Journal of Economics and Trade

Gender disparities in labour force participation remain a significant challenge in India, despite notable improvements in recent years. While male participation in the workforce has remained consistently high, female labour force participation has historically been low due to socio-cultural norms, household responsibilities, and limited employment opportunities. The study has been conducted to examine gender disparity in the labour force participation in both rural and urban areas of Indian states. Secondary data (2021-22) on state-wise Labour Force Participation Rate (LFPR) has been collected from the Periodic Labour Force Survey (PLFS), National Statistical Office. Gender gap analysis (absolute and relative terms), rural v/s urban gender gap and Gender Parity Index (GPI) tools were employed to examine the disparity.  It was evident from the study that states like Himachal Pradesh lead in gender parity for rural LFPR (0.84), followed by Sikkim (0.76) and Telangana (0.74), while Bihar has the lowest GPI (0.14). In the case of urban areas, Meghalaya ranks highest (0.57), whereas Bihar again records the lowest (0.15). The national average GPI was 0.52 for rural and 0.35 for urban areas, indicating that male labour participation in the workforce is relatively higher than female labour force participation (0.35) in urban areas. The results from the study reveal that some states exhibit relatively higher gender inclusivity in labour markets, while others continue to face severe gender gaps. Even though numerous women empowerment schemes are currently in force to encourage female workforce participation, there remains a lacuna in monitoring their effectiveness. Therefore, ensuring inclusivity, along with rigorous monitoring and evaluation of these schemes, is essential.