Urban Job Market Trends and Insights

India’s Urban Women: The Unseen Burden of Care Work and its Impact on Labour Force Participation

Introduction

A recent comprehensive report analyzing labour market dynamics in India’s largest cities reveals a significant challenge for urban women: childcare and household chores are preventing a substantial majority from participating in the workforce. This data highlights persistent gender biases in care responsibilities, even within the country’s most economically active urban centres.

Full Article

The Stark Reality: Care Work and Female Labour Force Exclusion

A groundbreaking report, “Labour Market Dynamics in Million-Plus Cities,” based on the Periodic Labour Force Survey (PLFS) 2024-25, paints a revealing picture of the Indian urban labour market. It found that a staggering 68.7% of women in India’s top 46 cities with a population of one million or more are excluded from the labour force primarily due to the demands of childcare and household chores. This figure underscores a deep-seated gender bias in the distribution of care work, a pattern that persists even in areas typically associated with greater economic opportunity and modernity.

Gender Pay Gap in Urban India

Beyond workforce participation, the report also sheds light on the pervasive gender pay gap within these million-plus cities. Women employed in salaried positions earn, on average, 23% less than their male counterparts, with monthly earnings of ₹23,700 compared to men’s ₹30,700. The disparity is even more pronounced in self-employment, where women earn less than half of what men do, earning approximately ₹16,160 per month compared to men’s ₹33,880. This significant wage difference reflects broader systemic inequalities that impact women’s economic independence.

Men’s Reasons for Not Working: A Different Perspective

In stark contrast to women, the reasons cited by men for not being part of the labour force are vastly different. Only a negligible 1% of men identified childcare or household chores as their primary reason for staying out of work. For men, the dominant factor for non-participation, accounting for around 53.5%, was the pursuit of higher education. This difference in cited reasons highlights the unequal societal expectations and division of labour within households.

A Glimmer of Progress: Rising Female Labour Force Participation

Despite the concerning statistics on care burdens, there are signs of slow but positive progress. The Female Labour Force Participation Rate (LFPR) in million-plus cities has seen an increase, rising from 19.8% in 2017-18 to 27.2% by 2025. This gradual improvement, though still low, indicates a growing number of women are entering the workforce, potentially due to evolving societal norms, increased access to education, or changing economic needs.

City-Specific Variations in Care Burden

The report also highlights significant regional variations in the extent to which care work impacts women’s labour force participation. Cities like Howrah (83%), Surat (81%), Pimpri-Chinchwad, and Bhopal (both 78%) reported the highest percentages of women citing care responsibilities as their reason for not being in the workforce. On the other end of the spectrum, cities such as Coimbatore (38%) and Agra (41%) showed a lower proportion of women facing this particular barrier, suggesting localized differences in cultural norms or support systems.

Understanding the Data: Key Definitions and Survey Methodology

The “Labour Market Dynamics in Million-Plus Cities” report is built upon the Periodic Labour Force Survey (PLFS), conducted annually by the National Statistics Office (NSO) under the Ministry of Statistics and Programme Implementation (MoSPI). Introduced in 2017-18, PLFS replaced earlier, less frequent employment surveys. The survey collects data from approximately 1 lakh households annually, with urban households being interviewed four times a year to capture a more dynamic view of the labour market. Key definitions used in the report include Labour Force Participation Rate (LFPR) – the percentage of the population aged 15 and above who are employed or seeking work; Worker Population Ratio (WPR) – the percentage of the population aged 15 and above who are actually employed; and the Unemployment Rate – the percentage of the labour force unable to find work despite seeking it.

Focus on Youth and the NEET Rate

The report also examined the situation for young people aged 15-29, specifically their NEET (Not in Employment, Education, or Training) rate. In million-plus cities, the NEET rate stood at 22.2%, which is slightly better than the urban India average of 25%. While this indicates a marginal improvement for youth in larger cities, it still means that one in five young individuals in these urban centres are not engaged in employment, education, or training, representing a significant pool of untapped potential.

The Informal Sector: An Adjacent Landscape

Complementing the labour market analysis, the report also draws from the Annual Survey of Unincorporated Sector Enterprises (ASUSE) 2025. This survey focuses on informal non-agricultural businesses like manufacturing units, trade establishments, and service enterprises. ASUSE data is crucial for understanding the informal economy, which plays a significant role in employment and urban development, and can inform policies related to micro, small, and medium enterprises (MSMEs) and labour reforms. ASUSE 2025 highlights, for instance, that Greater Hyderabad has the highest number of informal workers, while Kolkata hosts the largest number of unincorporated enterprises.

Conclusion

The findings from the “Labour Market Dynamics in Million-Plus Cities” report present a clear and urgent call to action. While the rise in female LFPR is a positive step, the overwhelming impact of childcare and household chores on women’s workforce participation, coupled with the persistent gender pay gap, demands focused policy interventions. Addressing these deep-rooted issues is crucial for achieving true gender equality and unlocking the full economic potential of India’s urban population.

Frequently Asked Questions

What is the main finding of the “Labour Market Dynamics in Million-Plus Cities” report regarding women?

The report found that approximately 69% of women in India’s 46 largest cities are kept out of the labour force primarily due to childcare and household chores.

How significant is the gender pay gap in salaried jobs within these cities?

Women in salaried jobs earn about 23% less than men, with monthly earnings of ₹23,700 compared to men’s ₹30,700.

What are the primary reasons men cite for not being in the labour force?

The main reason for men not being in the labour force is the pursuit of higher education, with childcare and household chores being cited by only about 1%.

Is there any sign of improvement in women’s participation in the urban workforce?

Yes, the Female Labour Force Participation Rate (LFPR) in million-plus cities has shown an increase, rising from 19.8% in 2017-18 to 27.2% in 2025.

Which cities have the highest percentage of women citing care work as a reason for not working?

Howrah (83%), Surat (81%), Pimpri-Chinchwad (78%), and Bhopal (78%) report the highest percentages.

Which cities have the lowest percentage of women citing care work as a reason for not working?

Coimbatore (38%) and Agra (41%) have the lowest reported percentages.

What does NEET stand for, and what is the rate in million-plus cities?

NEET stands for Not in Employment, Education, or Training. The NEET rate for youth (15-29) in million-plus cities is 22.2%.

What is the Periodic Labour Force Survey (PLFS)?

PLFS is an annual survey conducted by the National Statistics Office (NSO) to measure labour market indicators in India, introduced in 2017-18.

What is the Annual Survey of Unincorporated Sector Enterprises (ASUSE)?

ASUSE is a survey that covers informal non-agricultural businesses like manufacturing, trade, and service enterprises, providing insights into the unorganized sector.

What is the Labour Force Participation Rate (LFPR)?

LFPR is the percentage of the population aged 15 and above that is either employed or actively seeking employment.

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