PERIODIC LABOUR FORCE SURVEY

Table of Contents

TAG: GS-3: ECONOMY

THE CONTEXT: Recently, the Periodic Labour Force Survey (PLFS) released its 7^th annual report for July 2023 to June 2024.

EXPLANATION:

It is a survey conducted by the NSO under the Ministry of Statistics and Programme Implementation (MoSPI) to measure the employment and unemployment situation in India.
The NSO launched the PLFS in April 2017.

Labour Force Participation Rate (LFPR) is defined as Percentage of persons in the labour force (i.e. working or seeking or available for work) in the population.
Worker Population Ratio (WPR): Percentage of employed persons in the population.
Unemployment Rate (UR): Percentage of persons unemployed among the persons in the labour force.
Activity Status – Determined on the basis of the activities pursued by the person during the specified reference period.
Usual Activity Status: Activity Status of a person in the last 365 days which Includes both ps and ss.
- Principal activity status: The activity status on which a person spent relatively long time (major time criterion) for 365 days preceding the date of survey, was considered the usual principal activity status of the person.
- Subsidiary economic activity status (ss): Activity status in which a person in addition to his/her usual principal status, performs some economic activity for 30 days or more for the reference period of 365 days preceding the date of survey.
Current Weekly Status (CWS): Activity status determined on the basis of a reference period of last 7 days preceding the date of survey.

Overall Increase in LFPR:

- Rural Areas: LFPR increased from 50.7% in 2017-18 to 63.7% in 2023-24.
- Urban Areas: LFPR increased from 47.6% to 52.0% during the same period.

Gender-wise LFPR Trends:

- Male LFPR: Increased from 75.8% in 2017-18 to 78.8% in 2023-24.
- Female LFPR: Notable increase from 23.3% to 41.7% during this time.

Rural vs Urban Comparison:

- Rural areas witnessed a larger jump in LFPR compared to urban areas, showcasing a substantial growth in workforce engagement in rural regions.

Female Participation:

- A significant rise in female participation in the workforce (from 23.3% to 41.7%) highlights the growing inclusion of women in economic activities.

Objective of the Periodic Labour Force Survey:

To estimate the key employment and unemployment indicators (viz. Worker Population Ratio, Labour Force Participation Rate, Unemployment Rate):
Short-term urban focus: Estimate key employment and unemployment indicators for urban areas every three months using the Current Weekly Status (CWS).
Annual rural and urban assessment: Estimate employment and unemployment indicators for both rural and urban areas annually, using both the Usual Status and CWS.

Government institute:

Source: