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Female Labour Force Participation Rate and Earnings Gap in India

Despite high economic growth, decline in fertility, and rise in schooling of girls, the Female Labour Force Participation Rate (FLFPR) in India has declined in rural areas and stagnated in urban areas since the late 1980s. This is contrary to the global experience, where similar factors resulted substantial increase in the FLFPR. The recently released Periodic Labour Force Survey 2017-18 confirms the declining trend and shows FLFPR declined in all states with the exception of Madhya Pradesh and Goa. Women’s engagement in unpaid work is high in rural areas and while a majority of women are employed in regular wage work in urban areas, there are substantial wage differentials between men and women, most of the regular work of women is in the informal sector, and non-wage benefits are poor.  

Women in Manufacturing

This factsheet is drawn from an IWWAGE-ISI study that seeks to examine the profile and background of women workers in contemporary industrial and urban landscapes – the kinds of opportunities available, barriers to participation, and aspirations and expectations from industrial employment. The study uses data collected from a survey of garment factory workers in Delhi-NCR. The data is supplemented with more detailed information on current or aspiring women workers obtained through focus group discussions and interviews with women workers, and interviews with factory owners/managers, labour contractors, and so on. Possible interventions to enhance women’s economic empowerment in manufacturing would be systematically tested.

Testing Approaches to Strengthen Gender within NRLM

With over 60 million women mobilised to be part of one of India’s largest livelihoods programme, the Deendayal Antayodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM), holds great promise for advancing women’s socio-economic empowerment by organising them into self-help groups (SHGs) and institutions of the rural poor. These platforms are facilitating financial opportunities and livelihood support services for women.  The livelihoods programme works exclusively with rural women, and a critical element for its success has been the mission’s commitment towards prioritising women’s perspectives and being responsive to their needs and aspirations. This approach has been embedded across all DAY-NRLM activities with the goal of strengthening women’s agency, identity, well-being, and solidarity, through women’s collectivisation. NRLM believes that gender sensitisation and social action should be mainstreamed in its framework, systems, institutions and processes. To this end, it devised a Gender Operational Strategy in financial year 2019-20 committing actions that recognise women’s heterogeneity and the unique socio-economic barriers faced by them. Through Swayam, IWWAGE is partnering with DAY-NRLM to provide technical assistance to support this strategy and institutionalise gender across all levels of the Mission. The note gives a snapshot on the approaches to strengthen gender interventions by NRLM.

Empowering Women Collectives through Digital Initiatives in Chhattisgarh

Digital tools offer immense potential for accelerating women’s empowerment, enhancing the impact of ongoing initiatives, and providing women with new avenues to improve knowledge and share information. Over the past year, the Initiative of What Works to Advance Women and Girls in the Economy (IWWAGE), part of LEAD at Krea University, has been collaborating with the Government of Chhattisgarh and other partners to map existing digitisation initiatives aimed at empowering women in the state, evaluate their effectiveness, and explore opportunities for improvement.

Many of these initiatives are centred around Self-Help Groups (SHGs), which play a key role in empowering women through social mobilisation and financial inclusion. In Chhattisgarh, the SHG ecosystem is managed by the state chapter of the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM), known locally as Bihan. Established in 2012, Bihan serves as a Self-Help Promoting Agency (SHPA), working to strengthen women’s collectives by improving financial and market linkages, promoting access to entitlements, and providing capacity-building support. Additionally, non-governmental SHPAs like PRADAN are active in supporting women’s empowerment in the state.

IWWAGE is supporting Bihan’s efforts to enhance the SHG ecosystem by promoting and testing digital solutions that enable women’s collectives to access markets and services more effectively. This initiative focuses on summarising the current digitisation efforts, identifying existing gaps and barriers, and proposing innovative use cases to further drive women’s empowerment in Chhattisgarh.

Accelerating Women’s Access to Entitlements through Digital Solutions

In partnership with the State Rural Livelihoods Mission (SRLM) in Chhattisgarh and Haqdarshak Empowerment Solutions, IWWAGE is supporting SHG women-trained as Haqdarshikas-to improve awareness and uptake of government entitlements using a digital app.

A survey of 411 Haqdarshikas highlighted key insights on app usage, barriers to service delivery, and the impact of COVID-19. While many remained active in the field, challenges like limited digital access and low citizen demand impacted engagement. The findings inform strategies to strengthen retention, digital inclusion, and the role of SHG women in delivering social protection services.

Digital Solutions to Unlock the Potential of SHGs and their Federations

IWWAGE – an initiative of LEAD at Krea University – in partnership with the State Rural Livelihoods Mission (SRLM) Chhattisgarh and Haqdarshak Empowerment Solutions, is implementing a project that trains women self-help group (SHG) members as Haqdarshikas to provide doorstep access to government welfare schemes using a mobile app, Haqdarshak.

A survey of 411 Haqdarshikas conducted in late 2020 revealed that while many continued to support their communities, a large number had stopped using the app, citing issues such as smartphone access, digital literacy, and low demand for services. Despite challenges, 97% of respondents reported earning income through paid work, and most remained engaged in the program, motivated by community recognition, learning, and income opportunities.

The study highlights both the potential and challenges of leveraging SHG women as digital agents for last-mile delivery of entitlements and offers insights for improving retention, support, and impact of such models.