The NSS Report, based on the seventh quinquennial survey on Employment and Unemployment and carried out in the NSS 61^st round (July 2004-June 2005) by the National Sample Survey Organisation (NSSO) in the Ministry of Statistics and Programme Implementation, states that there is a drastic increase in the labour force in India. The entire workforce in India, as per National Classification of Industry adopted by Central Statistical Organisation, is classified into sectors such as agriculture and allied activities, mining and quarrying, manufacturing, electricity, gas and water supply, construction, trade, hotel and restaurant, transport, storage, and communication and other services. The sectors are broadly classified as Agriculture, Industry and Services. As per these surveys, the percentage of population in the labour force was around 43 per cent during 2004-05 as compared to 40.6 per cent during 1999-2000 on the usual status basis.

Agriculture, Industry and Services employed 268.57 million, 83.55 million and 107.44 million during 2004-05 as against 238 million, 69.2 million and 90.3 million during 1999-2000, respectively. The total employment has increased from 397 million during 1999-2000 to 459.10 million during 2004-05, registering an average growth of employment of 12.42 million per year. The share in the increase of employment between 1999-2000 and 2004-05 of Agriculture, Industry and Services was of the order of 30.57 million, 14.35 million and 17.14 million and, therefore, grew at the rate of 2.6 per cent, 4.1 per cent and 3.8 per cent, respectively.