The story so far:
The authors of the India Employment Report, 2024, released recently by the Institute for Human Development and the International Labour Organization, point out that key labour market indicators have improved in recent years. The Labour Force Participation Rate (LFPR), the Workforce Participation Rate (WPR) and the Unemployment Rate (UR) showed long-term deterioration between 2000 and 2019 but improved thereafter, the authors note, saying that the improvement coincides with periods of economic distress, both before and during the COVID-19 pandemic, with the exception of two peak pandemic quarters.
What about women’s participation?
The female LFPR is very low compared to the male counterparts; in 2023, the male LFPR was pegged at 78.5; and the women LFPR was 37. The world women LFPR rate is 49, according to the World Bank figures. The female LFPR had been steadily declining since 2000 and touched 24.5 in 2019, before inching up, particularly in rural areas. But the writers point out that notwithstanding the modest improvements, employment conditions remain poor.
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Amit Basole, who teaches Economics at Azim Premji University, and heads the Centre for Sustainable Employment, explains that the increase in labour force participation has come mostly in rural areas and mostly in self-employment, which means largely unpaid work. “This suggests that it is distress resulting from the economic slowdown prior to COVID and then the pandemic itself that has contributed to women entering the labour force,” he says.
Prof. Basole adds that there are some other hypotheses out there, such as improvements in measuring women’s work in the Periodic Labour Force Survey and increased non-farm employment for men that has led to women substituting for men in agriculture. “But this is less likely. However, definitive evidence on the cause(s) is lacking,” he notes.
Where are women employed?
The India Employment Report shows that it is women who largely account for the increase in self-employment and unpaid family work. Nearly two-thirds of the incremental employment after 2019 comprised self-employed workers, among whom unpaid (women) family workers predominate. The share of regular work, which steadily increased after 2000, started declining after 2018.
What are some of the reasons for low women’s participation in the labour force?
Economists and women’s rights experts point at various barriers women face in terms of careers or a job. They list factors from a lack of jobs, women being made responsible for all care-giving duties at home plus cooking and cleaning to low wages, patriarchal mindsets, and safety issues. In her 2022 book, The Making of a Catastrophe: The Disastrous Economic Fallout of the COVID-19 Pandemic in India, Jayati Ghosh, observing the sharp decline in women’s labour participation between 2004 and 2018, writes that only some part of the phenomenon of women moving out of the labour market could be explained by greater involvement in education, especially for the age cohort 15 to 19. But with participation rates falling for women across all ages, “clearly, there was a process in operation, which has also been noted globally, of women being squeezed out of employment because of overall scarcity of paid work.”
What needs to change?
Economists say interventions are needed on both the demand and supply side of the labour market. On the demand side, says Prof. Basole, policies that promote labour-intensive sectors (in both manufacturing and relatively higher productivity services) are needed. Public investment in safety and transport is also critical as is public investment in affordable child and elderly care. “All of these types of support can enable women to work outside the home and take advantage of relatively better-paying opportunities,” he adds.
SDGs, Targets, and Indicators
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 5: Gender Equality | Target 5.4: Recognize and value unpaid care and domestic work through the provision of public services, infrastructure, and social protection policies | – Share of unpaid family workers in total employment – Share of women in self-employment – Share of women in regular employment |
| SDG 8: Decent Work and Economic Growth | Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value | – Labour Force Participation Rate (LFPR) – Workforce Participation Rate (WPR) – Unemployment Rate (UR) |
1. Which SDGs are addressed or connected to the issues highlighted in the article?
SDG 5: Gender Equality
The article highlights the low female labour force participation rate (LFPR) compared to males and the increase in self-employment and unpaid family work among women. These issues are directly related to gender equality in the workforce.
SDG 8: Decent Work and Economic Growth
The article discusses key labour market indicators such as LFPR, WPR, and UR, which are important for measuring decent work and economic growth. It also mentions the need for policies that promote labour-intensive sectors and public investments in safety, transport, and affordable childcare to enable women to work outside the home.
2. What specific targets under those SDGs can be identified based on the article’s content?
Target 5.4: Recognize and value unpaid care and domestic work through the provision of public services, infrastructure, and social protection policies
The article highlights the increase in self-employment and unpaid family work among women. This target aims to recognize and value unpaid care and domestic work, which includes unpaid family work.
Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value
The article discusses the improvement in labour market indicators such as LFPR, WPR, and UR. This target aims to achieve full and productive employment and decent work for all women and men, which includes addressing issues related to labour market participation and unemployment.
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
The article mentions several indicators that can be used to measure progress towards the identified targets:
- Share of unpaid family workers in total employment
- Share of women in self-employment
- Share of women in regular employment
- Labour Force Participation Rate (LFPR)
- Workforce Participation Rate (WPR)
- Unemployment Rate (UR)
4. Table: SDGs, Targets, and Indicators
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 5: Gender Equality | Target 5.4: Recognize and value unpaid care and domestic work through the provision of public services, infrastructure, and social protection policies | – Share of unpaid family workers in total employment – Share of women in self-employment – Share of women in regular employment |
| SDG 8: Decent Work and Economic Growth | Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value | – Labour Force Participation Rate (LFPR) – Workforce Participation Rate (WPR) – Unemployment Rate (UR) |
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Source: thehindu.com
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