Labour Bureau, an attached office of the Ministry of Labour & Employment has released the results of the second annual employment & unemployment survey conducted in the country for the period 2011-2012. During the survey, data has been collected from a sample of 1,28,298 households, out of which 81,430 households are in the rural sector and the remaining 46,868 households in the urban sector.
According to the Report on Second Annual Employment-Unemployment Survey 2011-12,
• Based on the survey results, 50.8 per cent or majority of the households are found to be having self employment as the major source of income under agricultural and non-agricultural activities.
• At all India level, 48.6 per cent persons are estimated to be self employed under the usual principal status (UPS)* approach followed by 19.7 per cent persons under wage/salary earners and rest 31.7 per cent persons under casual labourers category.
• In the rural areas, 11.1 per cent households are estimated to be having regular/wage salary earning as major source of income.
• In the urban areas, 42.3 percent households are estimated to be having regular wage/salary earnings as the major source of income followed by 34.4 per cent households under self employment category.
• The Labour Force Participation Rate (LFPR)** is estimated to be 52.9 per cent under the usual principal status (UPS) approach at All India level.
• In the rural sector the LFPR is estimated to be 54.8 per cent as compared to 47.2 per cent in the urban sector under the UPS approach.
• Female LFPR is significantly lower as compared to male LFPR under the usual principal status approach. At All India level, female LFPR is estimated to be 25.4 per cent as compared to 77.4 per cent in male category.
• The Worker Population Ratio (WPR)*** is estimated to be 50.8 per cent at All India level under the UPS approach.
• The female WPR is estimated to be 23.6 per cent at All India level under the UPS approach as compared to the male WPR of 75.1 per cent.
• The unemployment rate**** is estimated to be 3.8 per cent at All India level under the UPS approach.
• In rural areas, unemployment rate is 3.4 per cent whereas in urban areas, the same is 5.0 per cent under the UPS approach.
• Despite relatively low LFPR, the unemployment rate is significantly higher among females as compared to males. At all India level, the female unemployment rate is estimated to be 6.9 per cent whereas for males, the unemployment rate is 2.9 per cent under the UPS approach.
• The survey results show that majority of the persons are employed in the primary sector. Under Agriculture, forestry and fishing sector, 52.9 per cent persons are estimated to be employed at All India level based on usual principal status approach.
• Under the tertiary or services sector, 27.8 per cent persons are estimated to be employed at All India level based on usual principal status approach.
• Under the manufacturing and construction sector i.e. the secondary sector, 19.3 per cent persons are estimated to be employed at All India level based on usual principal status approach.
* Usual Principal Status: The labour force is typically measured through the usual principal activity status (UPS) which reflects the status of an individual over a reference period of one year. Thus, a person is classified as belonging to labour force, if s/he had been either working or looking for work during longer part of the 365 days preceding the survey. The UPS measure excludes from the labour force all those who are employed and/or unemployed for a total of less than six months. Thus persons who work intermittently, either because of the pattern of work in the household farm or enterprise or due to economic compulsions and other reasons, would not be included in the labour force unless their days at work and unemployment totalled over half the reference year.
In the report, results are compiled for all the labour force measures namely usual principal status (UPS) approach, usual principal & subsidiary status (UPSS) approach, current daily status (CDS) approach and current weekly status (CWS) approach.
** Labour Force Participation Rate (LFPR) is defined as the number of persons (employed plus unemployed) in the labour force per 1000 persons
*** Worker Population Ratio (WPR) is defined as the number of persons employed per 1000 persons
**** Unemployment Rate (UR) is defined as the number of persons unemployed per 1000 persons in the labour force (employed & unemployed)
According to Key Indicators of Employment and Unemployment in India, 2009-10 (released on 24 June, 2011), Press Release, National Sample Survey Office, http://mospi.nic.in/Mospi_New/upload/Press_Note_KI_E&U