NSSO 66th round Employment Survey

·         The survey showed a decline in the labor force participation <for men, women or both?>

·         Female LFP has declined as per all the three criteria (usual, weekly and daily status) in rural and urban areas as compared to 2004-05

·         Even among urban males, there is a decline in the rates as per the usual and weekly status, though the daily status work participation rate shows an improvement.

·         Only the rural males reported an increased participation in the labour market in terms of all the three criteria

·         The decline in the work participation rate of females can stem from their increased participation in education and withdrawal from petty or subsidiary activities.

·         Women may withdraw from principal activities if male earnings improve considerably

·         Apart from the supply side (from labour point of view) factors driving this decline there are other factors as well

·         Other factors

o   Decline in the demand for labour?

o   Underemployment or disguised unemployment might have declined in the urban areas

o   Lack of rural diversification