Employment : Growth, Informalisation And Other Issues

6.1 INTRODUCTION

Employment is a fundamental aspect of human life and society. People engage in a variety of work activities ranging from farming, factory work, banking, and shopkeeping to home-based work such as weaving, handicrafts, and even modern IT programming. The nature of work has evolved with technological advancements, enabling production of factory goods at home, as witnessed during the Covid-19 pandemic when millions worked from home. Work is essential not only for earning a living but also for providing individuals a sense of self-worth and social identity. It contributes actively to the national income and development by engaging in economic activities that generate goods and services. Mahatma Gandhi emphasized the importance of education and training through various crafts, highlighting the dignity of labour. Studying employment helps us understand the quality and nature of work, sectoral contributions to the economy, and social issues like exploitation and child labour. This chapter aims to explore basic concepts related to employment, participation of men and women in economic activities, unemployment, and government initiatives for employment generation.

• Work includes diverse activities in agriculture, industry, services, and home-based production.
• Work provides income, self-worth, and social identity.
• Economic activities contribute to national income and development.
• Technological changes have altered the nature and location of work.
• Studying employment reveals social and economic issues like exploitation and child labour.
• Mahatma Gandhi advocated education and training through crafts.
• 📌 Economic activities: Activities that contribute to the production of goods and services and hence to national income.
• 📌 Worker: A person engaged in any economic activity contributing to production.
• 📌 National income: The total value of goods and services produced by a country.

6.2 WORKERS AND EMPLOYMENT

Employment refers to engagement in economic activities that contribute to the gross national product (GNP) of a country. Economic activities include producing goods and services that add value to the economy. A worker is anyone engaged in such economic activities, regardless of whether they are paid or self-employed. Even those temporarily absent due to illness or festivals are considered workers. Employment in India is diverse; some have year-round jobs, others seasonal or casual work. Wages may not always be fair. In 2022-23, India had about 545 million workers, with two-thirds residing in rural areas. Men constitute about 77% of the workforce, women about 23%. Women’s participation is higher in rural areas (about 25%) than urban areas (about 20%). Many women perform unpaid household and farm work, which often goes unrecognized as employment. Economists argue that such unpaid work should also be considered employment due to its contribution to household maintenance and production. Understanding who workers are and their participation is crucial for planning and addressing social issues.

• Employment includes all engaged in economic activities contributing to GNP.
• Workers include both paid employees and self-employed persons.
• India’s workforce in 2022-23 was about 545 million, mostly rural.
• Men form the majority of the workforce; women’s participation is lower and often unpaid.
• Unpaid household and farm work by women is often excluded from employment statistics.
• Recognizing all forms of work is important for accurate employment analysis.
• 📌 Gross Domestic Product (GDP): Total money value of all final goods and services produced within a country in a year.
• 📌 Gross National Product (GNP): GDP plus net income from foreign transactions.
• 📌 Worker: Person engaged in economic activities contributing to GNP.