THIS PRESENTAION DISSUS THE CONDITIONS OF THE LABOURS IN THE UNORGANISED SECTOR.

2. Recent

3. UNORGANIZED SECTOR
UNORGANIZED LABOUR
No formal work arrangements.
Uncertain and fluctuating wages.
No regulated work Schedule.
Uncertain about work and place of
work.
ORGANIZED LABOUR
Engaged in formal work contract.
Offered well regulated wage
packages.
Work schedule is well regulated.
Having regular Employment.
“The unorganized sector consists of all unincorporated private enterprises owned by individuals or
households engaged in the sale and production of goods and services operated on a proprietary or
partnership basis and with less than ten total workers”
The unorganized sector generates 50.6% of India’s Gross Domestic Product.

4. How Big is it?
92
78
68
72
91
86
82
64
0
10
20
30
40
50
60
70
80
90
100
WHOLESALE OR RETAIL
TRADE, ETC.
MANUFACTURING TRANSPORT STORAGE
AND
COMMUNICATION.
CONSTRUCTION
EMPLOYEMENT STATUS
URBAN RURAL
SERVICES
[134 million]
INDUSTRY
[92 million]
AGRICULTURE
[224 million]
Source: the challenge of employment in India report, 2009

6. Characteristics of
Unorganised
Labour
Characteristics of unorganized labour
Little or
no job
security
Absence
of Trade
Union
Low
Wage
Child
Labour
No Fringe
Benefits
Irregular
Working
hours
Lack of
official
protection
and
recognition Debt
Bondage

7. Advantages and disadvantages
Advantages
 Absorbs those who do not have regular jobs, who
lack skills and education, and those who are
searching for additional income.
 Responds to the demand of the urban services and
small-scale manufacturing .
 Contributes to the national income.
 Competition.
Disadvantages
Little awareness of workplace hazards.
Living areas close to work place.
Extend work hours and Exploitation.
No Job Security.
Low wages and not timely paid.

9. Labour Legislation Type of Intervention
The Minimum wage Act, 1948 To provide minimum compensation for work. Workers in
scheduled employment to be paid minimum wage.
The trade Union Act, 1926 To enable workers of a number of small units to form unions,
who can bargain wages and other condition of work?
The Industrial Dispute Act, 1947 To enable unions to raise industrial disputes on wages and the
conciliation machinery to intervene.
The Equal remuneration Act, 1976 Assure equal wage to women for same or similar work.
The Payment of wages Act, 1936 To regulate the manner of payment of wages and their
realisation in case of non-payment.
Source: Das, K.S. (1998), Wage Policy Issues in the Informal Sector, The Indian Journal of Labour Economics
Legislative Measures

10. Recent Developments

11. Take care!
-Thankyou!