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ENCOURAGING LABOUR
FORCE PARTICIPATION OF
WOMEN
IN NEED OF POLICY REFORMS
Participation of women in India’s labour
force
 Women’s Labour Force Participation Rate (LFPR) in India
is a dismal 25.8% as against 74.4% among men (Labour
Bureau data)
 The International Labour Organisation (ILO) ranked
India’s Female Labour Force Participation (FLFP )rate at
121 out of 131 countries in 2013, one of the lowest in the
world
 FLFP dropped by 19.6 million women from 2004-05 to
2011-12
 Participation declined by 11.4% from 1993-94 to 2011-12
 Approximately, 53% of this drop was from rural India,
among those aged between 15 and 24 years
Reasons for dropout
 Stability in family income
 Expansion of secondary education
(Source: ‘Precarious Drop Reassessing Patterns of Female Labour Force
Participation in India’ published by the World Bank in April 2017)
Credit: Economists Luis A Andres, Basab Dasgupta, George Joseph, Vinoj
Abraham and Maria Correia
Country FLFP Rate
Nepal 79.9%
China 63.9%
Bangladesh 57.4%
US 56.3%
European Union 50.8%
Sri Lanka 35.1%
India 27%
Pakistan 24.6%
Arab countries 23.3%
Women are allowed to work night shifts in
Tamil Nadu and Maharashtra
India compares well in manufacturing,
but not in LFPR
Source: ‘Night Shift For Women: Growth and Opportunities’, a study
by Assocham, NCW
An Assocham-National Commission for Women study highlighted the
concerns of women, who are already working nightshifts in industries
like the business process outsourcing sector.
Reasons for increased FLPR
Source: World Economic Forum
Nordic Countries Set a Trend
 Nordic countries have implemented various public policy
reforms, ranging from comprehensive parental provision
and childcare facilities to statutory right to paternal paid
leave.
 Nordic countries have not only increased the number of
working women in the past decades, but also led women
to having more children.
 The relationship between fertility and FLFP rates has
turned from negative to positive since 1985.
 This shift over time implies that the substitution effect
between having children and working has been offset by
the income effect.
 Higher FLFP rate allows households to have more
children.
 This reflects changes in social norms towards working
mothers and public policies that reduce the trade-off
between childbearing and female employment.
The way ahead
 Change in public policies.
 Need for efficient public transport systems (e.g. Mumbai
local trains).
 Presence of more women in public spaces encourages
more women to come out - domino effect.
 Change in mindset and attitude of people in the society.

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Encouraging Labour Force Participation of Women In Need of Policy Reforms

  • 1. ENCOURAGING LABOUR FORCE PARTICIPATION OF WOMEN IN NEED OF POLICY REFORMS
  • 2. Participation of women in India’s labour force  Women’s Labour Force Participation Rate (LFPR) in India is a dismal 25.8% as against 74.4% among men (Labour Bureau data)  The International Labour Organisation (ILO) ranked India’s Female Labour Force Participation (FLFP )rate at 121 out of 131 countries in 2013, one of the lowest in the world  FLFP dropped by 19.6 million women from 2004-05 to 2011-12
  • 3.  Participation declined by 11.4% from 1993-94 to 2011-12  Approximately, 53% of this drop was from rural India, among those aged between 15 and 24 years Reasons for dropout  Stability in family income  Expansion of secondary education (Source: ‘Precarious Drop Reassessing Patterns of Female Labour Force Participation in India’ published by the World Bank in April 2017)
  • 4. Credit: Economists Luis A Andres, Basab Dasgupta, George Joseph, Vinoj Abraham and Maria Correia Country FLFP Rate Nepal 79.9% China 63.9% Bangladesh 57.4% US 56.3% European Union 50.8% Sri Lanka 35.1% India 27% Pakistan 24.6% Arab countries 23.3%
  • 5.
  • 6. Women are allowed to work night shifts in Tamil Nadu and Maharashtra
  • 7. India compares well in manufacturing, but not in LFPR
  • 8. Source: ‘Night Shift For Women: Growth and Opportunities’, a study by Assocham, NCW An Assocham-National Commission for Women study highlighted the concerns of women, who are already working nightshifts in industries like the business process outsourcing sector.
  • 9. Reasons for increased FLPR Source: World Economic Forum
  • 10. Nordic Countries Set a Trend  Nordic countries have implemented various public policy reforms, ranging from comprehensive parental provision and childcare facilities to statutory right to paternal paid leave.  Nordic countries have not only increased the number of working women in the past decades, but also led women to having more children.  The relationship between fertility and FLFP rates has turned from negative to positive since 1985.
  • 11.  This shift over time implies that the substitution effect between having children and working has been offset by the income effect.  Higher FLFP rate allows households to have more children.  This reflects changes in social norms towards working mothers and public policies that reduce the trade-off between childbearing and female employment.
  • 12. The way ahead  Change in public policies.  Need for efficient public transport systems (e.g. Mumbai local trains).  Presence of more women in public spaces encourages more women to come out - domino effect.  Change in mindset and attitude of people in the society.