The Future of the Indian Workforce: Samir Saran and Vivan Sharan write for the OECD, April 2017
The informal economy is growing in India, and that may be a good thing. Even as policymakers around the world attempt to grapple with challenges linked to labour productivity and ageing, India’s circumstances are unique. By 2030, when most major countries will have middle aged or elderly workforces, India’s will still be young. Around 36 per cent of the Indian population in 2011-12 was 17 years or younger and around 13 per cent was between 18 and 24 years (Table 1). And the informal economy accounted for nearly half of the employment for those between 18 and 24. Therefore, the discussion on the future of India’s informal workforce must be brought to the forefront when discussing growth, employment, sustainability and poverty eradication efforts…
