Assocham withdraws job-loss report after Govt reprimand

Assocham withdraws job-loss report after Govt reprimand

New Delhi: Under attack from the government and its rival groups, industry body Assocham withdrew its controversial report that forecast a 25-30% loss in jobs in certain sectors after Diwali.

“Assocham withdraws its report of 25% job cuts," chamber Secretary General D S Rawat said in a statement here hours after Finance Minister P Chidambaram criticised it for setting off a panic with its report — whose sample size the industry chamber is yet to make public.

Rawat simply said that the report was ‘not representative of the industrial segment in its totality’.

He said that the ‘analysis’ of job cuts was primarily in real estate, brokerage and investment advisory sectors.

“The chamber’s research team is now following up its recent analysis with a detailed survey on a much larger sample size to get a more definitive picture on corporate response to the present crisis," Rawat said.

Interestingly, he also said that the new job opportunities were emerging in education, bio-technology, petroleum and chemicals and health.

Government as also rival business chambers had slammed Assocham for the report that spread a scare among employees.

“The Deputy Chairman of the Planning Commission and my colleague Jairam Ramesh (Minister of State for Commerce) have taken serious exceptions to an Assocham report. The pace of job creation may slow down but that doesn’t mean that jobs are being destroyed," Finance Minister P Chidambaram said.

While FICCI has already contradicted the Assocham findings, CII is in the process of countering the job loss claims with its own study.

“We do not believe any immediate threat exists of the form that Assocham is alluding to. We should not panic," FICCI President Rajeev Chandrasekhar had said.