Punjab and Haryana have persistently low female LFPR.
Over the past five years, India has seen a significant rise in women's participation in the labour force, with rural areas leading the way, new research has revealed.
The study, titled 'Female Labour Force Participation Rate: An Observational Analysis of the Periodic Labour Force Survey', was conducted by Dr Shamika Ravi (EAC-PM) and Dr Mudit Kapoor (ISI, Delhi). It examined trends in women's involvement in the economy from 2017-18 to 2022-23.
The research analysed data from the Periodic Labour Force Survey (PLFS), which includes information from over 2.5 million people. Labour force participation rate (LFPR) is calculated as the percentage of individuals aged 15 years and above, who are either employed or actively seeking work.
Key Findings:
- Rural female LFPR surged by nearly 70 per cent, from 24.6 per cent in 2017-18 to 41.5 per cent in 2022-23, while urban areas saw a more modest rise from 20.4 per cent to 25.4 per cent. States like Jharkhand and Bihar saw huge growth, with rural LFPR rising by 233 per cent in Jharkhand and increasing sixfold in Bihar.
- Married women in rural areas, particularly in Rajasthan and Jharkhand, showed a significant increase in LFPR. The presence of children under 14 years had a larger impact on urban women, especially those aged 20-35, compared to their rural counterparts.
- Female LFPR followed a bell-shaped curve, peaking between ages 30-40 before sharply declining. In contrast, male LFPR remained high from ages 30 to 50. Marriage was found to lower female LFPR, particularly in urban areas, while married men consistently had higher participation rates.
The study also focused on substantial regional disparities. Punjab and Haryana have persistently low female LFPR, while rural Bihar has shown considerable improvement despite the lowest LFPR in the past. The Northeastern states have also witnessed impressive growth, particularly in rural areas, with Nagaland and Arunachal Pradesh leading the way.
Western and Southern India also showed signs of growth in rural female LFPR, although urban areas have seen only a modest increase. Andhra Pradesh stands out with a significant decline in urban female LFPR, especially among women with children.
The rise in female LFPR can be attributed to several government initiatives, particularly those targeting rural women. Programmes such as Mudra loans, the "Drone Didi" scheme, and self-help groups (SHGs) under the Deendayal Antyodaya Yojana have played a significant role in empowering women in rural areas. These programmes have contributed to the overall increase in LFPR, especially in rural India, aligning with the vision of women-led development.
The study also highlights the need for further research to assess the true impact of government initiatives and address the persistent disparities between states and urban-rural areas.