An Insight into Informal Sector Employment: The Case of Female Workers in Rural West Bengal

Abstract: Female labour force participation is a key indicator of economic growth, especially in developing countries like India. This study, based on a household survey in Purulia, West Bengal, examines the determinants of informal work and wage factors among female workers. The study has used correlation matrix, one-way ANOVA and post hoc test. Sample selection models were applied to correct selection bias. The explanatory variables age, material status, numbers of child and monthly contribution of other household members were found to have a significant impact on the probability of female informal labour force participation. We found that the probability of engaging in the farm activities by the female workers were significantly influenced by their age, marital status and volume of land owned. The regressors age, year of experience in present work, nature of work, working hour, place of residence had significant impact on the wage-determination of female workers in informal sector. Keywords: Informal Sector, Female Worker, One-Way ANOVA, Bonferroni method, Sample Selection Bias, Heckman Selection Model, Probit-Selection Model JEL Classification Number: C01, D01, J01