Basis proprietary database of over a million employed workforce from more than 850 districts around the country, free staff attendance & payroll management app – Salarybox has today highlighted that over two-thirds of Indian blue-collared workforce employees earn less than INR.15,000 per month. In addition to this, females in the workplace made INR 12,398 on average, which was 19% less than their male colleagues, which brings forth the country’s wide gender pay disparity.
The data also highlights that less than 15% of the employee base – earns in the range of INR 20,000-40,000 per month (on an average INR 25k), calling attention to the fact that a vast majority of Indians have difficulties securing even a livable wage. Interestingly, the majority of firms pay wages below the minimum wage set by the Central Pay Commission (CPC), that is INR 18,000 per month.
Commenting on the trend, Nikhil Goel, CEO & Co-Founder of SalaryBox said, “For a long time, the topic of jobs — or rather, the lack thereof — has dominated India’s economic discourse. While the headline employment/unemployment numbers get a lot of attention, another set of numbers that is equally significant — who gets paid how much — doesn’t get nearly as much attention. It is high time that the companies bring in interventions that highlight this huge gap”
The SalaryBox Research also finds that only 27% of the workforce is made up of women, whereas 73% of the workforce is made up of men. Employees working at Supermarkets, Grocery/ Kirana / General Stores as well as the garments / Textile industries are paid at the lower end of the scale, with an average monthly salary of Rs 8300. Logistics and Transport, IT Software, and Tailoring /Boutiques emerge as the businesses that pay the most to females, with primary roles being of Telecallers, documentation executives, and recruitment associates.
“Economic development is still not translating into enough jobs for the yearly influx of educated young people entering the workforce. A much bigger proportion of Indians work in the informal sector, and they have been hit hard in recent months by increasing inflation, particularly in food prices.” added Nikhil.
The persistent income disparity between men and women exists across all industries, and while workers’ wages have been steadily increasing in numerous sectors, the value allocated to women’s workforce is still undervalued. Despite the fact that salons, schools, supermarkets, and boutiques employ nearly the same number of females as males, the pay gap persists. In addition to this, as the workforce gets older, the pay difference appears to widen even more, and women’s participation in the labour decreases.