Public perception on employment scenario worsens: RBI survey

Mumbai: A recent survey conducted by the Reserve Bank of India (RBI) shows that the sentiment among the general public on the employment scenario in the country has declined significantly.

The perception of the economic situation has also weakened, showed the survey.

“Households’ sentiments on the general economic situation and the employment scenario declined further, and people were less optimistic about their income over the year ahead than in July 2019,” said that RBI’s Consumer Confidence Survey.

In the employment scenario, the perception of around 52 percent of the respondents worsened, while 28 percent of the respondents said the current scenario has improved. The sentiments of around 19.5 percent of respondents remained the same, the survey showed.

As per the findings of the survey, consumer confidence fell to a six-year low of 89.4 in September as sentiment around employment, income, and discretionary spending declined.

The Current Situation Index (CCI) fell to 89.4 in September from 95.7 recorded in the July round of the survey, the data showed.

“Consumer confidence weakened in September with both the current situation index (CSI) and the future expectations index (FEI) recording declines,” it said.

However, regarding expectations on the job scenario a year ahead, the survey showed that 51.2 percent people feel that the situation will improve.

The respondents perceived an increase in the price level over the last year and a majority of them expect prices to rise further in the coming year. As a result, sentiments on overall spending as well as essential spending remained strong, but sentiments on discretionary spending weakened, the RBI survey said.

As per the central bank, the survey took into account 5,192 households in Ahmedabad, Bengaluru, Bhopal, Chennai, Delhi, Guwahati, Hyderabad, Jaipur, Kolkata, Lucknow, Mumbai, Patna, and Thiruvananthapuram.