Page 49 - CII-ARTHA
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MARCH 2026
Similarly, India exhibits relatively high unemployment at delayed entry into the labour market, as a significant
advanced education levels for men as well. This share of individuals at this stage opt to pursue higher
pattern presents a paradox: while men and women education rather than immediate employment.
with basic and intermediate education appear to find
employment more easily, those with higher
qualifications face greater barriers - possibly due to Demand-side and Supply-side
skill-job mismatches, limited creation of high-skill Challenges to Female Labour
positions, or saturation in formal sectors. While Force Participation
labour-intensive sectors may absorb less-educated
workers, improving opportunities for the highly A demand-side barrier to female labour force
educated requires provision of gainful employment participation (FLFP) refers to limitations within the labour
opportunities and at the same time addressing market that reduce employers’ willingness or capacity to
demand-side barriers that restrict women’s hire women, regardless of women’s readiness to work. In
participation in the formal and high-skill segments of contrast, a supply-side barrier refers to constraints that
the economy. The relatively low unemployment rate at limit women’s ability or willingness to seek and engage in
the basic and intermediate level may also reflect paid employment, even when jobs are available.
Supply-side barriers Demand-side barriers
• Socio-cultural norms that discourage • Insufficient job creation, especially in
female employment sectors that employ women
• Household and caregiving • Gender pay gaps, which discourage
responsibilities participation
Barriers to
• Early marriage and childbirth Female • Occupational segregation, where certain
LFPR jobs are deemed “too-masculine”.
• Higher enrolment in education,
delaying entry into the workforce • Limited return-to-work pathways for
women after career breaks
• Lack of gender-responsive
infrastructure (e.g. safe transport, • Restrictive labour laws that may
childcare facilities, etc.) inadvertently discourage hiring women
On the supply side, entrenched social norms regarding
women’s roles, safety concerns, marriage-related
constraints, and the burden of unpaid domestic and
caregiving responsibilities continue to suppress female
participation in paid work. According to national surveys,
43.6 per cent of women in rural areas and 55.6 per cent of
women in urban areas remain outside the labour force
due to domestic duties and other household
responsibilities, while only 1.2 per cent men in rural areas
and 1.5 per cent men in urban areas remain outside the
labour force due to domestic duties and other household
responsibilities (Box-5). Safety concerns also play a
critical role - around 40 per cent of women report feeling
“not-so-safe” or unsafe in their cities, which can deter
them from seeking employment outside the home .
5
5 The Nari 2025 Report; National Commission for Women
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