{"id":57206,"date":"2025-07-29T12:08:03","date_gmt":"2025-07-29T06:38:03","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=57206"},"modified":"2025-07-29T12:08:03","modified_gmt":"2025-07-29T06:38:03","slug":"living-wage-reform-could-boost-womens-workforce-participation-in-india","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/living-wage-reform-could-boost-womens-workforce-participation-in-india\/","title":{"rendered":"Living Wage Reform Could Boost Women\u2019s Workforce Participation in India"},"content":{"rendered":"<h2><b>Living Wage Latest News<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A new report by Quess Corp and the Udaiti Foundation reveals that over half of blue- and grey-collar women workers in India are dissatisfied with their low wages, with 80% saving less than \u20b92,000 per month.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">These inadequate earnings are a key reason why many women leave formal employment, especially when weighed against the high opportunity costs of working.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The report highlights a significant gap between the minimum wage and the actual \u201cliving wage\u201d needed to cover essential expenses like health and education.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Recognising this, the Labour Ministry is now considering the inclusion of these costs in wage standards to make formal work more viable for women.<\/span><\/li>\n<\/ul>\n<h2><b>Living Wages<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A <\/span><b>living wage<\/b><span style=\"font-weight: 400;\"> is the minimum income necessary for a worker to meet their basic needs such as food, housing, clothing, healthcare, education, and some level of financial security.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Unlike <\/span><b>minimum wages<\/b><span style=\"font-weight: 400;\">, which are set by law and often do not account for actual living costs, <\/span><b>living wages are calculated based on the cost of living in a specific region<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Living wages ensure that workers and their families can live with dignity without falling into poverty.<\/span><\/li>\n<\/ul>\n<h2><b>Low Pay and High Costs Forcing Women Out of Workforce<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A recent survey by Quess Corp reveals that blue- and grey-collar women workers earn only 70% of what their male counterparts make.\u00a0<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Blue- and grey-collar women workers are\u00a0women employed in roles traditionally considered manual labor or technical\/skilled trades, respectively.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Blue-collar work often involves physical labor, while grey-collar jobs require specialized skills and may involve a combination of physical and intellectual tasks.\u00a0<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Coupled with <\/span><b>high opportunity costs<\/b><span style=\"font-weight: 400;\"> such as <\/span><span style=\"font-weight: 400;\">unpaid caregiving, long commutes, and migration expenses, many women struggle to remain in formal employment<\/span><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The study highlights that women in peri-urban manufacturing zones often face lower minimum wages despite higher living costs.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Notably, one in five women earn less than \u20b920,000 per month, the typical minimum wage in Tier 1 cities.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The data also shows that women earning above \u20b920,000 are 21% less likely to exit the workforce soon, indicating that better pay significantly improves retention.<\/span><\/li>\n<\/ul>\n<h2><b>Government Explores Expanding Minimum Wage Definition to Support Women<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The government is considering broadening the definition of minimum wage to <\/span><span style=\"font-weight: 400;\">include expenses on health and education\u2014currently excluded from wage calculations<\/span><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Presently, the minimum wage is based only on nutrition, housing, and clothing.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">From a women\u2019s perspective, including childcare and healthcare costs would help reduce the opportunity cost of working.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Experts acknowledged the challenge of implementing this in a diverse country like India, where conditions vary by state, and stressed the importance of initiating a social dialogue with both employers and employees.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">While the move is still in early stages, she welcomed the fact that discussions have begun.<\/span><\/li>\n<\/ul>\n<h2><b>Beyond Wages: Structural Barriers Hindering Women\u2019s Workforce Participation<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">While implementing living wage standards would benefit all workers, the <\/span><span style=\"font-weight: 400;\">impact on women could be especially transformative due to their higher opportunity costs<\/span><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">India\u2019s female labour force participation rate (LFPR) remains low at 32%, compared to 77.1% for men, as per the June PLFS data.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Economists argue that raising women\u2019s LFPR above 50% is essential for India to reach developed nation status.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">However, women face multiple challenges beyond wages, <\/span><span style=\"font-weight: 400;\">including unsafe or unaffordable housing, poor work culture, limited mobility, and regulatory restrictions<\/span><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Experts noted that <\/span><b>54 existing laws restrict women&#8217;s employment<\/b><span style=\"font-weight: 400;\">, such as those banning night shifts.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">While these are being gradually repealed, they highlighted that responsibility for women\u2019s safety\u2014especially during night shifts\u2014then falls on employers, a burden more easily borne by large firms than small businesses.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Addressing these layered barriers is critical to enabling more women to join and remain in the workforce.<\/span><\/li>\n<\/ul>\n<h2><b>Manufacturing Hubs Boost Women\u2019s Employment Opportunities<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">States with strong industrial and manufacturing bases, such as Tamil Nadu, Karnataka, and Maharashtra, are leading in female workforce participation.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Modern electronics and auto manufacturing units in these states are increasingly employing women due to their skills in finger dexterity and hand-eye coordination\u2014qualities that are tested and found more often in women.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">As a result, sectors like electronics and automotive manufacturing are actively seeking female workers.\u00a0<\/span><\/li>\n<\/ul>\n<p><b>Source:<\/b> <a href=\"https:\/\/indianexpress.com\/article\/explained\/explained-economics\/government-living-wage-impact-women-10154676\/\" target=\"_blank\" rel=\"nofollow noopener\"><span style=\"font-weight: 400;\">IE<\/span><\/a><span style=\"font-weight: 400;\"> | <\/span><a href=\"https:\/\/www.india-briefing.com\/news\/india-hopes-to-replace-minimum-wage-with-living-wage-standard-by-2025-what-we-know-31701.html\/\" target=\"_blank\" rel=\"nofollow noopener\"><span style=\"font-weight: 400;\">IB<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>New report shows low wages are forcing women out of work. Govt considers living wage to reduce opportunity costs for women.<\/p>\n","protected":false},"author":18,"featured_media":57244,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[18],"tags":[1870,60,22,59],"class_list":{"0":"post-57206","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-mains-current-affairs","8":"tag-living-wage","9":"tag-mains-articles","10":"tag-upsc-current-affairs","11":"tag-upsc-mains-current-affairs","12":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/57206","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=57206"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/57206\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/57244"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=57206"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=57206"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=57206"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}