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2017 | OriginalPaper | Buchkapitel

7. Casualization and Shift of Rural Workers to Non-farm Activities

verfasst von : Partha Saha, Sher Verick

Erschienen in: Rural Labour Mobility in Times of Structural Transformation

Verlag: Springer Singapore

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Abstract

The faster growth of rural non-farm employment (RNFE) in the last decade in India attracted considerable analytical alteration, some even anticipating it as an indication of an alternative path of structural change. This chapter analyzes the changes in RNFE in terms of gender, class, activity, and quality. The analysis presented in this chapter finds a significant shift in favor of RNFE in both principal status and subsidiary status, with the rise in the former is driven by male workers’ share, it is female labor in the latter. In terms of class, the shift from agriculture to non-agriculture is more pronounced among poorer households; construction is the major absorber of labor in non-farm activities but increasingly casual in nature. Manufacturing, though small, is moving from self-employment toward regular and casual wage employment, construction increasingly toward casual wage employment, and services toward self-employment and regular employment. Qualitatively RNFE is increasing casual in nature.

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Fußnoten
1
During the 11th Plan period, the construction sector witnessed an average annual growth rate of 7.7%, whereas during the 12th Plan period, the growth rate was 9.1% on an average annual basis (https://​data.​gov.​in/​resources/​annual-growth-rate-gdp-industry-origin-constant-2004-2005-prices/​download, assessed September 26, 2016).
 
2
Casualization of the rural non-farm workforce has taken place among both male and female workers. Increasing casualization of the workforce has been the outcome of deflationary economic policies pursued in India since 1991, agricultural stagnation (which itself has been the outcome of deflationary policies), and opening up of to foreign competition (Patnaik 2006). Various micro-level studies have pointed out that increasing casualization of the rural workforce can be attributed to “large enterprises in organized sector being subject to workforce retrenchment, output subcontracting, and substantial job loss occurring in traditional areas like hand-woven and power-loom woven textiles where escalating costs under liberalization and reforms have forced closures, and desperate search of casual work by women” (Patnaik 2006).
 
3
With high employment growth, employment opportunities have increased, but there exists a huge shortage of skilled workers. Shortage exists at two levels: shortage of (i) persons trained and (ii) persons trained who do not possess the required skill. Out-dated syllabus of Industrial Training Institutes, mismatch between training and job requirement, and ineffective apprenticeship training system are some of the reasons mentioned in the literature for the shortage of skilled workers in the country (Mehrotra 2014).
 
4
The correlations between rural unemployment rate by current daily status and rural non-farm employment were found to be 0.52 in 1999–2000 and 0.32 in 2011–12. This, to some extent, indicated that rural non-farm employment was slowly fading out to be of residual form (implying a push factor from agriculture) and seemed to be gaining prominence in rural economy.
 
5
Annual Report, Department of Agriculture and Cooperation, Ministry of Agriculture, Government of India, various years.
 
6
The correlation coefficients between proportion of households not cultivating any land and proportion of rural non-farm workers at the State level were found to be 0.54 for the year 2011–12 and 0.49 for the year 1999–2000.
 
7
In rural India during 2011–12, the incidence of poverty among SC population was 31.5% and that among ST population was 45.3%. The incidence of poverty among OBCs was 22.7%, while among forward castes it was 15.5% (Panagariya and More 2013).
 
8
The number of job cards issued by the year 2012 was 120 million (MoRD 2012).
 
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Metadaten
Titel
Casualization and Shift of Rural Workers to Non-farm Activities
verfasst von
Partha Saha
Sher Verick
Copyright-Jahr
2017
Verlag
Springer Singapore
DOI
https://doi.org/10.1007/978-981-10-5628-4_7