Female Labour Force Participation Rate in India

• The Government of India is formulating a comprehensive national policy to address the significant decline in women’s workforce participation after marriage, a trend underscored by a recent World Bank report. This policy aims to tackle systemic barriers and create a supportive environment for women to sustain and enhance their roles in the labour market.

About Female Labour Force Participation Rate (FLFPR)

• FLFPR refers to the proportion of women in the working-age population (aged 15 years and above) who are either employed or actively seeking employment. It reflects the extent of women’s participation in the workforce and serves as a key indicator of gender inclusivity in economic activities.

Reasons for Low Female Labour Force Participation Rate in India

• Cultural Constraints: Societal expectations and unpaid care work limit women’s workforce participation, especially after marriage.
• High Informal Sector Employment: Over 95% of working women are employed in the informal sector (ILO, 2018), lacking job security and social benefits.
• Limited Job Opportunities: Shortage of suitable jobs in manufacturing and services for women hampers FLFPR growth.
• Gender Pay Gap: Women earn significantly less than men, contributing to lower job retention and motivation (Economic Survey 2018).
• Safety Concerns: High levels of violence and workplace harassment deter women from working, particularly in high-risk professions and night shifts.
• Educated Unemployment: Despite higher education levels, women face a mismatch between qualifications and job opportunities, leading to underemployment.

Significance of Enhancing Female Labour Force Participation

• Economic Growth: Increasing female workforce participation could boost India’s GDP by 27%, as per the IMF, significantly contributing to the country’s economic development.
• Poverty Alleviation: Enhancing FLFPR helps address the feminisation of poverty, a consequence of the widespread informal, low-income employment that women are often confined to.
• Global Sustainability Goals: Improved FLFPR supports the achievement of SDG 1 (No Poverty), SDG 5 (Gender Equality), SDG 8 (Decent Work and Economic Growth), and SDG 10 (Reduced Inequalities), advancing global development targets.
• Improved Social Indicators: Encouraging more women into the formal workforce can lead to better Infant Mortality Rate (IMR) and Maternal Mortality Rate (MMR), improving overall public health.
• Empowerment and Decision-making: Financial independence from participating in the labour force empowers women, enhancing their self-confidence and enabling them to take an active role in family decisions, including family planning.

Steps Taken by the Government to Enhance Female Labour Force Participation

1. Maternity Benefit (Amendment) Act, 2017: Increased paid maternity leave to 26 weeks, with provisions for work-from-home options and mandatory crèche facilities for large establishments.
2. Anganwadi Centres under ICDS: Provide nutritional security, early childhood education, and a safe environment to support women in returning to the workforce.
3. National Food Security Act (NFSA), 2013: Cash transfer of ₹ 6,000 to pregnant and lactating women to alleviate the pressure of early re-entry to work.
4. Stand Up India Scheme: Facilitates bank loans (₹ 10 lakh to 1 crore) for women entrepreneurs in sectors like manufacturing, services, and agri-allied activities.
5. Sexual Harassment of Women at Workplace Act, 2013: Ensures workplace safety for women by providing legal recourse against harassment.
6. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS): 55% female participation, enhancing livelihood security for rural women.
7. Factories Act, 1948 (Night Shift Provisions): Lifting of the night shift ban for women, with safety and transport provisions to increase job opportunities.
8. Mahila Shakti Kendra (MSK): Empowers rural women through skill development and employment opportunities.
9. Rashtriya Mahila Kosh (RMK): Provides micro-credit for women’s livelihood activities, promoting economic independence.
10. SHe-Box: An online platform for reporting workplace harassment, enhancing accountability and transparency in workplaces.

Way Forward

• Child Care Support: Provide subsidised child care and establish crèches near work areas to ease the burden of unpaid care work and boost women’s workforce participation.
• Comprehensive Policy: Implement a unified approach addressing skill development, safe transport, and maternity protection to ensure long-term women’s employment.
• Liberalising Labour Laws: Amend restrictive laws like the Factory Act to remove barriers, inspired by successful models from Andhra Pradesh and Telangana.
• Strengthening Self-Help Groups (SHGs): Expand SHGs to empower women economically, enhancing their participation in both formal and informal sectors.
• Innovative Retention Solutions: Set up worksite crèches and promote flexible maternity leave policies, drawing from successful models like SEWA Sangini.
• Care Economy Recognition: Integrate care work into GDP calculations to acknowledge its economic value and prioritise support policies.
• Education & Training Investments: Invest in vocational and tertiary education to align women’s skills with emerging job opportunities.

To move from “Women Development to Women-Led Development,” India must address systemic barriers by ensuring economic empowerment, safety, and equal opportunities for women, fostering a more inclusive and thriving workforce.

Reference: The Hindu

PMF IAS Pathfinder for Mains – Question 34

Q. India’s Female Labour Force Participation Rate (FLFPR) remains one of the lowest globally, despite various policy initiatives. What are the key barriers preventing women from entering the workforce, and what measures can be taken to overcome them? (250 Words) (15 Marks)

Approach

• Introduction: Briefly Introduce the answer by mentioning the data of India and global FLFPR.
• Body: Discuss the key barriers to FLFPR and also discuss the measures to overcome barriers.
• Conclusion: Write a conclusion highlighting the need for gender-sensitive policies to achieve better FLFPR.