Why in News:

• To address the twin problems of sluggish economic growth and rising unemployment, the government has constituted two Cabinet committees to be chaired by Prime Minister.

Background: / Committee on Investment and Growth:

• The five-member Committee on Investment and Growth consists of Home Minister Amit Shah, Finance Minister Nirmala Sitharaman, Minister for Road Transport and Highways and MSME Nitin Gadkari and Railways Minister Piyush Goyal.
• This committee will be a focussed group to take measures to bring investments and spur growth in the critical sectors including infrastructure, manufacturing and agriculture, as the economy is passing through a highly volatile period.

Reason for the committee on Investment and Growth:

• With the GDP falling to 5.8% in the last quarter of 2018-19, lowest in last five years, the committee on economic growth will prepare a road map to bring the economy back on the growth trajectory. The GDP growth for 2018-19 was 6.8 %, against the target of 7.2 %.

Cabinet committee for Employment and Skill Development:

• The Cabinet Committee on Employment and Skill Development constitutes of 10 members including Union Home Minister Amit Shah, Finance Minister Nirmala Sitharaman, Railway Minister Piyush Goyal, Union Ministers Narendra Singh Tomar, Ramesh Pokhriyal, Dharmendra Pradhan, Mahendra Nath Pandey, Santosh Kumar Gangwar, and Hardeep Singh Puri.

Reasons for the committee for Employment and Skill Development:

• Employment data for 2017-18, released on May 31, brought out that India’s unemployment
  rate rose to 6.1% in the said period, which is the highest in 45 years.
• As per the PLFS, which covered 4.3 lakh people across 1.02 lakh households, the unemployment rate among urban workforce was 7.8 per cent, while the unemployment rate for the rural workforce was 5.3 per cent.
• The unemployment rate of males on the all-India basis was 6.2 per cent, while it was 5.7 per cent in the case of females.
• It also showed that the unemployment rate for males was higher at 7.1 per cent in urban areas compared to 5.8 per cent in rural areas. Similarly, the unemployment rate for women was also higher in urban areas at 10.8 per cent compared to 3.8 per cent in rural areas.

About Cabinet committees:

• Many times, when an activity/agenda of the Government acquires prominence or requires special thrust, a Cabinet Committee may be set up for focussed attention.
• Government of India’s (transaction of business) rules, 1961, empower the Prime Minister
  to set up, add, reduce or modify the numbers and functions of cabinet committees. Currently, there is six Cabinet committee (except newly formed two committees).
• These are on
• 1. Appointments
• 2. Accommodation
• 3. Security
• 4. Economic Affairs
• 5. Investment
• 6. Parliamentary Affairs