Women’s formal workforce participation reaches 41.7% in 2023-24 – HR Katha

Report on the Advancement of Female Labour Force Participation in India and its Alignment with Sustainable Development Goals

Executive Summary

India is demonstrating significant progress in advancing gender equality and economic empowerment for women, directly contributing to several key Sustainable Development Goals (SDGs). A substantial increase in the female Labour Force Participation Rate (LFPR) and formal sector employment, supported by a framework of government initiatives, underscores the nation’s commitment to SDG 5 (Gender Equality) and SDG 8 (Decent Work and Economic Growth).

Key Statistical Indicators of Progress

Recent data highlights a positive trend in women’s formal economic engagement:

• Labour Force Participation Rate (LFPR): The LFPR for women aged 15 and above has increased by over 18 percentage points, rising from 23.3% in 2019–20 to 41.7% in 2023–24.
• Formal Sector Employment: Data from the Employees’ Provident Fund Organisation (EPFO) for the 2024–25 financial year shows that over 2.69 million women have joined the formal workforce as net subscribers, indicating a move towards more secure employment with social security benefits, a core tenet of SDG 8.

Government Initiatives Driving SDG Achievement

A multi-pronged strategy involving various government schemes is accelerating this momentum, with each initiative contributing to specific SDGs.

1. Fostering Economic Growth and Decent Work (SDG 8)

Initiatives are focused on creating jobs and ensuring social protection:

1. Employment Linked Incentive (ELI) Scheme: Designed to stimulate job creation, particularly in manufacturing, while expanding the social security net for female workers.
2. Code on Social Security, 2020: This legislative reform enhances protections for women by mandating extended paid maternity leave and ensuring safeguards for those working night shifts, promoting decent and safe working conditions.

2. Advancing Gender Equality and Empowerment (SDG 5)

Targeted schemes aim to empower women economically and socially:

• Mission Shakti, Namo Drone Didi, and Lakhpati Didi: These programs focus on building self-reliance through targeted skilling and livelihood generation, directly empowering women at the grassroots level.
• Stand-Up India, Startup India, and WISE-KIRAN: These efforts are designed to empower women in entrepreneurship and traditionally underrepresented sectors like science and engineering, breaking gender barriers.
• Childcare Support: The ‘Palna’ component of Mission Shakti provides free daycare services through Anganwadi-cum-Crèches, a critical support system that enables mothers to remain in the workforce by addressing unpaid care work, a key target under SDG 5. Mandatory crèche facilities under the labour codes further reinforce this goal.

3. Promoting Quality Education and Reducing Inequalities (SDG 4 & SDG 10)

Skill development and entrepreneurship are central to reducing economic disparities:

• Pradhan Mantri Kaushal Vikas Yojana: Contributes to SDG 4 by providing essential skill development and vocational training.
• Pradhan Mantri Mudra Yojana & Prime Minister’s Employment Generation Programme: These schemes facilitate entrepreneurship and self-employment, offering pathways out of poverty and reducing economic inequalities, aligning with SDG 1 (No Poverty) and SDG 10 (Reduced Inequalities).

1. Which SDGs are addressed or connected to the issues highlighted in the article?

The article primarily addresses issues related to two key Sustainable Development Goals (SDGs):

• SDG 5: Gender Equality

  This goal is central to the article, which focuses on the “notable surge in the participation of women in the formal workforce.” The entire narrative revolves around achieving equality for women in economic life through various government initiatives, skill development programs, and legal reforms aimed at empowering them and removing barriers to employment.

• SDG 8: Decent Work and Economic Growth

  This goal is directly connected as the article discusses the increase in the Labour Force Participation Rate (LFPR), the shift towards “formalised work,” and the expansion of the “social security net.” Initiatives mentioned, such as the Employment Linked Incentive (ELI) Scheme and labor reforms, aim to create productive employment and decent working conditions for all, particularly for women.

2. What specific targets under those SDGs can be identified based on the article’s content?

Based on the article’s content, the following specific targets can be identified:

• Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership in all levels of decision-making in political, economic and public life.

  The article directly supports this target by highlighting the significant increase in women’s Labour Force Participation Rate (LFPR) from 23.3% to 41.7%. Initiatives like Stand-Up India, Startup India, and WISE-KIRAN are explicitly designed to “empower women in traditionally-underrepresented sectors,” promoting their participation in economic life.

• Target 5.4: Recognize and value unpaid care and domestic work through the provision of public services, infrastructure and social protection policies and the promotion of shared responsibility within the household and the family as nationally appropriate.

  This target is addressed through the mention of specific social protection policies. The article notes that “free childcare services under the ‘Palna’ component of Mission Shakti” and “mandatory crèche facilities” are helping mothers stay in the workforce. These measures directly recognize the burden of unpaid care work and provide infrastructure to support working women.

• 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’s core theme of increasing women’s participation in the “formal workforce” aligns with this target. The government’s push for skill development through schemes like Pradhan Mantri Kaushal Vikas Yojana and job creation via the Prime Minister’s Employment Generation Programme are direct efforts to achieve productive employment for women.

• Target 8.8: Protect labour rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment.

  This target is reflected in the discussion of “labour reforms.” The article specifically mentions the “Code on Social Security, 2020,” which introduced protections such as “extended paid maternity leave” and “safeguards for women working night shifts,” directly contributing to a safer and more secure working environment for female employees.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Yes, the article mentions several quantitative and policy-based indicators that can be used to measure progress:

• Labour Force Participation Rate (LFPR) for women

  This is a direct quantitative indicator mentioned in the article. The data point “the LFPR for women aged 15 and above has climbed from 23.3 per cent in 2019–20 to 41.7 per cent in 2023–24” is a clear metric for measuring progress towards Target 5.5 and Target 8.5.

• Number of women joining the formal employment sector

  The article provides a specific number: “over 26.9 lakh women have joined the formal employment sector as net subscribers under EPFO” in 2024-25. This serves as an indicator for the formalization of work and the expansion of social security coverage, relevant to Target 8.5 and Target 8.8.

• Implementation of Social Protection Policies

  The existence and implementation of policies mentioned in the article serve as qualitative indicators. These include:

  • The “Code on Social Security, 2020,” which provides legal protections (Indicator for Target 8.8).
  • The provision of “mandatory crèche facilities” and “free childcare services under the ‘Palna’ component” (Indicator for Target 5.4).
  • The launch of schemes like “Mission Shakti, Namo Drone Didi, and Lakhpati Didi” aimed at skilling and livelihood generation (Indicator for Target 5.5 and 8.5).

4. Table of SDGs, Targets, and Indicators

Source: hrkatha.com