Of
the millions of workers who worked in India’s factories in 2019-20,
less than a fifth were women. This share has remained largely unchanged
for over two decades.
Key takeaways
- The
share of female regular employment in organised manufacturing has
largely remained unchanged at 19 percent in the last two decades
- Seventy
two percent of all women working in industries across India were
employed in just four southern states – Tamil Nadu, Karnataka, Andhra
Pradesh and Kerala
- Women are also more likely to be working in a handful of industries, while male employment is more diversified
- Additionally,
there is a wide gender-wage gap. For every INR 100 a male industrial
worker earned as wages in 2019-20, his female counterpart earned only
INR 87.06
Of the 8
million workers employed in India’s formal manufacturing industries in
2019-20, 1.6 million (19.7 percent) were women, data from the Annual
Survey of Industries (ASI) shows. This share has remained largely
unchanged for over two decades (see Figure 1).
Figure 1
<span
data-mce-type="bookmark" style="display: inline-block; width: 0px;
overflow: hidden; line-height: 0;"
class="mce_SELRES_start"></span><span
data-mce-type="bookmark" style="display: inline-block; width: 0px;
overflow: hidden; line-height: 0;" class="mce_SELRES_start"><span
data-mce-type="bookmark" style="display: inline-block; width: 0px;
overflow: hidden; line-height: 0;"
class="mce_SELRES_start"></span></span>Looks like your
browser doesn&#8217;t support iframes.<br />
In this
analysis, we look at the gender gaps in manufacturing employment in the
country using ASI data for 2019-20, the most recent round of the
survey.
While
the ASI contains plant-level data on several industrial indicators, it
must be pointed out that the data pertains to only organised
manufacturing units i.e. factories with 10 or more workers that use
power or those with 20 or more workers operating without the use of
power. Further, ASI provides gender segregated data only for “directly
employed” workers – these are workers employed directly in a
manufacturing process but excludes workers hired on contract and those
involved at “clerical, supervisory, managerial, sales, watch and ward
staff”.
Wide regional variations in gender composition of the industrial workforce
Even among this small share of women working in industries, there are wide regional and industry-wide variations.
Of the
1.6 million women workers across India, 0.68 million (43 percent) were
working in the factories of Tamil Nadu alone. In fact, nearly
three-fourths (72 percent) of all women working in industries were
employed in the four southern states of Tamil Nadu, Karnataka, Andhra
Pradesh and Kerala.
In addition to this skew in regional distribution, the gender gap in manufacturing employment varies widely across states.
Figure-2
shows the share of women workers in the total industrial workforce by
state. Manipur is the only state with a gender-balance among those
working in its manufacturing sector. The share of women workers in the
state stood at 50.8 percent in 2019-20. Manipur was followed by Kerala
(45.5 percent), Karnataka (41.8 percent) and Tamil Nadu (40.4 percent).
Chhattisgarh
had the most gender-skewed industrial workforce with women making up
just 2.9 percent of those working in its manufacturing units. It was
followed by Delhi with women comprising 4.7 percent, and Jammu and
Kashmir and West Bengal where women made up just 5.5 percent of the
total manufacturing workforce each.
Figure 2
Among
the five most industrialised states, the picture is mixed – with
Maharashtra (12 percent), Uttar Pradesh (5.7 percent) and Gujarat (6.8
percent) having large gender gaps and Tamil Nadu (40.4 percent) and
Andhra Pradesh (30.2 percent) faring much better. Women’s share among
industrial employees was less than 10 percent in 16 states and union
territories.
Women workers are concentrated in a handful of industries
On top
of this regional concentration, an industry-wide analysis of female
employment from ASI 2019-20 shows a skewed gender workforce across most
industries, and also suggests that women are more likely to be working
in a handful of industries*.
Figure 3
Figure-3
plots the share of men and women workers in major industry groups.
Among major industries** (those that employed 50,000 or more workers),
only one – ‘Wearing apparel’ – had an equal share of men and women. The
tobacco industry is the only one that employs a higher share of women.
In all the other major industries, men outnumbered women significantly.
In 5 out
of 22 major industry groups, women’s employment registered an absolute
fall in the preceding decade (2009-2019). Food products had seen the
largest fall in female employment with employment dropping by 16 percent
in 2019 as compared to 2009. Other industries that saw a decline in the
number of women workers were chemicals, computers and opticals,
printing and reproduction of media and motor vehicles. In contrast
industries like fabricated metals, leather products, machinery, repair
of motor vehicles and other transport saw a doubling of the number of
female workers in this period.
For men,
all but one of the 22 major industries showed an increase in the number
of those employed in 2019 as compared to 2009. Industries like repair
of motor vehicles, other manufacturing and pharmaceuticals saw a near
doubling of male workers and were the fastest growing industries for
male workers in this period. The tobacco industry saw an absolute
decline in male employment in this decade.
Women
workers are also concentrated in fewer industries in comparison to male
workers. Figure-4a plots the distribution of the industrial workforce in
major industries for women. Half of all women workers employed in
manufacturing in 2019-20 were employed in apparel, textile and leather
industries. Another 22 percent
were employed in the food and tobacco industry. In contrast, these
industries accounted for 36 percent of all manufacturing employment for
men.
Figure 4a
Male
manufacturing employment was more diversified across industries, as seen
from Figure-4b. Other large employers for male workers were basic and
fabricated metals (12 percent), machinery (6 percent), motor vehicles
(5.8 percent), rubber and plastics (5.6 percent), other non-metallic
minerals (5 percent) and chemicals (4.9 percent). Only 12.5 percent of
women workers found employment in this group of industries.
Figure 4b
Women workers earn less than their male colleagues
Figure 5
Figure-5
shows the amount (in INR) earned by a female worker for every INR 100
earned by a male worker in 2019-20. According to ASI 2019-20, on
average, a female industrial worker made INR 382 per day as opposed to
her male counterpart who made INR 439 per day. In simpler terms, that
means that for every INR 100 a male industrial worker earned as wages in
2019-20, his female counterpart earned only INR 87.06.
Puducherry,
Rajasthan, Tamil Nadu had the widest gender wage gaps in the country
with women earning only INR 74.1, 75.5 and 78.4 respectively for every
INR 100 a male worker earned. However, in some states, women workers
earned better than male workers with Jammu and Kashmir leading the group
followed by Tripura and Uttar Pradesh.
A
disclaimer in interpreting the wage gap: while the ASI data contains
information on wages paid by gender, it does not have information on
skills or job type of workers. Therefore, it is not possible to
establish whether the wage gap is because men and women are employed in
roles requiring different skill sets, or whether this is due to clear
gender discrimination. However, a previous analysis by
the Harvard Kennedy School (2016) had found that manufacturing had one
of the highest gender wage gaps across sectors in the country. Much of
this wage gap is unexplained by gender-specific differences in
education, occupation, or age/marital profiles, pointing to potential
discrimination, the analysis pointed out, adding that industries that
hired most women (such as tobacco and apparel) exhibit wage
discrimination.
Women are overrepresented in the unorganised sector
The ASI
employment data only pertains to regular workers in organised
manufacturing. This is a superior employment arrangement when compared
to unorganised or subcontracted work since the latter falls outside the
ambit of labour legislation and is characterised by a lack of social
security. However, a larger proportion of manufacturing in India is of the unorganised kind – and research shows that women are more likely to be engaged in the unorganised sector than men.
Bose (2022) finds
that in 2015-16, women-headed firms accounted for 45 percent of
enterprises in unorganised manufacturing, 95 percent of which were
operating from home.
The 2019-20 Handloom Census reported that of the 35 million unorganised handloom workers across the country, 25 million (72.3 percent) were women.
Manufacturing
jobs are considered an important source of employment for the large
workforce of developing countries looking to move out of agriculture.
Given that women still form the bulk of the agricultural workforce in
India – this channel of employment may be particularly important for
them.
The East
Asian countries, for instance, witnessed high economic growth on the
back of growing employment in productive formal manufacturing (Rodrik, 2014).
Women found a large share in this manufacturing-led growth in East
Asia. The average share of women in manufacturing employment was 42
percent in East Asia and Pacific countries during this period (Tejani & Milberg, 2016). In India however, the (State of Working India Report, 2021)
highlights how the lack of productive labour-intensive manufacturing
jobs have pushed women out of the labour force altogether.
To add
to that, the post-pandemic situation of women’s employment in
manufacturing is likely to be much worse. As CEDA-CMIE bulletins have
highlighted, total manufacturing employment had halved by 2020-21, and women’s overall employment had taken a much bigger hit as compared to men’s.
Notes
*Based on NIC 2008 two-digit classification.
**Major
industry groups are those that employed at least 50,000 workers in
2019-20. These are the 22 industry groups of – food, beverages, tobacco,
textiles, wearing apparel, basic metals, fabricated metals, machinery
and equipment, rubber and plastics, motor vehicles, chemical and
chemical products, other non-metallic minerals, leather and related,
pharmaceuticals, electrical equipment, repair of motor vehicles, paper,
other transport, computers and opticals, printing and reproduction of
media, wood and cork and others.
[Reproduced from CEDA - Ashoka University - see original article]