The suppressed National Sample Survey Office report on employment in India bears some deeply worrying evidence apart from the rising unemployment rate. One such is the decline in the labour force participation rate, which measures the ratio of people employed or actively seeking employment to the total working age population. Hence, those not counted in the numerator would be the ones not seeking employment, including discouraged workers, homemakers and, of course, retired individuals and very young children. Roughly three-fourths of the male working age population is included in the LFPR while only a quarter of working age females are employed or are actively seeking work. The argument given in support of this decision — that self-employed (new start-ups) and informal sector workers have not been included — is inaccurate and untenable.

Source: The Telegraph February 08, 2019 03:22 UTC