Write a short note on Informalisation Of Labour Force?
Informalisation of workforce refers to a situation where there is a continuos decline in the percentage of workforce in the formal sector along with simultaneous rise in informal sector’s workforce. (Informal sector is the unorganised sector of the economy that includes all private enterprises hiring less than 10 workers, besides farming and self-employment ventures.) Recently, India has witnessed this phenomena. With the process of growth and development it is expected that the percentage of the formal workers rises in the workforce while that of the informal workers falls. However, India saw a reversal of the trends. Estimates reveal that in India nearly 93% of the workers are engaged in the informal sector and only 7% are engaged in the formal sector.