Women in India's Workforce

Why India's female labour force participation has long been low, the recent rise, and the barriers women face.

Women’s participation in paid work is one of the most discussed issues in India’s economy. For years, India had one of the lowest female labour force participation rates among large economies.

The numbers

According to India’s Periodic Labour Force Survey, the female labour force participation rate for those aged 15 and above was around 23 percent in 2017 to 2018. It rose substantially in the following years, reaching over 40 percent by 2023 to 2024, with much of the rise in rural areas and in self-employment, including unpaid work in family enterprises.

Economists debate how much of the increase reflects better jobs versus more women counted as working in family farms and businesses, often during economic stress.

Why participation has been low

Social norms: expectations that women focus on home and family, and concerns about family status if women work outside.
Unpaid care work: women do most household work and care.
Safety concerns, especially when commuting.
Lack of suitable jobs near home.
Rising household incomes: in some families, women withdraw from paid work when incomes rise, a pattern linked to status.
Education: more young women are studying longer, delaying entry into work.

Why it matters

Raising women’s participation can boost economic growth and improve women’s independence and bargaining power at home. Studies have estimated large potential gains to India’s GDP if women’s participation matched men’s.

The commute problem

A young woman with a degree is offered a job in a city office 15 kilometres away. Buses are crowded, and her family worries about safety on late evenings. She declines, taking a lower-paid job nearer home. Safer public transport and flexible hours could expand her choices, and with them, her contribution to the economy.

Policies

Policies include safer transport, childcare, the extended 26 weeks of paid maternity leave, skill training and support for women’s self-help groups and entrepreneurs.

Thinking low participation means women do not work

Women in India do enormous amounts of unpaid work in homes and family farms that surveys may not count as employment. The issue is about paid, recognised work and women's economic choices.

Key takeaways

India's female labour force participation was around 23 percent in 2017 to 2018.
It rose to over 40 percent by 2023 to 2024, largely in rural self-employment.
Norms, care work, safety and lack of suitable jobs limit participation.
Safer transport, childcare and support for women's enterprises can help.