Female Labour Force Participation and Economic Development in Empowered Action Group States of India

[Virtual Presenter] Good morning, everyone. Today I am here to discuss an important issue that affects us all - the lower rate of Female Labour Force Participation in the Empowered Action Group (EAG) states of India and its effect on economic growth. These 8 states have some of the most abysmal Female Labour Force Participation Rate (FLFPR) in the whole of India, showing the imbalance that exists between them and the rest of India. In this presentation, I shall be examining the distinct difficulties that these states confront in terms of FLFPR and how we can strive for a more equitable and prosperous society..

[Audio] Labor force participation rate of women is a crucial indicator of a nation's social and economic growth. It reflects how a nation is moving ahead and how women are contributing to the economy. Uplifting the female labor force participation rate can have a substantial influence on economic expansion by giving women access to essential resources such as education, capital, healthcare and land. Women are imperative to the success of major development objectives, such as eradicating poverty. We must do our utmost to guarantee that women are present in all areas of the workforce..

[Audio] Women in India face a number of structural and cultural challenges that limit their access to paid employment. Data from the World Bank and the World Economic Forum reflects one of the world’s lowest female labor force participation rates in India, and it is necessary to recognize the economic gains that could be realized if this gender gap is narrowed. According to an assessment by Goldman Sachs, if the gender gap in employment is reduced, India's GDP could potentially rise by almost one-third by 2050, which equates to an astonishing $6 trillion. In order to capitalize on this potential, it is critical to identify what is causing the low female labor force participation and to implement effective solutions in order to increase it..

[Audio] Female labour force participation rates have been decreasing in India, but more so in the Empowered Action Group (EAG) states. These states generally have lower social and human development indicators and higher poverty levels. To aid the female workforce of the EAG states, the Indian government has instituted various policies to improve economic development and raise the quality of life of its citizens..

[Audio] We are here to discuss the Female Labour Force Participation Rate in the Empowered Action Group States of India. The FLFPR in EAG states has been consistently lower than the national average, although there has been an increase in the percentage of women in regular employment post 2011-12. Many rural and urban women are still entering positions in community level services such as domestic work or in the fields of education, health, or social work. The variations in between the rates among EAG states can be attributed to many factors including insufficient job opportunities, skill development, and inadequate infrastructure. On the other hand, Chhattisgarh and Rajasthan have higher FLFPRs largely due to the presence of the mining and manufacturing industries, which offer higher-paying jobs. In contrast, the agricultural sector in Bihar and Uttar Pradesh is largely unorganized with workers often receiving low wages and facing poor working conditions. That concludes our discussion of Female Labour Force Participation and Economic Development in Empowered Action Group States of India..

Figure: Female Labour Force Participation Rate in the EAG States.

Figure: Per Capita NSDP in EAG States. Per Capita NSDP crores) o o O O o o O O o o o o o 00 o o o o o o o o o o O o o o o o o o o o.

[Audio] The findings of a study on the female labour force participation rate in India indicate that the feminization U-hypothesis holds true, demonstrating a U-shaped relationship between female labour participation and economic development. This is attributed to structural changes in the economy, declining fertility rates, and limited access to education for women. As the economy progresses and education opportunities expand for women, female labour participation begins to increase. Despite mixed results from studies on the female labour force participation rate in India, the feminization U-hypothesis can still be used to understand the overall trend of female labour participation in India..

[Audio] We explored the relationship between economic development and female labour force participation in Empowered Action Group States of India, utilizing a combination of quantitative and qualitative methods. Our research aimed to identify the determinants of female labour force participation rate in order to gain a better understanding of the factors that influence female labour force participation..

[Audio] I will be discussing the impact of Female labour force participation rate and Economic Development in Empowered Action Group States of India. My hypothesis is that There is systematic U- shaped relationship between the level of domestic product and female labour force participation rate, and that there is no significant impact of Female literacy, Total fertility rate, Unemployment rate on the female labour force participation rate. We will analyze the research to demonstrate the relationship between economic development of the states and female labour force participation. We will then discuss the results..

[Audio] Examining female labour force participation rates and its potential economic effects on the Empowered Action Group (EAG) states of India, data was collected from various sources including Employment Unemployment Survey, Labour Bureau EUS, Periodic Labour Force Survey, National Sample Survey Organisation, Central Statistical Organisation, Ministry of Labour & Employment, Ministry of Statistics and Programme Implementation, and Directorate of Economics and Statistics. Additionally, the 'Handbook of Statistics on Indian States' for the period 2005-2022 was consulted..

[Audio] Evidence is accumulating that the economic development of a society is closely tied to the labor force participation of women. This study examines the female labor force participation rate (FLFP) and its influences, and its correlation to the economic development of the Empowered Action Group (EAG) states in India. Panel data regression analysis and the bootstrap and interpolation methods were employed to analyze the data, as data availability was limited in some states. Results indicate the significance of female labor force participation in economic development. Policy makers should strive to create a setting which encourages women to work, as this could have a prominent impact on their economic development..

[Audio] The dependent variable in this analysis is the Female Labour Force Participation Rate in the Empowered Action Group states of India. The independent variables are Per Capita Net State Domestic Product, Female Literacy Rate, Total Fertility Rate, and Unemployment Rate. These variables have a significant influence on the Female Labour Force Participation Rate..

[Audio] This study investigated the role of female labour force participation in India’s Empowered Action Group (EAG) states and its impact on economic development. The results showed a positive effect of female labour force participation on economic development, most significantly in states with the lowest levels of female labour force participation. It was also found that the presence of policies such as the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) had a substantial influence on female labour force participation and economic development. The findings of this study emphasise the importance of policy initiatives designed to encourage female labour force participation in India’s EAG states to fuel economic development..

[Audio] The U-hypothesis states that when per capita net state domestic product increases, labour force participation will initially decrease but start increasing when a certain level of development is reached. Moving on to the next slide, we will examine how public transportation can be used to decrease air pollution and traffic congestion, while being cost effective..

[Audio] Results of research presented in TABLE 1 show that the female labour force participation rate is positively correlated with the economic development of the Empowered Action Group states of India. It was found that a 1 percent increase in the Per capita income of the states results in a 52.6 percent increase in the female labour force participation rate, which has a negative impact on the economic development of the states. This reinforces the conclusion that economic development plays an important role in diminishing gender disparities in the workforce..

Figure : Log per capita NSDP and female labour force participation (FLFPR).

[Audio] The results of the pooled OLS model suggest that there is an inverse U-shaped relationship between economic development and female labour force participation rate in the Empowered Action Group states of India. The log per capita NSDP and squared log per capita NSDP coefficients are both significant, with the log per capita NSDP coefficient having a positive sign and the squared log per capita NSDP coefficient having a negative sign. This indicates that female labour force participation rate is initially low at low per capita NSDP, then increases as per capita income increases before eventually declining..

[Audio] The slide is about comprehension of why the Female Labour Force Participation Rate (FLFPR) follows an inverted U-shape trend in the Empowered Action Group (EAG) states in India. It is said that when GDP per capita is low, women work to contribute to the household income, but as progress grows, the market expands, technology and education enhanced, females are left disadvantaged in the labour market, instigating withdrawal from the labour force, thus causing the descending FLFPR. Ultimately, this leads to the inverted U-shape curve observed currently..

[Audio] Research estimates that several factors, such as female literacy, per capita income, total fertility rate, and male unemployment rate, affect female labor force participation. To measure these factors' effect, a regression model was used. Results of this study suggest that increasing female literacy, per capita income, and male unemployment rate are associated with higher female labor force participation. Contrarily, total fertility rate was discovered to have a negative effect on female labor force participation. This study demonstrates the significance of socio-economic factors in deciding women's labor force participation..

[Audio] This research indicates that economic development, measured by the per capita income, is the most important factor influencing female labour force participation in India. The results of the random effect model, which has the highest R-squared value of the models tested, further imply that economic growth per capita, unemployment rates, fertility rate and labour force rate all have an effect on female labour force participation. The results also reject the hypothesis of a redundant fixed effect. The findings of this research consequently provide valuable insights into opportunities for female labour force participation in India and their relation to economic development..

[Audio] The slide focuses on the female labour force participation and its correlation with economic development in the Empowered Action Group states of India. Estimates show the female labour force participation in these states is affected by the female literacy rate, female unemployment rate and total fertility rate. An increase in the female literacy rate leads to a decrease in the female labour participation rate. The total fertility rate has a negative effect on the FLFPR due to the common stereotypes surrounding working women in society. Similarly, female unemployment has a strong negative relationship with the FLFPR. This implies that there is a correlation between the female labour force participation and the indicators discussed..

[Audio] It can be argued that female labor force participation in India's Empowered Action Group states is generally low, with certain states exhibiting higher levels of participation than others. To maximize female labor force participation, access to financial resources, skills training, improved infrastructure, and better educational and employment opportunities need to be provided. Moreover, social security measures for women’s safety and health should be implemented, as well as incentives being provided to employers that hire more women. Despite the challenges, there is still a great opportunity to increase female labor force participation in India..

[Audio] It is evident from the empirical analysis of the feminization U-hypothesis that there is a strong relationship between the level of economic development and the female labor force participation rate in India's Empowered Action Group states. As the per capita income increases, the female labor force participation rate also increases, but only up to a certain point, after which it starts to decline. The factors influencing the female labor participation rate include female literacy, total fertility rate and unemployment rate, all of which are found to have a significant impact on the rate of FLFPR. This highlights the importance of creating more job opportunities and providing necessary skills to women in order to increase their labor participation rate..

[Audio] Economic development and female labor force participation have a correlation, as evidenced in India's Empowered Action Group states. As economic development decreases, opportunities for women in the workforce also decrease. With increasing economic development, the number of women in the workforce concurrently increases. Ultimately, when economic development is high, female labor force participation is also high. It is clear that economic development has a direct influence on the number of women in the workforce..

[Audio] The topic of this slide is female labour force participation and economic development in India's Empowered Action Group states. To maximize economic development, policy recommendations should be tailored to regional contexts, access to education and family planning services should be improved, cultural norms and biases should be addressed, and targeted support should be given to low-skilled jobs. By tailoring the policies to local contexts, better changes can be made that promote economic development. Education and family planning services should be accessible in rural areas to reduce fertility rates and create more opportunities for women. Discriminatory cultural norms and biases should be addressed to allow women to join the labour force. Additionally, training and development programs should be created for women working in low-paying jobs to support upward mobility, entrepreneurship, and small businesses..

[Audio] The research shows that the female labour force participation rate is a significant indicator of economic development. However, collecting state-level data is difficult and could potentially exclude relevant information. In addition, women's empowerment must be considered on more than just an economic level, necessitating further research to examine other indicators that could impact the female labour force participation rate and the quality of life for women..

[Audio] Research on female labour force participation and economic development in the Empowered Action Group states of India has been extensive in recent years. This slide examines some core findings and related studies. Gaddis and Klasen found in 2014 that structural change in the economy was a main determinant of female labour force participation in these states. The Global Gender Report in 2021 showed that female workplace involvement was most likely to rise with voluntary actions instead of family pressure. Das and Desai argued that improved access to education and a more educated female population would advance female participation in the labour force. Kapsos, Silberman and Bourmpoula concurred in 2016, additionally pointing out that cultural obstructions and childcare availability can impede a woman’s ability to join the workforce. In conclusion, it is evident that female labour force participation and economic development in the Empowered Action Group states of India are tied, yet cultural, educational and childcare elements also have an effect on this correlation..

Thank you.