Women participation and labour productivity
19 April 2023
According to the labour force survey
2020-21, Pakistan’s total labour force
consists of 71 million people, of whom 67
million are employed and 4.5 million
unemployed. In percentage terms, total
labour force participation remains around
45% out of which
female labour force participation was
recorded around 21%. Pakistan’s workforce
participation rate for women is one of the
lowest both in South Asia and globally.
According to the World Bank, Bangladesh’s
female labour force participation is around
38% and Vietnam’s is almost 48%. Lower
female participation in the labour force
represents a major loss of potential in
productivity. Low education levels, mobility
challenges and gender norms limit women from
entering and being retained in the formal
workforce.
Between 2003 and 2016, Bangladesh increased
the female labour participation rate by 10%
to 36%, thanks to the readymade garments and
livestock sectors. In fact, today over 70%
of rural women are small-holder farmers and
own poultry and livestock. The government’s
successive Five-Year Plans emphasised gender
equality and sought to promote women’s
entrepreneurship and participation in
regional and international trade. As a
result of this long walk towards equality,
many women are benefiting from an
environment that enables business startups
and greater access to digital economy.
Increasing female labour force participation
rate creates an opportunity for countries to
increase the size of their workforce and
achieve additional economic growth. One way
to explore the importance of women to labour
productivity is to consider the share of
adult women who are participating in the
labour market.
The labour force participation rate, which
reflects the share of adults who are either
working or looking for work, is a
fundamental component of a country’s total
economic output. For example, if workers in
two countries are equally productive but the
countries have different fractions of their
populations working, then the country in
which a larger share of people working will
produce more output per person. Hence, to
the extent that countries increase the
engagement of women in their workforces,
this has the potential to increase economic
output.
Increased women participation can impact an
economy significantly. It helps reduce
income inequality, alleviate poverty, boost
girls’ education, etc. Governments should
create opportunities for women by providing
skill-based technical education related to
information technology. Women can take part
in technology as excelling in it is not
dependent on one’s gender.
Public transportation and city
infrastructure development is another policy
tool particularly relevant for enhancing
women’s mobility in Pakistan. Some of the
problems women face can be alleviated in
pursuing work opportunities. Higher female
participation could lead to higher labour
productivity and economic growth.
©Express Tribune |