Economic Survey 2025-26 urges policy action to increase women’s labor participation | Current Affairs | Vision IAS
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ESC

In Summary

  • India's FLFPR rose from 23.3% (2017-18) to 41.7% (2023-24), with female entrepreneurship also increasing.
  • Key barriers include dual work burden (363 min/day unpaid work), mobility issues ('Pink Tax'), structural constraints, and skill/education gaps.
  • Raising FLFPR to 55% by 2050 is critical for sustaining high GDP growth.

In Summary

Survey noted that raising female labor force participation rate (FLFPR) to around 55% by the 2050 could be critical for sustaining a high annual GDP growth trajectory.

Status of female labor force participation in India

  • Rising Participation: FLFPR has seen a significant rise from 23.3% in 2017-18 to 41.7% in 2023-24.
  • Entrepreneurship: There is a positive trend in female-headed proprietary establishments, which increased from 24.2% in 2021-22 to 26.2% in 2023-24.

Issues in female labor force participation

  • Dual Work Burden: Women spend an average of 363 minutes per day on unpaid activities, compared to just 123 minutes for men. (Time Use Survey, 2024)
  • Mobility and "Pink Tax": Women often face a "Pink Tax" by paying higher costs for safer modes of transport due to security concerns.
    • A World Bank study noted that 31% of women cited commuting as a barrier to working.
  • Structural Barriers: Such as limited affordable housing and inflexible work arrangements that conflict with caregiving duties.
  • Skill and Education Gaps: Perception of STEM as a male domain and high cost of education continue to limit women's entry into these high-value sectors.
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Time Use Survey

A Time Use Survey collects data on how people in a household spend their time on various activities, both paid and unpaid. It is instrumental in understanding gender disparities in work burdens, particularly highlighting the significant contribution of women to unpaid caregiving activities.

STEM

Acronym for Science, Technology, Engineering, and Mathematics. These fields are crucial for innovation and economic development.

Pink Tax

The 'Pink Tax' refers to the phenomenon where women often have to pay more for certain goods and services compared to men, even if they are essentially the same. In the context of labor force participation, it highlights how women may incur higher costs for essential needs like safe transportation due to societal factors and security concerns.

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