Multiplier Effect of Increasing Female Employment: Assessing Impacts In Urban Centres

Aims and Objectives: this research include examining the impact of rising female employment, with a specific focus on socially marginalized groups. Additionally, the study aims to assess the social and economic consequences of women’s participation as educated professionals and semi-professionals in regular salaried positions.

Methodology: The study involved primary field surveys conducted across various urban town types in North and East India, focusing specifically on the regions of West Bengal and the National Capital Region (NCR). The cities surveyed included Delhi and Kolkata (tier I) as well as Asansol and Noida (tier II). The surveys involved a listing process in selected wards, utilizing Census information to cover a total of 3,200 households. A sample of 424 households was chosen, categorized into four distinct strata of women: those who are working and hiring domestic workers, those who are working but not hiring domestic workers, those who are not working but hiring domestic workers, and those who are neither working nor hiring domestic workers.

Findings:

• Labour Force Participation Rate (LFPR) close to 20% in Asansol and Kolkata, and more than 45% in Delhi and Noida.
• 63.7% of surveyed households employ paid Female Domestic Workers (FDWs).
• Engagement of FDWs higher among General Caste compared to SCs and STs, in smaller families, and in relatively richer families.
• Higher proportion of FDWs in households with working females compared to households without working females.
• Regression estimation: If the female of the household is working, the number of FDWs hired increases by 0.1 (for every 10 females in the formal workforce, another female is inducted as FDW).
• Multiplier effect varies across cities, ranging from 0.09 to 0.29 (policy inducements increasing female employment by 100 would bring another 10-30 females into the workforce).