"Falling unemployment does not mean better jobs." Examine this claim using recent PLFS trends and the ILO concept of decent work.
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The ILO defines decent work as productive work that offers fair income, security at the workplace, social protection and dignity [1]. It is the goal of SDG-8. India's Periodic Labour Force Survey (PLFS) shows unemployment falling sharply, but job quality has not kept pace. The claim therefore largely holds.
PLFS trends: more people are working
- The unemployment rate (UR) (usual status, age 15+) fell from 6.1% (2017-18) to 3.2% (2023-24) [2].
- Female LFPR nearly doubled, from 23.3% to 41.7% [3].
Why lower unemployment does not mean decent work
- Measurement: usual status (ps+ss) counts anyone with even subsidiary work during the year as employed [2]. UR shows whether people have work, not how good that work is.
- Informality: about 90% of workers are informally employed, without contracts, paid leave or social security [4]. With weak safety nets, few people can afford to stay unemployed, so they take whatever work exists.
- Nature of women's work: the rise in women's employment has come mainly through self-employment and unpaid family work, not regular salaried jobs [4]. Female UR rose from 2.9% to 3.2% while male UR fell [2]. More women are entering the labour market than it can absorb.
- Gig economy: platform workers count as "employed", yet only about 5.12 lakh had registered on e-Shram by December 2025 [6]. The Code on Social Security, 2020 came into force only on 21 November 2025 and makes aggregators pay 1–2% of annual turnover into a social security fund [5].
- Economic cost: insecure workers save and spend less. This weakens consumption-led growth and leaves households exposed to shocks.
Where the claim needs qualification
- Entering work is the first step towards empowerment. Self-employment does give many women an income of their own.
- The Labour Codes and e-Shram are real steps towards formalisation [5].
India has created more work, but not yet more decent work. The way forward:
- MoSPI should publish a job-quality indicator (written contract, social security) alongside UR.
- Government should notify the aggregator-funded schemes and design contributory-plus-state cover for self-employed workers who have no employer to charge.
- Policy should push regular salaried jobs through labour-intensive manufacturing.
The tripartite Decent Work Country Programme 2023-27 already makes universal social protection a priority [7]. Judging success by job quality, not only by the unemployment rate, would fulfil Article 43's promise of a living wage and help achieve SDG-8.
Sources
- 1International Labour Organization — Decent Work agendaILO definition of decent work (fair income, workplace security, social protection, dignity)
- 2MoSPI — Press Note on PLFS Annual Report 2023-24UR trend to 3.2%; usual-status (ps+ss) method; female UR 2.9%→3.2%, male UR 3.3%→3.2%
- 3PIB / Ministry of Labour & Employment — Enhanced Female Workforce Participation in Economic Activity (Nov 2024)female LFPR 23.3% (2017-18) → 41.7% (2023-24)
- 4ILO–IHD — India Employment Report 2024: Youth employment, education and skills~90% of workers informally employed; women's employment rise concentrated in self-employment and unpaid family work
- 5PIB — Labour Reforms: Formalising and Safeguarding India's Gig & Platform Workforce (Dec 2025)Code on Social Security in force 21 Nov 2025; aggregator levy of 1–2% of turnover
- 6PIB / Ministry of Labour & Employment — Social Security Measures for Gig and Platform Workers~5.12 lakh platform workers registered on e-Shram as of 1 Dec 2025
- 7ILO — Decent Work Country Programme for India 2023-2027tripartite framework prioritising universal social protection