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LATEST NEWS UPDATES | In our pursuit of economic growth, we ignored voices of India’s informal sector for too long -Radhicka Kapoor

In our pursuit of economic growth, we ignored voices of India’s informal sector for too long -Radhicka Kapoor

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published Published on May 4, 2020   modified Modified on May 4, 2020

-The Indian Express

As we grapple with a health, economic and humanitarian crisis of epic proportions, the immediate need is to provide emergency relief to cushion the effects of the dual shocks of the virus and lockdown on informal workers.

COVID-19 is causing havoc across the world, destroying both lives and livelihoods. Developing countries such as India are particularly vulnerable as their vast informal workforce, which has no labour, social or health protection, is woefully ill-equipped to cope with the medical and economic shocks of the virus. This is largely a consequence of the continued neglect of the informal economy over the years in the belief that it is a marginal or temporary sector where people subsist while they wait for formal jobs.

Statistics suggest that the size of the informal economy is far from insignificant. At the last count, 90.6 per cent of India’s workforce was informally employed (Periodic Labour Force Survey, 2017-18). This estimate includes those who are employed in informal enterprises (unincorporated small or unregistered enterprises) as well as informal workers in the formal sector (workers in the formal sector who are not provided any social security benefits by employers). The previous employment unemployment surveys suggest that the share of informally employed has been persistently high.

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The Indian Express, 4 May, 2020, https://indianexpress.com/article/opinion/columns/coronavirus-impact-indian-economy-job-loss-migrant-workers-movement-radhicka-kapoor-6392252/


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