Indian Economy, Informal Sector Labour Employment, Total Employment, Agricultural Sector, Informal Sector Workers, Economic Activities, Production and Unemployed Persons


The Indian economy is characterized by the existence of a vast majority of informal sector labour employment. The total employment in the country was of 46.5 crore comprising around 2.8 crore in the organised and the remaining 43.7 crore workers in the informal sector or unorganized sector. Out of these workers in the informal sector , there are 24.6 crore workers employed in agricultural sector, about 4.4 crore in informal sector workers and remaining in manufacturing and service. Informal Sector refers to economic activities such as production and distribution of goods and services by the operating units of the households which essentially differ from the formal sector in terms of technology, economies of scale, use of labour intensive processes, and virtual absence of the well maintained accounts. It embraces a widely dispersed multitude of operating units with high rates of birth and death and substantial mobility. It is informal in the sense that they are not regulated by government under any statute. Because of its contribution to the economy, which is quite visible and its strength in absorbing a huge portion of unemployed persons to whom the State is unable to provide adequate employment. It becomes the duty of the policy makers to device such policies which can take core of the problems faced by the informal sector workforce. Hence, there is need to monitor the size and structure of this sector and its performance over time for framing appropriate policies. In this paper an attempt to identify status and survival of the informal sector workers in Gudiyathamtaluk of Vellore district in Tamil Nadu.