ABSTRACT

This chapter addresses the persistence of informal employment in the context of India. It explains that the expected redistribution of workers from low- to high-productivity sectors, an increase in the size of enterprises, a decline in the importance of informal, unorganized or household enterprises, and a shift in the occupation structure from self-employment to regular wage-salaried jobs with growth and development have all eluded India. It provides a detailed section on trends and patterns of formal vs informal sector employment. Within this, issues relating to the task content of jobs are addressed. The chapter delves into the debate on self-employment schemes of government and whether such schemes could help in the generation of jobs. The overarching questions are whether self-employment can become the substantial form of livelihood and what the lessons from experience of other countries are.