‘Indians working less post Covid, real earnings flat’

NEW DELHI: Indian workers put in fewer working hours in a week in 2025 than they did prior to the Covid-19 pandemic, data analysed from the latest Periodic Labour Force Survey (PLFS) showed.

Weekly working hours for self-employed people, which consist of own-account workers and helpers in household enterprises and constitute nearly 56% of the workforce, have seen the steepest decline to 39.6 hours in Jan 2025–Dec 2025 from 46.6 hours in the July 2018–June 2019 period. Casual and salaried workers also saw their weekly working hours decline during this period to 41.2 hours and 48.8 hours from 43.1 hours and 50.2 hours, respectively. Experts said the decline in working hours reflects lower aggregate demand in the economy following the pandemic, with recent recovery being driven by a small section of highearning individuals and large enterprises.

Amit Basole, professor at Azim Premji University, said that a vast number of own-account enterprises have suffered a decline in demand in recent years, leading to low earnings, so they have no incentive to work longer hours. “It’s a self-feeding loop. If we look at casual workers too, they are not finding many takers for their services either. This reflects that the recovery in the labour market is not along the lines suggested by the headline unemployment rate, which signals a steady decline,” he said. Data on real monthly earnings showed that a self-employed individual earned Rs 7,617 in 2025, slightly up from Rs 7,336 in the 2018–19 period. Real monthly earnings for a salaried worker stood at Rs 11,634, up from Rs 11,289 during the same time, whereas daily real earnings for a casual worker rose to Rs 232 from Rs 198.

Disaggregated data showed that both men and women have seen a decline in their weekly working hours. Men worked 45.9 hours in 2025, down from 48.9 hours in 2018–19, while women worked 34.1 hours, down from 39.4 hours.

Women in rural areas have seen the highest decline to 32.6 hours in 2025 from 38.2 hours in 2018–19, even as their labour force participation rate (LFPR), which reflects their willingness to work, has nearly doubled to 34.6% in 2025 from 18.2% in the July 2017–June 2018 period.

Labour economist Santosh Mehrotra said that this rise in female LFPR in the aftermath of Covid-19 is primarily driven by their engagement in agriculture. According to Mehrotra, this is a sign of distress-led employment, as they are being forced to work to augment household income rather than finding jobs based on their skills.