NSSO 66th round Employment Survey

  • The survey showed a decline in the labor force participation <for men, women or both?>
  • Female LFP has declined as per all the three criteria (usual, weekly and daily status) in rural and urban areas as compared to 2004-05
  • Even among urban males, there is a decline in the rates as per the usual and weekly status, though the daily status work participation rate shows an improvement.
  • Only the rural males reported an increased participation in the labour market in terms of all the three criteria
  • The decline in the work participation rate of females can stem from their increased participation in education and withdrawal from petty or subsidiary activities.
  • Women may withdraw from principal activities if male earnings improve considerably
  • Apart from the supply side (from labour point of view) factors driving this decline there are other factors as well
  • Other factors
    • Decline in the demand for labour?
    • Underemployment or disguised unemployment might have declined in the urban areas
    • Lack of rural diversification
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