Ahead of Budget 2026-27, business leader TV Mohandas Pai said India’s economy is in good shape with growth expected at 7.5 per cent or higher and rising employment. He urged the government to prioritise job creation, expand skill schemes, and incentivise private sector hiring
Eighty per cent of jobs pay less than Rs 20,000 and so it is important to create high-paying jobs, said Mohandas Pai. Representational image
Ahead of Budget 2026-27, business leader and former Infosys board member TV Mohandas Pai said the Indian economy is in good shape, with growth expected at 7.5 per cent or higher in the current financial year, and jobs being created at a fast pace, news agency IANS reported. He emphasised that the government must maintain a strong focus on job creation in the upcoming budget.
While speaking to the media on Friday, Pai highlighted that 1.2–1.4 crore new members are joining EPFO and contributing through Aadhaar. Pai also remarked, "Don't believe all these leftist JNU people who say there are no jobs. The jobs are happening."
"However, the tragedy of India is that we are in the midst of a youth bulge. Between 1990 and 2010, about 50 crore children were born. Now, they're all growing up and coming into the workforce. Every year, two and a half crore young people come into the workforce, and a majority of them want jobs," added Pai.
80 per cent of jobs in India pay less than Rs 20,000
The former Infosys board member said that maybe 1.82 crore people want jobs every year, but 80 per cent of jobs pay less than Rs 20,000, so it is important to create high-paying jobs, especially in urban areas.
While coming out strongly in favour of expanding the Kaushal scheme launched by the Centre, Pai thinks that the 2026-27 budget should majorly focus on job creation and more schemes that could provide incentives to the private sector for creating more employment.
"First, declare 350 poor districts as employment, special employment zones (SEZs), and say anybody creating a job there, paying ESI and PF, will get Rs 2,000 a month as an incentive for 24 months for that employee," Pai said.
He contended that this would defray the cost of hiring and training in that particular place. Because when you go to the rural areas and hire people, you've got to train them up, he said.
Pai further stated, "They say their skill is there, but you don't get it. And also, the government must pay the ESI and PF contribution for that employee for two years, which is already there in the Kaushal scheme. And that will create a lot of jobs in the 350 poorest districts."
Pai emphasised that there was a need to invest in developing infrastructure in the 5,000 smaller towns all over India.
"In the smaller cities, there will be job creation. And because we don't get excess labour supply in the bigger cities, wages will go up everywhere," he said, adding that the country’s banking sector is in great shape.
He also said that investment is going up in the economy, with next year’s GDP growth expected at 6.5 to 7 per cent despite the global uncertainties.
The investment would be about Rs 95 lakh crore, which is more than a trillion dollars, believes Pai.
(With inputs from IANS)
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