WE MUST CREATE AN EQUITABLE WORKFORCE ENVIRONMENT
THE WEEK India|March 16, 2025
Dr Praveen Kumari Singh, currently serving as adviser in the ministry of labour and employment, describes the challenges, trends and road ahead for women's labour force participation in India.
DR PRAVEEN KUMARI SINGH
WE MUST CREATE AN EQUITABLE WORKFORCE ENVIRONMENT

Female participation in the workforce is an economic and social imperative that not only contributes empirically to a country’s GDP, but also strengthens familial and communal structures. A 2018 World Bank report highlighted that women in India contribute approximately 17 per cent to the nation’s GDP, while the global average is around 37 per cent. It further says that India could boost its growth by 1.5 percentage points to 9 per cent per year if around 50 per cent of women could join the workforce. A McKinsey Global Institute (MGI) study on the issue also says that advancing women’s equality could lead to a $28 trillion increase in the global GDP. The International Labour Organisation (ILO) estimates India’s female labour force participation rate (FLFPR) at 41.7 per cent, reflecting a notable increase from 23.3 per cent in 2017-18, though it is still below the global average of 48.7 per cent.

A closer look at the urban-rural divide highlights that rural FLFPR has increased from 24.6 per cent in 2017-18 to 41.5 per cent in 2022-23, while urban participation experienced a relatively modest increase from 20.4 per cent to 25.4 per cent in the same period. Women’s employment is influenced by various factors such as age, education level, socio-economic-cultural conditions and perception of women’s capability, leading to different levels of participation. The nature of employment also plays a crucial role in shaping the workforce dynamics, with a significant proportion of women engaged in informal employment. Only about 19 per cent of working women hold regular salaried jobs, highlighting the precarious nature of female employment in India.

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