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Workforce Participation
in India
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WORKER
A worker is an Individual who is doingsome productive employment
to earn
a living. There are two types of
workers:Self Employed: people work in their own
business or profession and get profit a
reward.
Hired Workers: people who are hired by
others and paid wages or salaries as a
reward for their services
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Hired workers can be of two types:
Casual Workers: who are not on regular
and permanent basis job. Ex-
Construction workersRegular Workers: Who works on a
permanent basis and get social security
benefits. Ex- Teachers, Accountant etc.
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WORKFORCE
Persons who are engaged ineconomic activities are termed as
workers and they constitutes the
workforce. It is the total number of persons
actually working.
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Size of Workforce in India
The number of working personsconstitutes the working population
of a
country.
It depends upon many factors suchas:
Age composition
Gender CompositionType of worker
Availability of work
Attitudes towards work etc.
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India has workforce of about400,000,000 (400million)
persons.
On the basis of Area:In Rural areas- 70%
In Urban areas- 30%
On the basis of Gender composition:Male- 70%
Female-30%
Women workers:In Rural area- 1/3rd of the rural workforce
In Urban area- 1/5th of the Workforce.
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Rate of Workforce Participation
In India For the Urban Area:
52% for Men
14 % for Women
For the Rural Area: 53% for Men
30% for women
Overall Rate of Participation in theCountry is about 40-42%
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Participation rate in Rural Areas
is higher than in urban areas
i. It is because in rural areas, many do notgo to schools,
colleges and other
institutes. Whereas in urban areas a
considerable \section is able to study in
various educational levels and
institutes.
ii. Urban people have variety of jobs. They
look for an appropriate job to suit theirqualification and
Skills. But in rural
areas, people cant not stay at home as
they are poor.
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Participation rate for women in rural
areas is higher than urban areas
It is because in rural areas, povertyforces women to seek
employment.
Without education, they find less
productive jobs and get low wages. In urban areas Male earns
enough for
livelihood, so women dont prefer to
work much.
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Self Employed and Hired
Workers in India
Working Age Population: 64.5% Participation Rate 56.6%
Unemployment Rate: 3.6%
Self Employed(2010)- 20.3% Wages Employed (2010) 50.5% Male
workers:
Self Employed-51%
Hired Workers- 49% Females Workers:
Self Employed-55%
Hired Workers-45%
Sources: World Development Report 2013
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Employment is further divided
into Two sectors:
Formal Sector: The worker of this sector
are called formal workers and entitled to
social security by different labor laws. In
India 15.5 % workforce is employed in theformal sector.
Informal Sector: The worker of this sector
are called informal workers and entitled to
social security benefits. 84.5% workforce isemployed in the
informal sector. Ex-
Agriculture laboures, owners of small
enterprises etc.
