The Indian economy has witnessed a significant increase in the women's workforce representation in 2023, from 21 per cent to 26 per cent. This growth reflects a growing recognition of women's capabilities across industries.
Despite a 38 per cent difference in female representation, a positive workplace culture benefits Indian women. The Indian economy has experienced a significant shift in its employment landscape, particularly in gender diversity and leadership roles. This shift is driven by progressive policies, cultural shifts, and increased initiatives. Women are now entering the workforce and acquiring key leadership roles, marking a pivotal moment in India's socio-economic trajectory.
There are several researches and studies that show the increase in women's employment rate in India, specifically in southern India. Studies such as Avtar Group reveal that Chennai is the most conducive city for women in the workforce that is followed by Pune, Bengaluru, Hyderabad, and Mumbai.
A recent study by a prominent talent solutions provider organization, Careernet reveals a report titled 'The State of Women's Employment in India.' The study mentions that about 37 per cent of all Indian women are employed or working. This figure states the composition of the nation's female workforce. The top cities for women's employment include Hyderabad which tops the list with a hiring rate of 34 per cent, followed by Pune at 33 per cent, and Chennai in third place with a hiring rate of 29 per cent. The percentage of women in the workforce has increased significantly by 2-5 per cent in 2023 over the previous year. Women have been majorly hired on both executive boards and junior professional roles. They have made up to 40 per cent of newly hired talent in college during last year 2023.
Along with the corporate sector, the study also reveals that women are increasingly hired in the banking, financial services, and insurance (BFSI) sector within the Global Capability Centers (GCCs). In addition to this, the analysis mentions the steady reduction of gender pay gaps that has decreased from 30 per cent to 20 per cent in 2023 which indicates progress in the direction of neutral compensation policies.
During the past two years, the percentage of women hired at the mid-management level remained constant at 23 per cent as only 5 per cent of marginalized community people were white-collar professionals, compared to 30 per cent of urban area people. Even though, women's participation in the Indian workforce has shown development as per the report suggests.
Another significant study conducted collaboratively by the International Labor Organisation and the Institute for Human Development was published in the ‘India Employment Report 2024’. The report provides information on the employment situation in India with a focus on women and youth. Women in India primarily engage in unpaid household work and self-employment. Nearly 90 per cent of workers are employed informally, and the informal sector employs around 82 per cent of the labor force. In order to generate employment for women, states like Delhi, Gujarat, Himachal Pradesh, Uttarakhand, and Telangana have performed well whereas states including UP, Bihar, Odisha, and Jharkhand could not make their position at the top of the list.
Fostering Diversity and Inclusivity (D&I) in leadership roles drives innovation and creativity which is crucial for global growth. Despite challenges like societal norms and workplace biases, the shift towards gender parity and female empowerment is building, driven by policymakers, businesses, and advocacy groups.
