Effects Of Pandemic On Women Labour Force Participation

Even before the onset of COVID-19, India’s female workforce was largely invisible, underpaid, under-protected and constituted the largest segment of the informal workforce. However, due to pandemic, women have been disproportionately affected socially and economically.

• As per the Quarterly Bulletin of the Periodic Labour Force Survey for the period January – March 2021 released on 30th November 2021 by the Ministry of Statistics and Programme Implementation, the Labour Force Participation Rate (LFPR) on the Current Weekly Status (CWS) for females of age 15 years and above in urban areas was 21.9% in the Quarter January – March 2020, which owing to the Covid-19 pandemic induced lockdown in the country, dropped to 19.6% in the Quarter April – June 2020.

Reasons for Decline in Female LFPR due to COVID

• Nature of Work of Women: Women continue to work largely in the informal sector (94 percent of women work in the informal sector) and most have no written job contract or defined benefits. They form a large part of the labour force in industries like fashion, the beauty industry, housekeeping and events, which have been severely dented due to social distancing regulations. This has put them at greater risk during the pandemic – higher unemployment rates, reduction in wages and financial insecurity and a more subdued re-entry into employment.
• “Double-Shift”: The overlap of work responsibilities and care (housework, childcare and eldercare) responsibilities has intensified during the pandemic, especially for households with children. As a result, women have either left their jobs and those who have continued to work throughout the pandemic, some have reduced their working hours and some have pulled back from promotions and leadership roles.
• Lack of Opportunities for Re-employment: Women’s re-employment has been slower, with lower hiring rates and delayed hiring into leadership roles. Also, women’s re-employment after a work gap can also lead to downward mobility in the status of the role performed.
• Inadequate Skills in New Technologies: Labour markets are changing under the twin pressures of the COVID-19 pandemic and the adoption of new technologies. Women do not have adequate skills in respect of new technologies which lead to decline in female LFPR.
• Digital Divide: Women have lack of access to smartphones and the internet. There is a 50 percent gender divide between male and female internet users in India. This has reduced their capability of working from home.

Impact

• Potential of nearly 50% of demographic dividend remains untapped.
• It may lead to labor shortage in key sectors of the economy, particularly where women form a large part of labor force.
• It will lead to decline of autonomy of women and increase discrimination against women. Women’s burden of work will increase as they will be expected to participate more in the care economy.
• It will push women towards low paid jobs, forming a vicious cycle of poverty, malnutrition and disempowerment which will widen the existing gender inequalities and exclude them from reaping the benefits of economic growth.

Possibilities and Prospects

Following measures can help plough back the gains made on economic empowerment of women in the last few decades:

• Strengthen platforms that already provide opportunities to women, to significantly expand the opportunities available and to provide infrastructure that alleviates the burden of unpaid household and care work.
• Strengthen Self-Help groups (SHGs) and women’s collectives through institutional and financial support.
• Increase skilling opportunities and prepare women for non-traditional jobs.
• Invest in infrastructure and childcare services to reduce unpaid work.
• Increase access to banking, internet, education and employment opportunities.
• Use the new-found acceptance of flexible and remote work to increase the number of women in the labour force.
• Incentives to private companies for special recruitment drive for women who have lost their jobs due to COVID-19 lockdowns.