Periodic Labour Force Survey: Decline in Self-Employed households

The National Statistical Office recently released the Periodic Labour force Survey. According to the survey, the percentage of self-employed households in rural India declined from 52.2% to 51.7% in the year 2019.


The Survey says that in Urban India the self-employed households declined from 32.4% to 31.8%.

The decline in rural India is mainly because of the falling dependence on agriculture. The self-employed households that depend on agriculture has declined from 37.8% to 36.6%.

Key Findings

The Survey says that in urban India, people running small shops have folded up and become labourers. In rural India, the non-agricultural labourers grew from 12.9% to 13.4%.

In Urban India, the regular wage earners grew by 1.4%.


The findings of the report say that Indian Economy is becoming more formalised. The Indian Government has been trying push formalisation and digitisation so hard in the last 5 to 6 years.

Formalisation and Digitisation

Formalisation is bringing unorganised sector into formal means through GST, ensuring strict registrations under law. The Digitisation has been pushed through Pradhan Mantri Jan Dhan Yojana, Direct Benefit Transfers, etc.




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