DAILY CURRENT AFFAIRS IAS | UPSC Prelims and Mains Exam – 3rd October 2024
Archives (PRELIMS & MAINS Focus) BALANCING THE CARE AND MONETISED ECONOMIES Syllabus Mains – GS 3 Context: In a recent policy brief on measuring the care economy, Shamika Ravi, member of the Economic Advisory Council to the Prime Minister, noted that prioritising the care economy can lead to a long-term balancing of growth and development of Indian society. Background: – A monetised economy is an economy where goods and services are sold using money as a medium of exchange. It is characterised by paid labour, formal markets, and economic activities which are quantified and measured. In contrast, the care economy is marked by unpaid care work, double burden of labour, and time poverty. Key takeaways Defining care economy: Care refers to all activities and relations needed for the existence and well-being of societies. It includes both paid as well as unpaid care work, which are overlapping in nature. Unpaid care work is often direct, personal, and relational, and is provided without any monetary compensation. Examples include taking care of children, cooking for the family. Paid care work is performed in exchange for some remuneration or profit. It includes a wide range of personal service workers such as domestic workers, nurses, teachers, etc. The care economy is marked by low wages and informalities. Even when the care economy exists in formal markets, the remuneration is often low and the work is underestimated. For instance, ASHA workers are some of the least paid in the world. Another characteristic of the care economy is that women are disproportionately represented here. Double burden of work: The double burden of work can be defined as the unpaid work done at home along with any form of paid work. According to the Time Use Survey of 2019 data, women in the working age group spend approximately seven hours daily on unpaid household work alone. This large share of unpaid care work prevents women from entering the labour market. Moreover, the underpayment and undervaluation of care work contributes to its invisibility in economic metrics, resulting in market failure. This market failure leads to increasing time poverty for women along with care and motherhood penalties, which ultimately reduce female labour force participation. The contribution of care work to India’s GDP has been estimated to be around 15-17%. This figure underscores the economic value that unpaid and underpaid care work provides, although it is often overlooked in traditional economic measures. Hence, it can be argued that there needs to be a policy revision to better account for the intersection of care and monetary economies. The 5R framework provided by the International Labour Organisation has often been suggested as a key to understanding and improving the efficiency, sustainability, and fairness of care work. The 5R framework includes – recognising the social and economic value of paid and unpaid care work; rewarding, remunerating, and representing care work and care workers with professionalised work and equal pay for work of equal value; reducing the burden of unpaid care work on women; redistributing care work within households among all workers and eliminating the sexual division of labour; and reclaiming the public nature of care services. Policy revision Social care infrastructure: Investment in public care services like childcare will create job opportunities for women. This will further formalise traditionally unpaid work and provide women with paid employment. Childcare and eldercare services can relieve women from their unpaid responsibilities, enabling them to rejoin the workforce or pursue education or skill development. Women’s labour market access and opportunities: Introducing minimum wage for care workers and ensuring inclusion in formal labour frameworks can play a crucial role. This will also create an environment where care work is recognised as skilled labour, giving workers more bargaining power. Further, the provision of pensions, health insurance, and maternity benefits to informal caregivers (eg. domestic workers) would bring them into the formal sector. Recognising and representing unpaid work in macroeconomic policies: By using data (eg: from Indias time use survey), the value of unpaid care work can be estimated and these estimates can be incorporated into macroeconomic measures. This would help redefine the perception of care work from a domestic responsibility to a productive economic activity. Moreover, policymakers may use this data to design gender-sensitive policies aimed at reducing women’s unpaid work burden. Challenging social and cultural norms: There is a need to destigmatise unpaid work and alter gender stereotypes. Public campaigns, educational programmes, and media can play a role in promoting men’s active participation in caregiving. Government policies can encourage paternity leave and parental leave policies. Policy revisions around care work are interdependent. While building care infrastructure can create job opportunities for women, it is important to ensure that these jobs do not remain underpaid and undervalued. The role of the State is pivotal in making care work inclusive and fair. Additional Information Global North is facing a “crisis of care”. As women from dominant communities enter the workforce, a “care gap” is emerging. This gap is often filled by migrant women or women from marginalised communities, resulting in the formation of a “global care chain”. The “global care chain” refers to a series of responsibilities passed from one woman to another across borders and socio-economic strata. As a result, women at the bottom of the socio-economic ladder are the most vulnerable and remain at the bottom of the chain. Source: Indian Express ANNUAL SURVEY OF INDUSTRIES (ASI) Syllabus Prelims & Mains – ECONOMY Context: The Annual Survey of Industries (ASI) for 2022-23, released on Monday, showed that the total number of employees in manufacturing industries increased by 7.5 per cent to 1.84 crore in 2022-23 from 1.72 crore in 2021-22. Background: – The ASI data is the principal source of industrial statistics and data for organised manufacturing. About Annual Survey of Industries (ASI) The Annual Survey of Industries (ASI) is a comprehensive and detailed survey conducted annually to gather statistical information on the industrial sector in India. Conducted by: Ministry of Statistics and Programme Implementation (MoSPI). Scope and Coverage: Coverage: The ASI covers all factories registered under the Factories Act, 1948, which employ 10 or
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