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All those engaged in economic activities (that is, the actions that contribute to the country’s Gross National Product), in whatever capacity, are counted as employed (workers). Read this article to understand the Employment Scenario In India.

In the Indian context:

  1. In 2011-12, India had about a 473 million-strong workforce.
  2. Three-fourths of the total workforce of India, i.e., 473 million, are rural workers.
  3. 70% of the total number of rural workers are men.
  4. Women have only one-third of the rural workforce, and in urban areas, women have one-fifth of the workforce.
  5. The women engaged in domestic and household work are not paid wages; hence are not categorized as workers. 

Participation of People in Employment:

  • The worker population ratio is used as an indicator to analyze the employment situation 
  • It is the proportion of the population engaged in producing goods and services (Workers) to the Population (defined as the total number of people who reside in a particular locality at a specific point in time)

General employment scenario in India:

  • People in rural areas have limited resources to earn a higher income and participate more in employment
  • Urban people have a variety of employment opportunities as they have good qualifications and skills, so they look for the job or opportunity they are eligible for
  • If we talk of gender, more men are found working in various sectors compared to women in India
  • Women face income inequality, so their families discourage them from taking up any job
  • Non-recognition of women’s work and, therefore, underestimating the number of women workers in the country

Self Employed and Hired Workers: 

  • Workers who own and operate an enterprise to earn their livelihood are self-employed; about 52 percent of the workforce in India belongs to this category
  • The construction workers are casual wage laborers; they account for about 25 percent of India’s workforce

When a worker is engaged by someone or an enterprise and paid their wages regularly, they are regular salaried employees; they account for 23 percent of India’s workforce.

All India Scenario:

  • The critical area, which incorporates agribusiness, mining, creature cultivation, fishing, and so on, are the primary type of revenue for most of the populace in India
  • The optional area gives work to 24% of the labor force
  • The administration area incorporates around 31% of the total labor force of India

Rural India Scenario:

  • About 60% of the total workforce in rural India depends on primary sector jobs like agriculture, fishing, forestry, etc where is a lack of job opportunities
  • About 20 percent of rural workers work in manufacturing, construction, and other industrial activities
  • The service sector employs about 20 percent of rural workers

Urban India Scenario:

  •  In the urban regions of India, people are primarily engaged in the service sector
  •  Agriculture is not the primary source of employment in cities
  •  About 60% of the total workforce in urban areas is engaged in the service sector
  • The secondary sector gives employment to about one-third of the urban workforce

Growth and Changing Structure of Employment:

  1. During the period 1950–2010, the GDP of India developed emphatically and was higher than the business development (However fluctuating).
  2. Although, the GDP rate of India has constantly been fluctuating.
  3. During this period, the employment rate grew up to 2 %.
  4. Employment growth started declining and reached the level of development that India had in the early stages of planning. 
  5. Widening gap between the growth of GDP and employment. The augmenting hole between the development of GDP and work.
  6. India has had jobless growth for decades w, which means that we have produced more goods and services though we could not generate jobs or employment.  
  7. Distribution of workforce by industrial sectors shows a substantial shift from farm work to non-farm work (From 74 percent of the workforce in 1972-73 to 50 percent in 2011-12)
  8. Although many Indians are moving from self-employment and regular salaried employment to casual wage work, self-employment is still the employment provider for the majority of the Indians.
  9.  ‘Casualisation of the workforce is the term given by scholars to the process of displacement of people from being self-employed and regular salary to casual wage workers.