When hope meets hurdles: stark reality of Telangana’s job market


On October 17, the simmering anger among Telangana’s unemployed youth spilled onto the streets of Hyderabad, as they blocked traffic in the city’s central part, chanting slogans and demanding postponement of the Group-I exams slated to begin from October 21. The young demonstrators made their way to the Secretariat — the epicentre of Telangana’s administration — even as confused motorists watched the scene unfold. Armed with A4-sized print-outs bearing messages of justice, the protestors wove through the vehicles, highlighting the gap between the government’s assurances and the harsh reality that job seekers face.

Among the protestors was 24-year-old K. Nagender from Warangal. “The BRS government hired 1,60,000 persons. The present Congress government is giving out appointment letters to people for jobs whose notification was given by BRS, exams conducted by the BRS,” says Nagender, an Osmania University student, who created a reel about the failures of the Congress regime.

The protests in October were preceded by a series of protests by job aspirants in Ashoknagar and Chikkadpally area. A few weeks earlier, aspirants for teaching jobs staged a similar protest at the same location, demanding the postponement of the District Selection Committee (DSC) exams. The protests captured the discontent among young men and women for whom State government jobs seem increasingly elusive, almost like a mirage.

The hunt for jobs has been central to Telangana’s identity and its struggle for statehood. The movement for a separate Telangana took root in 1969 when Annabattula Ravindranath initiated a hunger strike over the hiring policies at the power plant in Kothagudem, then newly-established. Five decades later, even as the disused chimney stacks of that plant were dismantled for safety, the battle for employment opportunities in Telangana continues, albeit with a new twist.

James, a graceful and soft-spoken youth, makes every visit to Feranoz restaurant in Hyderabad’s Jubilee Hills an experience to remember. Hailing from Lamka Town in Manipur, nearly 2,872 kilometres away, the 25-year-old secured a job as a server at the newly opened café through the WorkIndia app, a free platform that connects job seekers with employers.

“I used to work in Goa but moved to Hyderabad for better job prospects. My sister also works here,” he shared during the café’s inauguration. James is not alone; six other individuals from Manipur have also found work at Feranoz, working alongside colleagues from West Bengal, Odisha, and Telangana.

For several youth like James, Telangana offers diverse opportunities that attract workers from various states across the country. Take the example of Subhan Khan, a youth from Mewat in Haryana who displayed extraordinary courage during the September floods in Khammam district. Driving an earthmover over a bridge amid raging waters, he rescued nine people who were stranded, showcasing not just bravery but also skill.

A glaring discrepancy

For many, the State, particularly the capital city of Hyderabad, represents a destination of opportunity, where work awaits.

The city has become a magnet for workers from across the country, particularly from the north and northeast, who come seeking employment in construction, service sector, IT space, knowledge work and small trades. They return to their families after a few days, but Hyderabad remains their work base, offering them the promise of livelihood and stability.

Strangely, however, lakhs of local residents continue to be in search of employment. The hub for job hunt in Telangana is Ashoknagar, a middle-class neighbourhood in central Hyderabad that has transformed into an end-to-end coaching ecosystem. Here, hopefuls from all corners of Telangana live, breathe, and talk about cracking competitive exams to land government jobs. This pursuit is serious business, costing up to ₹1.5 lakh a year.

“We spend ₹30,000 on coaching, and monthly expenses, including accommodation and food, come to another ₹10,000. Sometimes, we run out of money,” says an aspirant who prefers to remain anonymous. “I have been living like this for seven years,” shares the Group I, II, and III exam aspirant. The straitened circumstances, constant social media buzz, and motivational talks by coaching centre mentors fuel the belief that the coveted job is just around the corner.

Significant gap

According to the International Labour Organisation (ILO)’s ‘India Employment Report,’ there is a mismatch between Telangana’s youth population and their representation in the job market. While 26.3% of the population is classified as youth, only 39% are part of the workforce. Among men aged 15 to 29 years, around 9.43% are unemployed, placing the State at the 9th place in the national unemployment index.

“Our demand is that the State government hire 25,000 teachers and not just 11,062 (through DSC-2024 system). They can hire more teachers and pay them lower salaries than the prescribed rates. Even if they pay ₹30,000 per month for the next five years, we are fine with that,” says Pradeep, an aspirant who ran a campaign for large scale hiring of teachers in Telangana.

“We understand that the government cannot hire two lakh people, but we want them to hire as many as possible,” chips in Nagender.

Stable government jobs remain a priority in Telangana, a State formed a decade ago with the promise of equitable distribution 0f resources in erstwhile Andhra Pradesh. However, while Telangana was born with the expectation of a surge in government jobs, the reality has been more complex. Salary data from the Telangana Budget over the past decade shows a steady increase in government employment. In 2014-15, when the State was formed, Telangana had 3,74,230 employees on its rolls. By the following fiscal year, this number dropped slightly to 3,53,250, but by 2024-25, it had grown to 4,88,663. This figure aligns closely with the estimate of 4,91,305 jobs projected by the C.R. Biswal-led Pay Revision Commission (PRC) in 2021.

While the number of employees on the rolls almost matches the sanctioned strength, a cursory glance shows how the chart is skewed. A total of 3,23,005 employees are in just three sectors of education, police and health. This validates the demands of job aspirants that the State needs to hire more in the Group-I, II, and III categories.

Limited capacity for job creation

A key indicator of job growth, or the lack thereof, can be seen in the State government’s wage bill. In June 2015-16, just a year after Telangana’s formation, it stood at ₹1,524 crore, according to Comptroller and Auditor General data. By June 2020-21, it had dropped to ₹1,388 crore.

However, by June 2024-25, the wage bill more than doubled to ₹3,453.8 crore, reflecting both a hiring spree and the implementation of the PRC’s recommendations. Yet, despite this growth, the State’s capacity to create jobs and expand its workforce remains limited.

Within weeks of coming to power, the Congress government issued a White Paper on the state’s finances.

“Overall, the expenditure on salaries and pensions has almost tripled from ₹17,130 crores in financial year 2014-15 to ₹48,809 crore in FY 2021-22. As of FY 2021-22, these components account for 38% of the total revenue receipts, which is only expected to increase with the upcoming pay revision commission’s recommendations, filling of vacancies, and payment of dearness allowance arrears,” noted the document.

The BRS government aimed to make agriculture more profitable through its irrigation projects. The Socio-Economic Survey document stated that “agriculture and allied sectors in Telangana achieved a year-on-year growth of 11.9% in Gross Value Added (GVA) between 2021-22 and 2022-23. This is a 2.2 percentage points increase in growth rate over the 2021-22 rate. Since the sector employs 45.8% of the State’s population, its economic success is crucial to improving living standards in Telangana.”

The State has also fostered a business-friendly environment and created jobs in the private sector. This has led to a stark contrast in regional incomes, with Rangareddy district, home to several IT companies, boasting a per capita income of ₹9,46,862, while neighbouring Vikarabad, with no such industries, has a per capita income of ₹1,80,241, as per the latest State budget. This disparity has led to significant internal migration, altering the State’s demographic landscape.

“There are no jobs in Mahabubabad. Here, I can make a living. I sold a plot of land in my village to buy an autorickshaw. I manage to make ₹30,000 per month. If I put in more effort or spend more time on the road, I can make more money,” said 30-year-old Mangilal Banoth, who aspired for a police constable’s job but moved to Hyderabad six months ago to Upperpally, a mixed-income neighbourhood, where rents begin at ₹3,000 for a one-bedroom home.

“You will find autorickshaws from all districts in Hyderabad. Earlier, these were from three surrounding districts. Now, they are from different districts as there are no jobs. If you grow vari (rice), the returns are just about the same as the investment. Nobody from our area of Balanagar, Shadnagar in Mahbubnagar got police constable jobs despite ST quota,” says Srinivas Nayak who belongs to the Banjara community.

According to the socio-economic survey of the State, between 2014-15 and 2021-22, IT exports from Telangana experienced a Compounded Annual Growth Rate (CAGR) of 15.67%. The total employment in the IT sector rose from almost 3.7 lakh to 7.7 lakh during this period. These jobs are largely concentrated in Hyderabad and have a cascading effect on the State’s economy with spin-offs in the services sector and ancillary industries.

High level of joblessness

The ILO’s Employment Condition Index that was created to understand the job market across the country has shown that Telangana is now ranked third behind Delhi and Himachal Pradesh. It was ranked 16 in 2019. But the worry remains as a large portion of the youth remain unemployed.

Telangana’s Labour Force Participation Rate (LFPR) stood at 57.7% for April-June 2024, lower than the 60% range of other southern States. The LFPR for women was even lower at just 22%. This low participation reflects both the state of the economy and high levels of joblessness.

“If I look for work in my village, Balanagar (Mahbubnagar), I may or may not find daily wage work earning ₹400 to ₹500. But if I come to the city, I am assured of work and ₹800 per day. Plus, I travel free on the bus, and that’s why we come to Hyderabad for work,” says Lakshmi, who arrives at the Langar Houz labour adda by 8 a.m. every day. This gap between limited, low-paying jobs in surrounding rural areas and the abundance of work with higher wages in Hyderabad is drawing more people to the city.

The contrast is also visible on social media, where young people share their experiences of how welcoming Hyderabad is to outsiders, with no language barriers, often set against the backdrop of the city’s gleaming skyline. In stark contrast, videos of protests — particularly near coaching hubs in Ashoknagar, Chikkadpally, and Dilsukhnagar — highlight the frustrations of those left behind.

According to government data, Telangana has added 2,518 industries in the last decade, generating 72,908 jobs. These jobs, primarily in the industrial sector, have also created opportunities in ancillary and service industries, particularly for those seeking short-term gig work. But for the young men and women who hoped for stable government jobs when Telangana was formed in 2014, the wait has been long — and continues.



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