Workforce Participation In India: Where Are The Women?

Workforce Participation In India: Where Are The Women?
Apoorva Ramachandra & Vajra Zayara

Since the 2000s, there has been a notable increase in the number of women entering the global workforce; however, the overall percentage of women participating in the workforce has been declining, especially in regions like South Asia and the Middle East/North Africa. Despite positive trends in some parts of Asia, challenges such as lower pay and job insecurity persist for women compared to men. The COVID-19 pandemic has further widened the gender gap in workforce participation, reversing previous progress. In India, there has been a puzzling decline in female labour force participation rates (FLPR) despite factors like economic growth and higher education. This paper aims to analyse trends and disparities in FLFP in India between 2018-19 and 2022-23, as well as the factors influencing women's entry into the labour force.

The labour force participation rate (LFPR) measures the percentage of the population either working or actively seeking work. In 2022–23, men had an LFPR of 83.2%, while women had 39.8%, resulting in a 43.4% gap. Female LFPR saw remarkable growth from 24.5% in 2018–19 to 39.8% in 2022–23, with rural areas experiencing a 68% surge compared to the 39% increase in urban areas. However, most of the increase is in rural areas within the agriculture sector and is generally concentrated in some sectors. The irony is that the participation rate among female graduates is the lowest and simultaneously faces the highest unemployment rate (UR).

To ensure women enter and stay in the labour market, multifaceted strategies are required to address barriers faced by women that affect their demand and supply of labour. These include skill training and employment initiatives, enhancing safety at the workplace and improving safe mobility, recognising and redistributing the burden of unpaid work, and addressing social and cultural norms prevailing in India. By implementing these strategies, policymakers can create an environment conducive to women's meaningful participation in the workforce, fostering gender equality and economic empowerment.

Women, Workforce, Unpaid work, Labour force participation rate, Gender Gap, U-Hypothesis