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Focus on Female Employment to Counter Unemployment

Context: The India Employment Report (IER) 2024 highlights a complex employment scenario with rising unemployment rates. It was published by the Institute for Human Development and the International Labour Organization.

India Employment Report (IER) 2024: Key Findings

  • Unemployment Rate:
    • Increased from a little over 2% in 2000 and 2012 to 5.8% in 2019.
    • Reduced to 4.1% in 2022.
    • Time-related underemployment was high at 7.5%.
  • Labour Force Participation Rate (LFPR): Declined from 61.6% in 2000 to 49.8% in 2018.
    • Recovered to 55.2% in 2022.
  • Female LFPR: Rose from 24.6% in 2018 to 36.6% in 2022 in rural India.
    • Increased by around 3.5% from 20.4% in 2018 in urban areas.
    • Compared to the world average of 53.4% (2019), it decreased from 38.9% in 2000 to 23.3% in 2018.

Focus on Female Employment to Counter Unemployment_4.1

  • Gender Disparities in Employment:
    • Unpaid Family Labour: 9.3% of males vs. 36.5% of females were employed as unpaid family workers in 2022.
      • In rural areas, the difference was 31.4% vs. 8.1% in urban areas.
    • Employment Choices: Women preferred traditional home-based occupations due to flexibility.
      • 30% of women in Bhuj, Gujarat, were stuck in traditional jobs due to lack of other options.
      • Male dominance in business limited women’s entrepreneurship.

Strategies for Female Employment Generation

  • Collectivising Women: Self-help groups (SHG) and federations can benefit women in traditional occupations.
    • Training and direct market linkages through federations can improve returns.
    • Example: Kutch Mahila Vikas Sangathan (KMVS) in Gujarat.
  • Irrigation: The expansion of less dominant irrigation sources like canals increased female wages and decision-making abilities.
    • Example: Upper Gangetic Plains in Uttarakhand and Uttar Pradesh.
  • Non-conventional Irrigation: Enabled women to start farming, pisciculture, and other activities.
    • Example: West Bengal Accelerated Development of Minor Irrigation Project.
    • Reduced female migration and increased family welfare.

Benefits Of Female Employment

  • Enhancing women’s workforce participation improves family income and women’s position in the family.
  • Women’s participation in the workforce reduced economic vulnerability.

Policy Recommendations

  • Better Work Environment: Focus on basic facilities like toilets and crèches.
    • Public policy should mandate these in small and medium business units.
  • Rural Areas: Provide access to resources (water) and markets.
  • Urban Areas: Improve workplace facilities.
  • Economic Collectives: Federate women in planned economic activities.
  • Example: Lakhpati Didi programme aiming for an SHG woman’s annual income of ₹1 lakh or above.

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