Tamil Nadu beats Maharashtra & Gujarat to clock highest numbers of mandays

CHENNAI: Tamil Nadu has outperformed larger industrialised states such as Maharashtra and Gujarat to clock the highest number of mandays in the country.

With a total of 8.42 lakh mandays, the state has firmly established itself as a hub of vibrant industries, particularly in the manufacturing and service sectors, which contributed significantly to the high manday count, according to the RBI's Handbook of Statistics on Indian States 2023-24.

The report indicates that Tamil Nadu plays a key role in labour engagement and industrial output in the country. It also leaves Gujarat and Maharashtra behind in average mandays per employee. The report further underscores the state's remarkable recovery -- it bounced back strongly despite the slowdown caused by the Covid-19-induced lockdown, which affected industries nationwide.

According to the report data, Maharashtra, with 6.45 lakh employees, and Gujarat, with 5.28 lakh employees, have greater capital investment than TN, which has 4.81 lakh employees. However, these two states fall short when it comes to average mandays per employee.

TN's average mandays per employee is 1.75, compared to 1.13 in Maharashtra and 1.37 in Gujarat. This illustrates that the southern state is far ahead of the other two industrialised states in generating employment and effectively engaging the workforce in productive activities. It also highlights the significant gap between larger states like Uttar Pradesh and Madhya Pradesh in terms of average mandays and mandays per employee.

Vice chairman of the Tamil Nadu State Planning Commission and economist J Jeyaranjan told DT Next that the nature of industries in Gujarat, Maharashtra, and Tamil Nadu varies. While TN is home to a large number of small and medium-sized industries in sectors such as textiles and manufacturing—both of which are labour-intensive—Gujarat and Maharashtra are known for their heavy, capital-based industries, such as petrochemicals and pharmaceuticals, which generate fewer employment opportunities. Hence, industries in Tamil Nadu create more jobs and engage a larger workforce.

This approach results in a more balanced distribution of state resources and ensures more even development compared to the other industrialised states. It also prevents the monopolisation of resources by specific industries, he added.

Advantage TN

*TN houses a large number of small & medium-sized industries in sectors like textiles and manufacturing, which are labour-intensive

*Hence, industries in Tamil Nadu create more jobs and engage a larger workforce

*Gujarat and Maharashtra have more heavy, capital-based industries like petrochemicals, which generate fewer employment opportunities