CURRENT EMPLOYMENT AND UNEMPLOYMENT TRENDS

• Unemployment Trends:
  • According to the Lokniti-CSDS pre-poll survey, unemployment and inflation were significant issues in the Lok Sabha Elections 2024.
  • India’s unemployment rate rose from over 2% in 2000 and 2012 to 5.8% in 2019, reducing to 4.1% in 2022. However, time-related underemployment remained high at 7.5%.
  • The Labour Force Participation Rate (LFPR) fell from 61.6% in 2000 to 49.8% in 2018 but recovered to 55.2% in 2022.
• Female LFPR:
  • Female LFPR in rural India increased from 24.6% in 2018 to 36.6% in 2022, while in urban areas it rose by around 3.5%.
  • Despite this increase, female LFPR remains low compared to the global average of 53.4% (2019) and decreased from 38.9% in 2000 to 23.3% in 2018.

OPPORTUNITIES IN FEMALE EMPLOYMENT

• Current Employment Patterns:
  • Women, especially in rural areas, are predominantly engaged in unpaid family labor, with 36.5% of females working as unpaid family workers in 2022, compared to 9.3% of males.
  • The disparity between female and male unpaid family labor employment is significant, with a difference of 31.4% in rural areas and 8.1% in urban areas.
• Potential for Employment Generation:
  • The rising trend in female LFPR, especially a 12% increase in rural India from 2018-22, indicates a significant opportunity for employment creation.
  • Many women engage in traditional, home-based activities like bandhani and embroidery due to their flexibility, despite the low income.

CHALLENGES AND SOLUTIONS FOR FEMALE EMPLOYMENT

• Challenges:
  • Gendered Preferences: Women often prefer traditional home-based work due to flexibility and low income.
  • Urban vs Rural Disparities: Lower increases in female LFPR in urban areas compared to rural areas suggest a lack of suitable opportunities in cities.
  • Social Norms: Limited access to capital and binding social norms hinder women’s ability to develop enterprises or engage in non-traditional work.
• Solutions:
  • Self-Help Groups (SHGs):
    • Collectivizing women through SHGs and federations can help them acquire new skills and gain better market access.
    • Example: Kutch Mahila Vikas Sangathan (KMVS) is working to train women and link them to markets.
  • Expanding Opportunities:
    • Development of new opportunities in neglected sectors can mitigate competition in male-dominated fields.
    • Example: Expansion of canal irrigation in Uttarakhand and Uttar Pradesh improved female wages and decision-making abilities.

IMPORTANCE OF MARKET ACCESS

• Impact of Market Access:
  • Women in rural and urban areas benefit from better market access for their products and services, enhancing their economic empowerment and reducing dependency on male family members.
  • Example: Women in West Bengal started various enterprises like pisciculture and vermicompost due to improved water availability.
• Market Interaction:
  • Increased market interaction empowers women to challenge traditional gender norms and reduce reliance on male family members.
  • A vibrant water market in the Upper Gangetic Plains was associated with greater female agency in agricultural decisions.

CREATING A BETTER WORK ENVIRONMENT

• Workplace Improvements:
  • Safety and basic facilities such as toilets and crèches should be mandated in workplaces to improve female participation.
  • Public policies should ensure these facilities are available in small- and medium-sized enterprises.
• Strategic Focus:
  • Improving female LFPR can boost overall employment and family income.
  • Rural areas should focus on increasing access to resources and markets, while urban areas need better workplace facilities.

CONCLUSION AND RECOMMENDATIONS

• Empowering Women:
  • Enhancing female LFPR requires targeted strategies to improve access to resources, markets, and safe workplaces.
  • Collectivizing women under SHGs and federations and implementing programs like the Lakhpati Didi initiative can play a crucial role in raising incomes and creating sustainable employment opportunities.

By focusing on these strategies, it is possible to address unemployment effectively while empowering women and improving economic outcomes for families and communities.