National Policy on Female Labour Force Participation (FLFP)

  • 02 Dec 2024

In News:

  • India is working on a national policy to enhance female labour force participation (FLFP), focusing on creating a supportive care economy structure.
  • The policy is being developed by an inter-ministerial team involving the Ministries of Skill Development, Labour, Rural Development, and Women and Child Development.
  • Goal: To reduce barriers for women, especially related to caregiving responsibilities, and increase their participation in the workforce.

Key Focus Areas:

  • Care Economy: Involves both paid and unpaid caregiving services, such as childcare, eldercare, domestic work, and health services.
  • The policy aims to formalize care work, addressing its undervaluation and encouraging women's workforce participation.
  • Proposes a core skilling package for caregivers, particularly for childcare in rural and informal sectors.
  • Childcare Facilities: Targeting women working under schemes like MGNREGS (Mahatma Gandhi National Rural Employment Guarantee Scheme).

Current Challenges:

  • Post-marriage employment drop: Women face a significant decline in workforce participation after marriage, often due to caregiving roles.
  • In India, 53% of women are outside the labour force, mostly due to unpaid domestic work, unlike only 1.1% of men.
  • The gender divide in caregiving is stark: Women spend over 5 hours daily on unpaid domestic work (81% of females), compared to 12.4% of males.

Key Initiatives:

  • Palna Scheme: Provides daycare through Anganwadi-cum-Crèche facilities for working parents, benefiting children aged 6 months to 6 years. 1,000 crèches are operational.
  • Women’s Employment Data:
    • In rural India, 36.6% of women participate in the workforce, compared to 23.8% in urban areas.
    • Post-marriage, female employment drops by 12 percentage points, even without children.
  • Improving Female Labour Force Participation (FLFP): Key to India's growth, as matching women’s workforce participation with men could boost GDP by 27% (IMF).

Barriers to Women’s Workforce Inclusion:

  • Unpaid Care Work: Women's disproportionate share of household duties limits paid employment opportunities.
  • Cultural Norms: Gender expectations restrict women’s access to employment, especially in rural areas.
  • Educational Barriers: Limited access to education for girls restricts skill development, lowering job prospects.
  • Health & Safety Issues: Health challenges and safety concerns at workplaces hinder women's workforce participation.
  • Lack of Supportive Policies: Absence of parental leave and flexible work arrangements for women, especially in the informal sector.

Government Initiatives for Women’s Employment:

  • BetiBachaoBetiPadhao: Promotes girl child education and empowerment.
  • National Education Policy (NEP): Ensures gender equity in education.
  • Maternity Benefit (Amendment) Act, 2017: Extends paid maternity leave to 26 weeks and mandates crèche facilities in large establishments.
  • Labour Codes (2019-2020): Codifies labor laws to provide a framework for improving women’s workplace safety and employment opportunities.

Global Examples & Inspiration:

  • Japan’s Womenomics: Aimed at increasing female participation, Japan's womenomics reforms have grown women’s labour force participation from 64.9% to 75.2% (2013-2023).
  • Flexible Work Models: Countries like Netherlands encourage part-time and remote work, offering flexibility to manage work-life balance.
  • Sweden’s Investment in ECCE: Investing 1% of GDP in Early Childhood Care and Education (ECCE) has significantly reduced women’s workforce exclusion.

Way Forward:

  • National Women’s Urban Employment Guarantee Act (WUEGA): Promotes gender-balanced work environments and childcare facilities at work sites.
  • Flexible Work Options: Encouraging remote work, parental leave, and childcare support will empower more women to balance caregiving and employment.
  • Investment in the Care Economy: To reduce the care burden on women, substantial investment in ECCE and related sectors is essential to increase women’s participation and economic independence.