About Care Economy

• The care economy includes all essential activities done to maintain and support people and daily life, including childcare, elderly care, domestic work, etc.
• It can be both paid (domestic workers or nurses) and unpaid (such as cooking, washing, child care by women within the household).
  • Care economy largely remains unpaid, hence, not counted in GDP, and is heavily dominated by women (76% of global unpaid care work as per ILO).

Need for Formalisation of Care Economy in India

• Contribution to GDP: The economic value of women’s unpaid domestic and care work is estimated to range between 15% and 17% of India’s GDP.
  • Further, building a professional care ecosystem allows India to export skilled talent globally, boosting economic growth through remittances.
• Demographic Transition: By 2050, the proportion of elderly individuals (60+ years) is projected to double to around 21% of the population.
• Boosting Female Labor Force Participation: The unequal burden of care work (81% women vs. 26% men) keeps women out of the paid workforce.
  • Accessible and affordable care infrastructure is essential to alleviate women's "time poverty," allowing them to participate in education, skill training, and the formal workforce.
• Massive Job Creation Potential: Direct public investment equivalent to 2% of India's GDP could generate 11 million jobs, with nearly 70% of those positions going to women.