Page 43 - CII-ARTHA

MARCH 2026

India’s Missing Women Workers:

The Participation Gap

and the Policy Fix

I ndia stands at a pivotal point in its economic different levels of educational attainment. It then
distinguishes between demand-side and supply-side
trajectory, one where sustaining high growth will
depend not only on capital formation and
productivity gains, but also on fuller utilisation of its constraints that shape women’s labour market
participation in India.
human resources. Yet, despite women constituting
nearly half of the country’s population, their The note concludes by outlining policy priorities
participation in the labour force remains markedly necessary to build a more inclusive and
lower than that of men, reflecting a deep-rooted gender gender-responsive growth strategy in India.
disparity in the world’s fastest-growing major economy.

Against this backdrop, this note analyses the structural, India’s Labour Force
institutional, and socio-economic factors underlying Participation: Stylized Facts
India’s low female labour force participation and the
enduring gender disparity in employment outcomes. The Labour Force Participation Rate (LFPR), defined
as the proportion of the working-age population that is
It first presents key stylised facts on recent trends in either employed or actively seeking employment,
labour force participation. It then compares India’s serves as a crucial indicator of how effectively an
experience with select Asian economies to assess economy utilises its human resources. Persistently low
whether income levels and structural transformation female participation implies that a significant portion of
adequately explain current patterns. The discussion the potential workforce remains underutilized,
subsequently examines the education–employment constraining economic growth, increasing
paradox and patterns of unemployment across
dependency ratios, and limiting overall productivity.

This article is contributed by Valbha Shakya, Deputy Director, Centre for Women Leadership, Confederation of Indian Industry (CII)

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