India’s Workforce Crisis: Why Women Are Missing and What It’s Costing Us

In a quiet rural village in India, Aarti’s day begins before the sun rises. By the time the morning light spreads across the fields, she has already fetched water from the well, prepared meals on a firewood stove, fed the cattle, and seen her children off to school. Her day stretches on with household chores, tending to the elderly, and helping on the family’s small agricultural plot. Hundreds of miles away, in the chaotic morning of Mumbai, Meera’s day unfolds with a different rhythm but a similar essence. She wakes early to prepare breakfast, juggle her child’s school assignments, and ensure the household is in order before heading to her corporate job.

Despite the stark differences in their lives, Aarti and Meera share a common burden: the invisible load of unpaid care work. Not just in India but across many parts of the world, this burden disproportionately falls on women, regardless of geography or socio-economic background, limiting their ability to participate in the workforce and contribute to the economy.

The $770 Billion Opportunity

India’s female workforce participation rate hovers at a worrying 24%, significantly lower than the global average of 47%. This is not just a gender equity issue, but also an economic disadvantage. According to a McKinsey Global Institute report, advancing gender parity could add $770 billion to India’s GDP by 2025.

This shows the untapped potential of millions of Indian women who are locked out of economic opportunities due to systemic barriers. Globally, Oxfam estimates that unpaid care work by women contributes an astounding $10.8 trillion to the economy annually. In India alone, women and girls perform approximately 3.26 billion hours of unpaid care work daily, equivalent to nearly 10% of the GDP. These numbers are a harsh reminder of the economic value of care work and the need for policies that address this invisible labour.

But how do we even begin to do justice to women for their invaluable yet unsung contribution—work that sustains households, communities, and entire economies without recognition or remuneration?

The Invisible Barrier

While economic barriers such as unemployment and wage disparity are often cited, the root cause is deeply entwined with societal norms. A report by the National Statistical Office (NSO) revealed that Indian women spend an average of 299 minutes per day on unpaid domestic work—more than three times the time spent by men. This imbalance leaves little room for women to engage in formal employment.

Consider a 2019 study that found households with children below the age of 14 see a significant drop in women’s workforce participation. With limited access to affordable childcare and eldercare facilities, women are forced to prioritise unpaid domestic responsibilities over economic ambitions. In rural areas, the issue is compounded by a lack of infrastructure and economic opportunities. Urban spaces, on the other hand, present unique challenges: high costs of living, long commutes, insufficient support systems isolating women and making it difficult to manage both work and family. For example, there is an added question around, heavily influencing their choice, mobility and access to employment.

Patriarchy’s Long Shadow

The problem is rooted in a pervasive cultural narrative: men are the breadwinners, and women are the caregivers. Data from the Centre for Monitoring Indian Economy (CMIE) shows that 44.5% of women cite childcare and household commitments as the primary reason for not entering the workforce. Declining joint family structures exacerbate the issue, with nuclear families placing the full weight of caregiving responsibilities on women. This systemic bias begins early. According to Pratham’s Annual Status of Education Report, boys aged 14–18 in rural India are more than twice as likely to own a smartphone than girls. This technological gap hinders girls’ education and development, perpetuating a cycle of limited opportunities.

Strengthening the System

Government schemes like Beti Bachao, Beti Padhao, Pradhan Mantri Matru Vandana Yojana, among others have been instrumental in making significant needle movements in empowering women. Yet, the execution and implementation on-ground remains inconsistent and at times distant from the envisaged vision. To ensure transformative change across all spheres and contours of the country, there is a need to mainstream gender and tighten implementation of gender-inclusive schemes and policies across all aspects. Currently, 5% of the Union Budget 2023-24 was allocated to women-focused initiatives. However, gender budgeting remains an untapped opportunity in terms of harnessing the full potential of gender-inclusive policies and schemes.

Global Lessons, Local Solutions

The way forward requires a holistic approach, drawing from success stories and best practices while tailoring solutions to India’s unique socio-cultural landscape.

• Recognition and Compensation of Care Work: Countries like Norway and Sweden offer subsidised childcare, enabling women to balance family and work. Successes from in-house policies and schemes should be evaluated for scalability and scaled to beyond states for truly bringing a consistent approach in creating a support system for women to balance family and work.

• Infrastructure Investments: Japan’s “Womenomics” strategy, which includes workplace reforms and equal pay policies, increased female labour force participation from 63% in 2012 to 71% in 2022. Investing in the right infrastructure structures and policy implementation will start reaping manifold benefits.

• Educational and Digital Empowerment: Gender-sensitive reforms in education and skill development are essential. In addition to the steps already taken, there is a need to tap into and leverage online education platforms, coding bootcamps and remote work opportunities that can help young girls and women overcome traditional barriers.

• Cultural Change: Patriarchy won’t dissolve overnight, but it can be challenged. Gender sensitisation programmes in schools, workplaces and media can reshape societal norms. For instance, campaigns that normalise men sharing household responsibilities can create lasting change.

• Mainstreaming Gender in Policy: By integrating and mainstreaming gender-inclusive approach and thought leadership at every stage and level, we are giving voice to half our country. By re-assessing the current gender budgeting practices and tightening on-ground implementation, deeper inroads will not just be made but also be visible in bringing to life an impact and outcome-based mainstreaming of gender.

A Future of Choice

Ultimately, the solution lies in empowering women to make their own choices. Whether it’s Aarti in her village or Meera in her city apartment, women must have the freedom to decide their path without being shackled by societal expectations. India’s Constitution guarantees this right, but realising it requires more than laws—it demands a cultural shift.

India’s demographic dividend is often hailed as its greatest strength, but it is a ticking time bomb if half the population is excluded from economic participation. Only by recognising care work formally, investing in infrastructure and reshaping societal norms, India can unlock the potential of its women. In doing so, the nation will not only elevate its economic prospects but also create a more just, equitable society for generations to come. If not now, then when?

(All views are personal, and not attributable to organisations the authors are associated with)