The trend
The India Employment Report (IER) 2024, published by the Institute for Human Development and the International Labour Organization, also illustrated a rise in the unemployment rate from a little more than 2% in 2000 and 2012 to 5.8% in 2019.
Unemployment reduced somewhat to 4.1% in 2022, although time-related underemployment was high at 7.5%.
The labour force participation rate (LFPR) also fell from 61.6% in 2000 to 49.8% in 2018 but recovered halfway to 55.2% in 2022.
There was a steep and steady upward trend of female LFPR from 24.6% in 2018 to 36.6% in 2022 in rural India.
It also increased by around 3.5% from 20.4% in 2018 in urban areas.
This is in contrast with male LFPR, which rose marginally by 2% in rural areas and almost stagnant in urban areas.
Female LFPR in India is low when compared to the world average of 53.4% (2019), and it has decreased from 38.9% in 2000 to 23.3% in 2018
Against this backdrop, the current increasing trend in female LFPR, especially a 12% rise in rural India during 2018-22, indicates an untapped opportunity for employment generation.
Challenges and opportunities
The opportunity to develop one’s own enterprise was difficult due to limited access to capital and binding social norms where males of a particular community control the dominant business of the locality
Collectivising women under self-help groups (SHG), and, further, through federations may benefit women involved in traditional occupations.
SHG women may be trained to acquire new skills, and federations may link women directly to the market for better returns
Traditional occupations support women’s practical gender needs, such as managing both household work and earnings.
However, they may not help in meeting strategic gender needs, such as challenging regressive gender norms.
Moving out of their own dwelling and working in a professional environment increases women’s agency and empowers them to meet strategic gender needs
The foray of women into male-dominated workspaces would increase competition for labour work.
This competition can be avoided by generating new opportunities in previously neglected arenas.
More market interaction empowers women by enabling them to circumvent gender norms and reduce dependency on male family members.
A long-term strategy is required to develop a better work environment for women.
Safety and basic facilities in the workplace (toilets and crèches) should be made available.
Public policy should mandate these facilities in small- and medium-manufacturing or business units.
A strategy of focusing on the improvement of female LFPR would improve overall employment and the family income.
In rural areas, public policy should help women by providing more access to resources (such as water) and markets (to buy inputs and implements and to sell produce).
Collectivising women and federating collectives in rural and urban India under planned economic activities will be most helpful
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