Participation of people in employment

“Worker-Population ratio” is an indicator that is used to analyze the employment situation in the country. It can be calculated by dividing the total number of workers in India by the population in India and multiplying it by 100. The population includes the total number of people who reside in a particular locality at a particular point in time.

Important Points about Worker-Population Ratio:

1. This ratio can be used to determine the percentage of the population that is actively contributing to the production of products and services of the country.

• If the ratio is higher, it indicates the people that are more actively engaged;
• If it is medium or low, it indicates that a very high section of the population is not directly engaged in economic activity.

2. It indicates the status of the workers in society and their working conditions.

3. It may be possible to determine the quality of employment in the country by knowing the status with which a worker is placed in an enterprise.

4. It also helps to know the employee’s relationship with the employment and the authority possessed over the enterprise and other co-workers. 

Here are some of the facts and figures about the Worker-Population Ratio:

Table 1: Worker-Population Ratio in India (2017-2018)

With the help of data given in Table 1, the following conclusion was drawn:

• Participation Rate: In India, there are around 34.7% workers for every 100 people.
• Higher Proportion of Rural People: The ratio is approximately 33.9% in urban areas and 35% in rural areas.
• Employment Opportunities: Rural residents have few options for increasing their incomes and their participation in the labour market. Numerous work options are available to urban residents. They look for employment that matches their qualifications and skills.
• Education Level: In rural areas, many do not go to schools or colleges and even if some go, they discontinue their education in middle to join the workforce. In urban areas, a significant portion is able to study in various educational institutions.
• Higher Proportion of Male Workers: Men (52.1%) are observed to be employed which is greater than the females’ proportion (16.5%). It is common to find that families discourage their female members from getting jobs whereas men can earn significant salaries.
• More Women Workers in Rural Areas: The ratio of women workers in rural areas is around 17.5% which is more than the ratio of women workers in urban areas; i.e., 14.2%. The reason behind more women workers in rural areas is their financial condition, which does not allow them to stay at home.
• Underestimation of Women Workers: The number of women workers in our country is generally underestimated as many of the tasks they perform are not regarded as productive work. For example, many women are actively engaged in activities within the house and at the farms for which they neither receive compensation nor are regarded as workers.  

What is Employment?

People do a wide range of jobs to earn a living. Work significantly impacts our lives as individuals and as members of society. Some people work on farms, in factories, banks, shops, and a variety of other workplaces, while some work from home. Work at home includes not only traditional work like weaving, lace making, or a variety of handicrafts but also current jobs like programming work in the IT industry. Earlier factory work meant working in factories located in cities, whereas now technology has enabled people to produce those factory-based goods at home in villages.

Why do people work?

People work to “earn” a living. “Employment is an activity from which a person earns means of livelihood”. 

• Some people get wealth through inheritance rather than hard effort. No one is fully satisfied by this. 
• Working provides us with a sense of worth and makes it possible to relate to others in a meaningful way.
• Every working person actively contributes to the national income and subsequently to the nation’s development by working in different economic activities (which is the true meaning of “earning a living”).
• A person works to meet the requirements of those who are dependent on them like family. It gives a sense of accomplishment when a person works for his/her family.

Despite the recognition of the value of employment, Mahatma Gandhi insisted on education and training through a range of works, including craft.

Benefits of Studying working people:

• Studying the working life of employees provides the perspective quality and structure of a country’s employment.
• It facilitates the understanding and planning of human resource needs.
• It analyses how various industries and sectors affect the level of national income.
• It also helps to solve a variety of social problems, including child labour and the exploitation of socially excluded groups.

Definition of Employment

In economics, employment refers to the state of having a job or being employed. If one has to employ someone, they must pay them. The person who hires people is known as employer, and the person who is getting paid for providing the services is known as employee. Employers may include individuals, business, etc. People can work for themselves and run their own businesses as self-employed individuals.