With the employment situation getting worse in the backdrop of global economic meltdown, the government has said it is ready to take "any measures" to help Indian industries prevent further loss of jobs.
"Export market is affected to some extent as the purchasing power of industries has dropped. But we are working with them to ensure that production lines are kept running so that more jobs are not lost," Union Minister for Labour and Employment Oscar Fernandes told PTI on the sidelines of a function here.
Fernandes's comment came after he was asked about the steps the government is contemplating to take following one of its own report that around half a million people lost their jobs between October and December 2008.
"We are ready to offer any help, be it in the form of tax relief, providing credit support or anything else to help industries support jobs of people. To tide over the crisis industry should also take fresh initiatives to explore demands in newer markets," Fernandes added.
Asked if more stimulus packages could be expected, the minister expressed optimism over certain measures that the government has already taken to contain the crisis.
"The auto industry that has seen a drop in production will pick up soon. Prevailing prices of fuel and steel have already been lowered to provide them a booster," Fernandes said.
We are hopeful that with fall in steel prices, even construction activities will pick up within a year, he added.
A Labour ministry study had found that capacity utilisation of exporting units had come down by 7.05 per cent and 5.68 per cent in the automobiles and metal sectors respectively during October to December 2008.
Earlier, while addressing a seminar organised by the Quality Council of India (QCI), Fernandes hailed the organisation for taking up the responsibility of training more than 6,000 Industrial Training Institute (ITI) teachers with the knowledge to handle the latest tools.
"Quality of education has to improve and you (QCI) can strengthen the government's approach and take it to the right direction as skill upgrade will help our working force tide over the current crisis," said the labour minister.
Among other things, the minister highlighted that extending the tenure of unemployment allowance from three months salary paid over six months to six months salary paid over a year will also help tide over the slowdown crisis.
"Though this is not the only thing for overcoming the situation, we are hopeful that in a year's time all activities would be back to normal," Fernandes said.