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Labour Market Inequality in India over Three Decades

By: Sen, Kunal.
Material type: materialTypeLabelBookPublisher: Economic & Political Weekly Description: 60(23), Jun 07, 2025: p.44-51.Subject(s): Labour market inequality, self employment and wage employment, upper tier and lower tierSummary: The evolution of labour market inequality in India is examined from 1987–88 to 2021–22, using a multi-tiered approach to labour markets, differentiating between self-employment and wage employment, and between formal, upper-tier and lower-tier informal jobs. Three-fourths of India’s workers are employed in lower-tier informal jobs, and this proportion remained relatively unchanged over the past three decades. An increase in the share of upper-tier informal jobs, primarily due to a rise in the share of upper-tier informal jobs in wage employment, is observed. The share of formal jobs in total employment has barely increased. Females and less-educated workers occupy the lower tier of the labour market. There are also large inequities in earnings for workers in the different tiers of the labour market. -Reproduced https://www.epw.in/journal/2025/23/special-articles/labour-market-inequality-india-over-three-decades.html
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The evolution of labour market inequality in India is examined from 1987–88 to 2021–22, using a multi-tiered approach to labour markets, differentiating between self-employment and wage employment, and between formal, upper-tier and lower-tier informal jobs. Three-fourths of India’s workers are employed in lower-tier informal jobs, and this proportion remained relatively unchanged over the past three decades. An increase in the share of upper-tier informal jobs, primarily due to a rise in the share of upper-tier informal jobs in wage employment, is observed. The share of formal jobs in total employment has barely increased. Females and less-educated workers occupy the lower tier of the labour market. There are also large inequities in earnings for workers in the different tiers of the labour market. -Reproduced

https://www.epw.in/journal/2025/23/special-articles/labour-market-inequality-india-over-three-decades.html

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