Getty ImagesThe government’s various measures to enhance the formalization of jobs have started yielding the desired results, says the Economic Survey 2019-20.
Total formal employment in the economy increased from 8% in 2011-12 to 9.98% in 2017-18, stated the survey released today.
With the introduction of GST, digitization of payments, direct benefit transfer of subsidies/ scholarships/wages & salaries to bank accounts, opening of Jan Dhan accounts, extending social security coverage to more workers, the government has been making efforts to formalize the economy and as a result of these initiatives, an increase in formal employment is evident, the survey noted.
Citing the Annual Survey of Industries (ASI), it observed an increase in employment in the organized manufacturing sector. Between 2014-15 and 2017-18, the total number of workers engaged in the sector increased by 14.69 lakh while the total persons engaged (inclusive of employees and employers) increased by 17.33 lakh, it added.
“The estimates of share of workers in informal sector in non-agricultures and AGEGC (Agricultural sector excluding only growing of crops, market gardening, horticulture and growing of crops combined with farming of animals) sectors obtained from the NSO-EUS and PLFS 2017-18, show a decline from 77.5 % in 2004-05 to 68.4 per cent in 2017-18, with the reduction being more pronounced among females," it added.
However, according to the survey's findings, gender disparity in India’s labour market widened due to decline in female labour force participation especially in rural areas and around 60% of productive age (15-59) group are engaged in full time domestic duties.
Total formal employment in the economy increased from 8% in 2011-12 to 9.98% in 2017-18, stated the survey released today.
With the introduction of GST, digitization of payments, direct benefit transfer of subsidies/ scholarships/wages & salaries to bank accounts, opening of Jan Dhan accounts, extending social security coverage to more workers, the government has been making efforts to formalize the economy and as a result of these initiatives, an increase in formal employment is evident, the survey noted.
Citing the Annual Survey of Industries (ASI), it observed an increase in employment in the organized manufacturing sector. Between 2014-15 and 2017-18, the total number of workers engaged in the sector increased by 14.69 lakh while the total persons engaged (inclusive of employees and employers) increased by 17.33 lakh, it added.
“The estimates of share of workers in informal sector in non-agricultures and AGEGC (Agricultural sector excluding only growing of crops, market gardening, horticulture and growing of crops combined with farming of animals) sectors obtained from the NSO-EUS and PLFS 2017-18, show a decline from 77.5 % in 2004-05 to 68.4 per cent in 2017-18, with the reduction being more pronounced among females," it added.
However, according to the survey's findings, gender disparity in India’s labour market widened due to decline in female labour force participation especially in rural areas and around 60% of productive age (15-59) group are engaged in full time domestic duties.
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