India Womenomics: A Step Forward in a Long Journey Ahead

GS research reports have explored the ‘Womenomics’ theme across geographies over the past 26 years. Goldman Sachs Research analysts now assess the current employment status of women in India and explore opportunities that lie ahead. While India benefits from favorable demographics, it will not reap the full benefits unless women become a larger part of its labor force. The female labor force participation rate in India is significantly below the male participation rate and also below these rates in other major economies. One of the key reasons for women’s low participation in the labor force is that the women in India bear a disproportionate responsibility for domestic and care-giving activities. Indian women spend ~8x more time on a daily basis in domestic and care-giving services than men. However, an encouraging development over the past few years has been the rise of self-employed women in India. Women in corporate India are under-represented but gradually gaining ground. Going forward, our analysts find that building a robust ‘care economy’ (a network of child care centers and elder care ecosystem) would (a) free up women’s time for paid employment opportunities elsewhere, and (b) create greater employment opportunities for the ‘care work’ services sector.