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“Female Workforce” in Economy: Participation and Segregation

Author: Ashima Singh

                                   Masters of Arts (M.A) in Public Policy

                     Jindal School of Government and Public Policy (JSGP)

                          OP Jindal Global University, Sonipat, Haryana

                   Contents

1.      Introduction

2.      Women’s Economic Contribution: A Historical View

3.      Women’s Economic Contribution: In Present Century

4.      Economic Freedom: Still a Dream?

         Occupational Segregation 

         Part-time work

         Wage – gap

5.      Women and Economy : Vision India

6.      Impact of Globalization

7.      NSSO vs. ILO : Fact Findings

8.      Economic Autonomy

9.      Challenges and Solutions

         Social Security          Illiteracy          Employment Access          Gender Wage Gap          Effect of Household Income          Concentration in Low Paid          The gap between Provider and Seeker           Domestic Division of Labour           Automation of Work

10.  Conclusion

11.  Abbreviation

12.  Reference

           Introduction

‘Women’ and ‘work’ is an inseparable amalgamation since the birth of human civilization. In pre – industrial society women were an indispensible entity in the economic contribution. Those days’ home and workplace was often the same or very close because craftsmanship and agriculture used to be the main economic activities. Both men and women were sharing the task and had equal influence on the economic contribution.

Gradually, due to the industrialization of the world, the distance between home and workplace rose because now the factories were the workplace. Also, factories needed few individual with specialized knowledge about the work, to be done by machine. This ‘industrial era’ associated women with domestic and caring services like the maid, nurses, domestic servants, etc. women participation in the paid labor force rose more or less continuously over the 20th century. Labor shortage during 1st world war became vital in the women’s entry into the labor force. After the Second World War gender gap started narrowing continuously at the economic front, though the female workforce was mostly engaged in lower – paid, part-time work.

Further, the Women’s Movement of the 1960s and 1970s for dismantling workplace inequality enabled them to gain legal equality with men. Then onward many women explored and attained a dizzying height in their career to realise the gender equality in the true sense. But the bigger question – Is gender equality attained? It’s a vexed question because occupational segregation, part – time work and the wage gap are the inequalities still existing in society throughout the world. The biggest barrier in attaining the equality is said to be ‘the domestic division of labor’. According to a UK survey of the 21st century, Women still spend nearly 3hrs a day on house work (excluding shopping and childcare) whereas men spend approximately 1hr 40min only (ONS 2003).

Presently women make up a little over half the world’s population but their contribution to measured economic activity, growth and development is far below its potential. They also face significant wage differential as compared to their male counterparts (IMF, SDN, Sep 2013).

In India, the economy has been growing rapidly since last three decades but its female workforce participation rates have declined. What may be the reason? Social and political structure of our country? According to the report of ILO (2014), this decline is actually a shift of women from recognize work to unpaid work due to family and social reasons. Also, women are mostly preferred in agricultural and non – agricultural sector for unskilled work with a lower wage. Earning differentials results in differences in skill acquisition, education and training which creates a vicious cycle of poor participation of the female workforce in the country’s economy.

Inspite of so many women empowerment programmes, Government’s 5 year plan and Women Movements the goal of ‘women emancipation’ is yet to be achieved. Making plans or donating fund for ‘women cause’ will never fetch the desired goal. The Women empowerment programme has to be implemented in the correct perspective. The age old myopic visioned policies have to be redrafted to remove the constraints, preventing women from developing their full economic potential. The re – drafted policy must re – orient the woman to access the opportunity of economic participation with insight and proficiency at par with man.

Women’s Economic Contribution: A Historical View -    

In pre – industrial society, productive and household activities were not separate. Craftsmanship and agriculture being the main productive activities, people use to carry out this work with all members (male and female) of the family in and around their houses. As a result, women had the equal influence on the economic front and were having the full charge of family and income.

With the onset of industrialization, the distance between home and workplace increased. This change brought the change in the family’s economic participation. Men folk with more technical prowess and lesser domestic responsibility walked away from home to work in factories and women being more associated with domestic work took charge of children, home management and cooking. Later due to poor economic condition few women got employed as a maid, nurses and domestic servant in more affluent families. This gave rise to paid labor force continuously over the 20th century until the Second World War. Though it resulted in narrowing the gender gap at the economic front but increased the number of lower – paid, part time job.

Women’s Economic Contribution – In Present Century –

In the present century average age of marriage and childbirth has increased the opportunity to work for women. Also, small family configuration and the mechanization of many domestic works has also enabled the women to work outside and contribute to the economy. The women movement of the 1960s and 1970s has encouraged many women throughout the world to enter the labor market for personal fulfillment, economic freedom and to gain legal equality with men. Contemporary women’s prerequisite is ‘economic independence’.

Economic Freedom: Still a Dream?

Does a woman enjoying an economic freedom in the true sense? It’s still a question which often remains unanswered because while choosing and performing ‘economic activity’ gender inequality at work often comes as an unpalatable reality. Women still experience a number of inequalities in the labor market.

These inequalities can be mainly categorize in the following three types –

·         Occupational Segregation – women are often considered for subordinate jobs and poorly paid jobs like secretarial jobs, social work, child care, teaching, etc. Even if they get selected for higher jobs like Doctor, Engineer, Professor, etc their promotional aspects becomes a challenge at times due to the gender bias mindset of the system. Women in a system always gets jobs with little authority while men occupy the top most position.

 ·         Part – time work – due to flexibility in working hours many women choose part – time jobs. This facility is widespread in many fields like IT, teaching, etc. It provides economic independence to women along with permitting supervision of home and children. But this limit their career growth and job surety.

 ·         Wage – gap – in many private institutions like schools, colleges, hospitals, etc it has been seen that women and men are being paid different salaries. Even in real estate women labor are paid a lesser amount than men employed for the same job as them. The pay gap differs by sector, with the widest gap – 55% in the financial sector (Fawcett Society, 2011).

 Women’s contribution to the world’s population is about 50% but their contribution in economic activities is far too less. Labor market across the world remains divided along gender lines and gender equality seems to be suggested but unaccepted reality. What is the reason? ‘Skill’ is said to be the main reason behind this gender inequality in the workplace. This is indeed a complex issue because as a feminist researcher has argued, what is called ‘skill’ is a socially constructed and subject to change (Steinberg 1990).

 Many feminist have discarded this plea of segregation due to ‘skilled’ and ‘unskilled’ minds. In the Millennium Declaration ILO (International Labor Organization) gave the phrase ‘decent and productive work’ which has been described as – equal opportunities for men and women to obtain decent and productive employment in conditions of freedom, equity, security and human dignity (ILO, Decent Work Country Programmes Guidebook). Ensuring equal rights, equal power and equal voice in decision making policies is a challenging task and discrepancies between the policies for women at workplace and its proper implementation at ground zero is one of the main reasons of economic disparity worldwide.

 Women and Economy: Vision India

In India, women remained an integral part of economic activities since human civilization but unfortunately, our female fraternity was stamped as ‘caring industry’ that ought to take care of family members. This prejudice has pruned the women’s right to equality at all levels. Inspite of feminist movements, women’s movement and National Commission for Women (NCW) which came into being in January 1992, achievement of ‘goal of equality’ at socio – economical and political front is still a challenge for the country. The main reason behind this short – coming is – intention to bring about the change in social structure gets defeated due to socio – political supremacy of male counterparts. Data available with ILO highlights the existence of age old norms of ‘male dominated society’, where females are discouraged to seek a job outside their homes. According to ILO’s data, between 2004 to 2011, when the Indian economy grew at a healthy average of about 7%, there was a decline in female participation in the country’s labor force from over 35% to 25%. Surprisingly, access to education for Indian Women is inversely proportional to their enrolment for employment. (Hindustan Times, March 8, 2016). Such kinds of facts hints towards the lacunae, inadequacies, or shortcomings in our legislative measures on the planning.

   Impact of Globalization

Globalization has certainly increased the opportunity for women with increased interdependence, interconnectedness and cross – cultural exchange but this has benefited only to urban and educated women and marginalized the rural workforce. On one hand, globalization has extended the economical horizon of women but at the same time, it has eroded the spirit of rural and informal sectors like farmers, artisans etc. However, globalization has led to the improvement of wages of laborers, and great feminization of the workforce but its impact is yet to be ascertained, specially on the rural socio – economical structure.

 The effect of globalization and modernization can be seen in India’s present economic structure where female participation in financial, social, judiciary, academics and defense services is quite encouraging but these achievements are restricted to the small and mainly urban selection of women.

 NSSO VS ILO: Fact Findings

According to NSSO (National Sample Survey Office) in 1999 – 2000, 35% of rural women and 17% girls (over 15 yrs old) were working as regular or casual wage workers, self – employed or unpaid helpers in family enterprises. By 2011 – 12, after a period of rapid economic growth, this has declined to 25% in rural areas and remained at the same low rate in urban areas. However, this figure excluded some of the works which contribute to the economy but does not get recognition as ‘economic activity’. According to ILO’s (International Labor Organization) new definition of work adopted in 2014, Women Workforce Participation rate in 1999 – 2000 increases to a whopping 89% in rural areas and only declines to 85% in 2011 – 12 (due to more enrolment in education among 15 – 24 age group). In Urban areas, the participation rate increases to 81% in the year 2011 – 12 ILO research further suggests that the above gradual decline in later years (2011 – 2012) is not actually a decline but a shift from paid to unpaid work due to loss of agency or family and societal constraints (The Guardian, July 16, 2016)

 Economic Autonomy –

If we look at the social status of the women with special reference to her economical autonomy, surely their position has improved drastically from the mid – nineteenth century women of present day’s society (especially urban society) have harnessed the power of “self governance”. Though in rural areas the situation is still not appreciable because in villages and smaller cities governing power is still in the hands of men even if their women have included in economic activities. The women’s movement and globalization has changed the socio – political environment of women in India. Wider acceptance of women’s rights, gender equality etc. has been seen in present India, still, the change is at a gradual pace and limited to benefit the upper, middle and lower middle class women in society. SEWA (Self Employed Women’s Association) and some other women union are trying hard to extend the limit of opportunities to rural areas also so that the rural women workforce can also be roped in women empowerment programmes by providing them private space of earning and spending. Under SEWA 60,000 poor women could be employed to contribute to the Indian economy.

 According to the IMF report on women workers in India, female labor force participation rates vary between urban and rural areas. It has been mentioned in the report that women working force participation is more in rural areas as compared to urban areas. The reason given is with very high education but the percentage of women workforce in those jobs is minimal as compared to the population of women in India.

                           Source: NSS Employment and Unemployment Surveys and IMF staff calculations.

 There is also growing the gap in participation between male and female labor force in India. These gender gaps in participation are more in urban areas, which is 45% approximately. The reason given behind it is when the wage increases in male’s salary the participation rate of female decreases in the family. (IMF/ Working Paper/Asia Pacific Department, March, 2015).

     Challenges and solutions –

The journey of civilization has travelled from pre – industrial area and after passing through the industrial area now it has reached to the information age where the economy is also known as ‘knowledge economy’ where the workforce is needed for marketing, sales, designs apart from physical production and distribution of goods. Ironically India inspite of having 15% of global population and 48.5% women population (as compared to men population of India) its economy is still having a 6th ranking at the global level. One of the main reasons of it is undoubtedly ‘gender inequality’ in all economic sectors. Much has been done at all levels to bridge the gender gaps but inequalities in life start with the socio – economic condition and mindset of people and society. In other words, inequality begins at home with discrimination between female and male child). So the government must ensure ‘education and awareness’ programmes for the people of the nation, irrespective of the proximity of the area. A paradigm shift at socio – political level is needed to develop more relevant economic policies to generate equal opportunities for the female fraternity. The challenge to meet does not lie in the quantum of expenditure but the position of policy.

 Social Security -

Crime against women is not new. The latest statistics are released by National Crime Records Bureau (NCRB) show that nationwide crimes against women in our country have increased by 7.1% since 2010 (Times of India, Aug 27, 2013). Social insecurity is the major deterrent of women independence and participation in economic activities especially outside the home.

 Illiteracy

The problem of illiteracy among women in our country is worse though sex differentials have narrowed down. The absolute number of female illiterate has gone down during 2010 – 2011 but is still high as compared other countries. Inspite of constitutional commitment of right to education and so many educational schemes implemented by our government (National Adult Educational Programme, Rural Functional Literacy Programme etc), the aim of education for women is yet to be realising in its correct perspective.

 Employment Access -

Government has launched many urban and rural development schemes like Mission Antyodaya, MGNREGA, SWAYAM, SANKALP, National Skill Development Mission but the lack of information deprives the aspirants from the access to opportunity of availing such facilities to empower themselves.

 Gender Wage Gap –

Though the gender wage gap is shrinking in India but still in the unorganized or organized market, women earn much less (upto 56% less) than the same colleagues performing the same work.

 Effects of Household income –

Women’s economic independence often gets curbed due to average household income because as the family income increases women’s participation in the labor market tends to decrease (specially in the rural area).

 Concentration in low paid – Undervalued Job –

Women are preferred in cleaning, catering, caring and clerical work which neither gives them recognition nor the economic independence.

 Gap between Providers and Seeker –

In present information age it is just an unfortunate reality that Government on its part has launched many schemes to provide economic independence to women through SIDO, DIC, SIDBI, commercial banks, NABARD and cooperative societies which are meant to provide financial support for entrepreneurship but due to lack of information about these welfare schemes most of the section of women remain deprived of all these opportunities. Also due to the complicated procedure and dearth of credits in these financial institutions transactions becomes almost impossible.

 India became the fastest major economy in the world in 2015 – 2016 and registered a growth rate of 7.6% (the first advance estimates of GDP released by CSO. If India could increase women labour force participation by resolving the gender issue of its male chauvinistic society, then it can increase women labor force participation by 10% (68 million) more women by 2025 and that could increase its GDP by 16% (Catalyst, Nov 15, 2015).

 The pre – requisite for economic empowerment of women in an accessible comprehensive policy which can encourage the women of all sections of society to come forward to the labor market and contribute to the economy and attain their birth right of economic independence which is the other name of women empowerment in the true sense.

 Domestic Division of Labor

Though the society all over the world has moved towards more egalitarian relationships major part of the society of India is still having a patriarchal society where all power of independence is with men fraternity. In such a societal structure economic independence of women remains ‘dependent’ on men. However, a change is being felt in the urban sociological structure where traditional family patterns are being renegotiated but its pace is too slow and restricted upto urban boundaries only.

 Automation of Work

Due to the installation of automated or programmable machineries in most of the industries and other workplaces, the need for human workforce has been reduced. This further hampered the women employment because such works demand fewer and skilled workforce hence men are preferred over women for such jobs. In a survey done by ‘Catalyst’ it is found that overall labor force participation rate for women in India is falling from 37 percent in 2004 – 05 to 29 percent in 2009 – 10 (Catalyst, Nov 17, 2015).

 Conclusion

India, in spite of being emerging as a fast growing economy on the global map, is still facing void due to unequal participation of male and female citizens of the country in its economic contribution. India is keeping an appreciable pace with globalization also through its socio – economic contributions. The only untenable fact is that in spite of the plethora of opportunities, availabilities and talents, India’s women workforce is still struggling hard to attain economic independence. There is no dearth of ideas or statistical analysis of gender inequality at the economic front but the need of the hour is to find effective solutions through a proactive approach and user friendly policies. The policy is needed to encourage the women fraternity to overcome the stereotype mindset of our socio - economic system and reorient their minds to fetch the equal share of ‘economic independence’.

    Abbreviation

IMF – International Monetary Fund

SDN – Software Defined Networking

ILO – International Labour Organization

NCW – National Commission for Women

NSSO – National Sample Survey Office

SEWA – Self Employed Women’s Association

NCRB – National Crime Record Bureau

MGNREGA – Mahatma Gandhi National Rural Employment Guarantee Act

SWAYAM – Study Webs of Active Learning for Young Aspiring Minds

SANKALP – Skill Acquisition and Knowledge Awareness for Livelihood Promotion Programme

SIDO – Small Industries Development Organization

DIC – Deposit Insurance Corporation

SIDBI – Small Industries Development Bank of India

NABARD – National Bank for Agriculture and Rural Development

GDP – Gross Domestic Product

CSO – Central Statistics Office

ONS – Office of National Statistics

  Reference

“Decent Work Country Programme Guidebook”, International Labour Organization, ILO, 1996 – 2016.

Giddens Anthony and Griffiths Simon, Sociology, Polity, cop. 2006.

UK Standard Industrial Classification of Economic Activities, ONS, 2003.

“World of Work Report 2014”, International Labour Organization, ILO, 1996 – 2017.

Das Sonali, Chandra – Jain Sonali, Kochhar Kalpana and Kumar Naresh, “Women Workers in India: Why So Few Among So Many?” IMF Working Paper, International Monetary Fund, 2015.

“Women in Leadership”, Catalyst – Changing Workplace. Changing Lives, Nov 17, 2015.