**Executive Summary**
This report, published on International Labour Day (May 1, 2026), highlights the significant structural shift in India’s workforce, where female labor force participation rose from 23.3% in 2017–18 to 40% in 2025. It outlines the transition of women from informal roles to visible entrepreneurship and formal employment through government initiatives such as the Lakhpati Didi program and the Skill India Mission. The document emphasizes ongoing labor reforms and social protection expansions designed to ensure secure, dignified, and inclusive work environments.
**Key Points / Main Content**
**Labor Force Participation and Trends**
* **Significant Growth:** Female labor force participation reached 40% in 2025, up from 23.3% in 2017–18.
* **Rural Leadership:** Rural India is the primary driver of this increase, reflecting a shift toward consistent economic participation.
* **Formalization:** There is a steady movement toward the formalization of the labor market for women across various sectors.
**Entrepreneurship and Financial Inclusion**
* **Self-Help Groups (SHGs):** Under the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission (DAY-NRLM), over 10 crore women households have been mobilized into SHGs.
* **Lakhpati Didi Program:** This initiative aims to create crores of women entrepreneurs with annual earnings exceeding ₹1 lakh through credit access and market linkages.
* **Startup Ecosystem:** India is the world's third-largest startup hub; notably, over 1 lakh startups now include at least one woman director.
**Skill Development and Employability**
* **Industry-Relevant Training:** The Skill India Mission and other government programs are equipping women with specific skills to improve employability.
* **Stable Livelihoods:** Skilling initiatives are designed to help women transition into more productive and stable roles.
**Regulatory Reforms and Social Security**
* **Labour Code Consolidation:** 29 Central labor laws have been simplified into four Labour Codes to expand protections for minimum wages, safety, and social security.
* **e-Shram Portal:** Over 31 crore unorganized workers are registered on this national database to improve the delivery of welfare schemes.
* **Expanded Coverage:** National social protection coverage increased from 19% in 2015 to over 64% in 2025, including provident funds, insurance, and healthcare.
* **Infrastructure:** A new ESIC hospital in Budgam, Jammu & Kashmir, has been inaugurated to serve over 50,000 workers and their families.
**Leadership and Representation**
* **Legislative Support:** The Nari Shakti Vandan Adhiniyam highlights a policy focus on strengthening women’s roles in decision-making and leadership.
**Impact Analysis**
**Women Workers and Entrepreneurs**
**Impact**
Women are transitioning from invisible labor to visible economic participants, gaining financial independence, leadership roles in startups, and increased income security through SHGs.
**Action Required**
Engage with skilling programs and utilize expanded access to credit and market linkages to scale micro-enterprises.
**Unorganized Sector Workers**
**Impact**
Workers in agriculture, construction, and informal roles now have better access to universal social security, minimum wages, and healthcare.
**Action Required**
Register on the e-Shram portal to ensure inclusion in the national database and access to welfare schemes.
**Rural Households**
**Impact**
Women are increasingly becoming primary earners, leading to more resilient household livelihoods and local economic growth.
**Action Required**
Participate in the Lakhpati Didi initiative and SHG networks to transition from participation to sustainable income security.
**Startup Founders and Industry Leaders**
**Impact**
The ecosystem is becoming more inclusive with improved access to funding and incubation support for women-led ventures.
**Action Required**
Leverage the enabling policy environment under the Startup India initiative to drive innovation and job creation.
Key Entities Referenced
Deendayal Antyodaya Yojana–National Rural Livelihoods Mission: A government initiative that has mobilized over 10 crore women into self-help groups to foster financial inclusion and micro-entrepreneurship.
Labour Codes: A consolidation of 29 central labour laws into four codes designed to provide a simplified regulatory framework and universal social security.
Lakhpati Didi programme: An initiative focused on enabling women in self-help groups to scale their incomes and become entrepreneurs earning over ₹1 lakh annually.
Nari Shakti Vandan Adhiniyam: A legislative measure aimed at strengthening women’s roles in decision-making and enhancing their representation in leadership.
e-Shram portal: A national database of unorganised workers used to formalise the workforce and improve the delivery of social welfare schemes.
PIB Headquarters
Women Powering India’s Changing Workforce
Posted On: 01 MAY 2026 11:30AM by PIB Delhi
Not long ago, much of women’s work in India remained unseen. It was largely within households, family
enterprises, and informal roles that rarely found mention in official records. Their contribution was
constant, but recognition was limited.
That picture is now changing, reshaping the country’s labour landscape.
This International Labour Day, the story of India’s workforce is being defined by women who are not only
entering the labour force in greater numbers but also redefining what participation looks like across
sectors, systems, and emerging opportunities.
The shift is visible in the data. The Periodic Labour Force Survey shows that female labour force
participation has risen sharply, from 23.3 per cent in 2017–18 to 40 per cent in 2025. Rural India continues
to lead this change, pointing to a deeper structural shift in how women engage with work, not just as
occasional contributors, but as consistent economic participants. This rise also reflects a broader
expansion of employment opportunities and a steady movement towards formalisation in the labour
market.
But numbers only tell part of the story.
Across villages and small towns, women are moving beyond traditional roles into entrepreneurship at an
unprecedented scale. Under the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission, more
than 10 crore women households have been mobilised into self-help groups. What began as a pathway to
financial inclusion has steadily evolved into a network of micro-enterprises, where women are producing,
managing, and selling, often becoming primary earners within their households.This momentum is further reinforced by a renewed policy push to strengthen women-led enterprises.
Initiatives such as the Lakhpati Didi programme are focused on enabling women in self-help groups to
scale their incomes sustainably, with the aim of creating crores of women entrepreneurs earning over ₹1
lakh annually. Combined with expanded access to credit, skills, and market linkages, this marks a
transition from participation to income security, where women are not just working, but building more
resilient livelihoods.
This transition from invisible labour to visible enterprise is quietly reshaping local economies.
This entrepreneurial shift is also reflected in India’s expanding startup ecosystem. Under the Startup India
initiative, the country has emerged as the world’s third-largest startup hub, with over 2.2 lakh recognised
startups generating more than 23.3 lakh jobs. Notably, over 1 lakh of these startups include at least one
woman director, highlighting the growing presence of women in innovation-driven sectors. With improved
access to funding, incubation support, and a more enabling policy environment, women are increasingly
stepping into leadership roles, marking a shift from participation to entrepreneurship in India’s new
economy.
At the same time, access to skills is opening new pathways. Under initiatives such as the Skill India
Mission and other government-led skilling programmes, women are being equipped with industry-relevant
skills across sectors. This growing emphasis on industry-relevant skilling is helping improve
employability and support a transition towards more stable and productive livelihoods.
Yet participation is not only about access, it is also about security and dignity at work.
Recent labour reforms have sought to address this gap. The consolidation of 29 Central labour laws into
four Labour Codes has simplified the regulatory framework while expanding the ambit of protection.
Provisions related to minimum wages, occupational safety, and social security are now designed to cover a
broader segment of the workforce, including those in informal and unorganised sectors.
As Prime Minister Narendra Modi noted while welcoming the implementation of these reforms, “These
Codes will serve as a strong foundation for universal social security, minimum and timely payment of
wages, safe workplaces and remunerative opportunities for the people, especially Nari Shakti and Yuva
Shakti.”
For women, this marks an important shift, from limited access to a more structured framework that
recognises their role in the workforce and seeks to ensure safe, equitable, and dignified working
conditions.
This transformation is being reinforced through a continued push towards formalisation. The e-Shram
portal, which has registered over 31 crore unorganised workers, is building a comprehensive national
database to improve the delivery of welfare schemes. These registrations include women workers across
sectors such as agriculture, construction, and other informal occupations that have traditionally remained
outside formal systems.
At a broader level, India has expanded its social protection coverage from about 19 per cent in 2015 to
over 64 per cent in 2025, reflecting a substantial widening of access to social security benefits, including
provident fund, insurance, and healthcare. This expansion is especially relevant for women, who are more
likely to be engaged in informal employment.
The impact of these efforts is also reflected in the strengthening of healthcare services under the
Employees’ State Insurance (ESI) Scheme, a key pillar of India’s social security framework. A recently
inaugurated ESIC hospital in Budgam, Jammu & Kashmir, will serve over 50,000 workers and their
families, improving access to medical care and reinforcing the broader objective of worker welfare.
What is emerging is not a single story, but a broader pattern of change.Women are participating in the workforce in greater numbers.
They are increasingly engaged in income-generating activities and local enterprises.
They are gaining access to skills, social security, and formal systems.
And they are becoming more visible within the economic framework.
At the same time, this growing economic participation is beginning to intersect with wider questions of
representation and leadership. Legislative measures such as the Nari Shakti Vandan Adhiniyam reflect a
broader emphasis on strengthening women’s role in decision-making.
International Labour Day, therefore, is not only a moment to reflect on the rights of workers, but also to
recognise the ongoing transformation in the workforce. As participation expands and systems evolve, the
focus is increasingly on ensuring that work is secure, dignified, and inclusive.
In this changing landscape, women are not just part of the workforce, they are playing a central role in
shaping its future.
References:
Ministry of Labour & Employment
https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=2078530
https://www.pib.gov.in/PressReleseDetailm.aspx?PRID=2192463®=3&lang=2
https://static.pib.gov.in/WriteReadData/specificdocs/documents/2021/oct/doc202110531.pdf
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2222263®=3&lang=1
https://static.pib.gov.in/WriteReadData/specificdocs/documents/2025/jun/doc2025628577901.pdf
https://www.pib.gov.in/PressReleaseDetail.aspx?PRID=2254516®=3&lang=1
Ministry of Statistics & Programme Implementation
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2246009®=3&lang=1
Ministry of Rural Development
https://nrlm.gov.in/dashboardForOuter.do?methodName=dashboard
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2112203®=3&lang=2
https://www.pib.gov.in/PressReleseDetailm.aspx?PRID=2146870®=3&lang=2
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2149656®=3&lang=2
https://static.pib.gov.in/WriteReadData/specificdocs/documents/2026/mar/doc202636813101.pdf
Ministry of Skill Development and Entrepreneurship
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2149339®=3&lang=2
PMO
https://www.pib.gov.in/PressReleseDetailm.aspx?PRID=2192540®=3&lang=2
Ministry of Commerce & Industry
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2253019®=3&lang=2
https://www.pib.gov.in/PressReleseDetailm.aspx?PRID=2215334®=3&lang=2
https://www.startupindia.gov.in/Click here to see pdf
PIB Research
(Release ID: 2257197) Visitor Counter : 551
Read this release in: Urdu , ही , Bengali , Gujarati