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After the 2nd world war in 1945, for orderly absorption of the released service personnel and other war workers; the need for an organisation to handle this complex problem in a uniform manner was felt and in July, 1945 “Directorate General of Resettlement and Employment " was set up
In 1947, after partition of the Country this Directorate was entrusted the job of resettlement of a large number of displaced persons (refugees).
In early 1948, the Employment Exchanges were thrown open to all categories of applicants which required transition of Employment Service from a resettlement agency to an all India placement organisation.
On 1-11-1956 the day to day administration of the Employment services was handed over to the state governments. So now the Employment service is the joint concern of the Central and State Governments where the Central Government formulates national policies, standards and procedure to be followed by the Employment Exchanges in the states; coordinates the work of the Employment Exchanges in the states; plans and formulates programmes for expansion and development of the services; conducts training programmes for employment officers and other such works which are required for the betterment of these services whereas State Governments fully control the Employment Exchanges in their respective states.
In 1959 The Employment Exchanges Compulsory Notification of vacancies Act was enacted by the Parliament and after notification of its rules, it came into force from 1-5-1960. Under the provisions of the Act all the establishments in the public sector and all the establishments in the private sector normally employing 25 or more workers are required to notify their vacancies and also render quarterly and biennial returns to the Employment Exchange of their area.
Creation of new Department of Employment Generation
A new Department of Employment Generation and Training has been carved out of the Department of Labour and Employment vide Govt Notification No. 18/16/2007-GC(2)/7219 Dated 11-04-2007 and 31-07-2007 with the following main objectives:
To develop a vision, strategy & policy framework for employment generation & training
To suggest measures to derive synergy of the plans and programmes of various departments working directly or indirectly for employment generation and vocational training.
To advise on institutional and organizational mechanism for effective implementation of the action plan for employment generation and the vocational training to make the youth really employable by enhancing their skills and competencies.
To regularly plan, implement, monitor and oversee employment generation action plans in the State and advise on the future steps to be taken.
To facilitate manpower planning and vocational training in all the key sectors of the economy.
Bringing out critical gaps in various services sectors and facilitates addressing these gaps as per the requirement of the national and international market.
To identify and advise on the regulatory aspects of job oriented training policies.
Facilitate establishing more job oriented vocational institutions in the Public Private Partnership Mode in line with the requirement of skilled manpower and enhancing the capacity of the existing institutions.
Harnessing the potential of various self help youth groups and educational organisations of repute.