as millions of youth chase them

India's government jobs shrink even as millions of youth chase them
Why government jobs are disappearing even as millions of Indians chase them · businesstoday.in

Many young people in India want government jobs because they are secure.

But there are fewer and fewer of these jobs.

The government has cut the number of jobs it allows.

Many approved jobs are also empty and not filled.

In 2024, about one in five government jobs was vacant.

The government says it cannot hire more permanent workers because it costs too much.

Pay and pensions make the wage bill very high.

So the government hires contract workers instead.

More than a million people were hired this way in one year.

Young people in Jharkhand protested because recruitment takes too long.

Key facts

Total Indian workforce (2024)
About 610 million
Government jobs share
About 4% of total employment (~25 million jobs)
Central sanctioned posts (2020)
40,77,687
Central sanctioned posts (March 2024)
40,03,140
Vacant central posts (March 2024)
About 8.5 lakh (21.1% of sanctioned posts)
Central government headcount (March 2025)
33,02,539
GeM contract hires (FY25)
Over 1 million
Central pay and allowances expenditure (2023-24)
Rs 2.96 lakh crore

Quotes

Santosh Mehrotra

Former JNU economics professor and commentator

“"There are many reasons for manpower shortages. Mostly, governments are constrained in hiring permanent staff because Pay Commission payouts, pensions etc raise the wage bill."”
businesstoday.in
“"The share of contracted workers in Central Public Sector Enterprises has risen from about one in six to nearly fifty percent in FY26."”
businesstoday.in

Mansukh Mandavia

Labour Minister of India

“"Contractual and outsourced employees are engaged by ministries/departments and PSUs based on their administrative and operational requirements."”
businesstoday.in

Sources

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