- India requires a structural shift towards structured and formal employment, said the Indian Staffing Federation (ISF)– the apex body representing the country’s contract-staffing industry.
- Almost 85% of informal labour generates more than half of the GDP.
- India has over 400 million informal labour market
- It was imperative to initiate a structural shift towards formalisation to ensure equitable opportunities and sustainable livelihoods for all.
- The apex body unveiled a blueprint for the formalisation of the informal workforce and implementation of labour codes in the country.
- During the pandemic, where the formal workforce, comprising less than 15% with social security aided in overcoming the challenges.
- Some of the recommendations made by ISF included-
- Removing employment bottlenecks
- Urgent implementation of the four labour codes in India
- Policy changes and encouraging schemes
- Consideration of employment services as ‘merit services’, with lower GST slab tax rates at 5% with ICT benefits instead of the current 18%
- Linking of skilling initiatives to employment.
Dig Deeper: Read about Annual PLFS data and compare trends in the Labour Market of India.
