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Women's Labour Force Participation Rate Rises to 40 Per Cent

A PIB backgrounder put the female labour force participation rate at 40 per cent in 2025 against 23.3 per cent in 2017-18, with 20 crore women employed.

By Published · 2 min read
Women's Labour Force Participation Rate Rises to 40 Per Cent

Why in News

On 15 October 2026 the Press Information Bureau released a backgrounder titled Women, Work and Enterprise, which brought together the figures on women's labour force participation, enterprise ownership, credit, skilling and labour law protection in India.

A backgrounder released by the Press Information Bureau on 15 October 2026 gathers the figures on women's work in India and argues that the story has moved from merely taking part in the labour market to the quality of the work on offer. The Periodic Labour Force Survey (PLFS) is its base.

How participation has grown

For women aged 15 years and above, the Labour Force Participation Rate climbed from 23.3 per cent in 2017-18 to 40 per cent in 2025. The Worker Population Ratio over the same stretch rose from 22 per cent to 38.8 per cent. In plain numbers, about 20 crore women of that age were at work during 2025. The first of these measures counts those working or looking for work; the second counts only those actually employed.

Women in enterprise

As of October 2026 roughly 3.69 crore registered MSMEs were owned by women, which is about 38 per cent of all registrations. By March 2026 more than 1.07 lakh recognised startups had at least one woman as director or partner, close to 48 per cent of all recognised startups.

Where women work

SectorShare of women
Mobile phone manufacturing (direct workforce, July 2026)Nearly 70 per cent
Semiconductor industry (March 2025)Around 25 per cent
Pilots in India15 per cent
STEM research careers (2023-24)29 per cent

The share in STEM research was 13 per cent in 2000-01 and 18.6 per cent in 2020-21 before reaching the present level.

Credit and markets

Under the Pradhan Mantri MUDRA Yojana, begun in 2015, collateral-free credit of up to 20 lakh rupees is available to micro and small units; more than 57.79 crore loans had been sanctioned by April 2026 and women accounted for two-thirds of them. Women-led small enterprises get guarantee cover of 90 per cent and a 10 per cent concession on the guarantee fee, and about 30.75 lakh guarantees worth some 2.07 lakh crore rupees had been approved for them by February 2026. On the Government e-Marketplace the Womaniya initiative had 2.17 lakh women-owned small enterprises registered by July 2026, and contracts to women-owned units crossed 28,000 crore rupees in 2025-26, a growth of 27.6 per cent.

Skilling and labour law

The NAVYA scheme of 2025 aims to skill 3,850 adolescent girls in non-traditional roles, and 1,105 had been trained by 31 August 2026. The AI Careers for Women programme is setting up 30 centres of excellence in women's colleges with 150 spoke centres, to train 20,000 learners. In November 2025 the government folded 29 labour laws into four Labour Codes, which give eligible women up to 26 weeks of paid maternity leave, 3,500 rupees as medical bonus where free prenatal and postnatal care is absent, creches in establishments with at least 50 workers, and one-third of the seats on Central and State Advisory Boards.

Important Facts

DocumentPIB backgrounder on Women, Work and Enterprise, 15 October 2026
Female LFPR23.3 per cent in 2017-18 to 40 per cent in 2025
Female Worker Population Ratio22 per cent in 2017-18 to 38.8 per cent in 2025
Women employedAbout 20 crore aged 15 years and above in 2025
Women-owned MSMEsAbout 3.69 crore registrations, nearly 38 per cent of the total, as of October 2026
Startups with a woman directorOver 1.07 lakh by March 2026, about 48 per cent of recognised startups
PMMYLaunched in 2015; collateral-free credit up to 20 lakh rupees; over 57.79 crore loans by April 2026
Guarantee cover for women-led MSEs90 per cent, with a 10 per cent concession on the guarantee fee
Womaniya on GeM2.17 lakh women-owned MSEs by July 2026; contracts above 28,000 crore rupees in 2025-26
Maternity benefitUp to 26 weeks of paid leave; 12 weeks for adoptive and commissioning mothers
Labour Codes29 labour laws consolidated into four codes in November 2025
Women in mobile phone manufacturingNearly 70 per cent of the direct workforce as on July 2026

Exam Point of View

Remember the two rates and their years: female LFPR 23.3 per cent in 2017-18 and 40 per cent in 2025, WPR 22 per cent to 38.8 per cent, with about 20 crore women employed in 2025. Also remember 3.69 crore women-owned MSMEs, PMMY credit of up to 20 lakh rupees since 2015, the 90 per cent guarantee cover for women-led MSEs, and 26 weeks of maternity leave under the four Labour Codes.

Practice Questions

Q3.EconomyHard

What is the enhanced guarantee coverage available to women-led micro and small enterprises under the Credit Guarantee Scheme?

  1. A.75 per cent
  2. B.80 per cent
  3. C.85 per cent
  4. D.90 per cent
Show answer
Correct answer: D. 90 per cent

The scheme was framed to strengthen credit delivery to micro and small enterprises and to reach entrepreneurs who are unserved or underserved, and within it women-led units receive guarantee cover at that higher level together with a concession of 10 per cent on the guarantee fee.

Read the full explanation →

Frequently Asked Questions

What is the female labour force participation rate in India in 2025?

It stands at 40 per cent for women aged 15 years and above, up from 23.3 per cent in 2017-18. The Worker Population Ratio for women rose from 22 per cent to 38.8 per cent over the same period.

How much collateral-free credit does the Pradhan Mantri MUDRA Yojana offer?

Up to 20 lakh rupees for micro and small enterprises in non-corporate, non-farm income generating activities. The scheme began in 2015 and had sanctioned more than 57.79 crore loans by April 2026, two-thirds of them to women.

What maternity benefits do the Labour Codes provide?

Eligible women get up to 26 weeks of paid maternity leave, while adoptive and commissioning mothers get 12 weeks. A medical bonus of 3,500 rupees is payable where free prenatal and postnatal care is not provided, and creches are required in establishments with at least 50 workers.

How many women-owned MSMEs are registered in India?

About 3.69 crore as of October 2026, which is nearly 38 per cent of all registered MSMEs. The Yashasvini campaign of 2024 seeks gender parity on the Udyam Registration Portal by 2029.

Sources