Rural Non-Farm Employment: a Study in Punjab
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IAMR Report No. 2/2013 Rural Non-Farm Employment: A Study in Punjab Rural Non-Farm Employment: A Study in Punjab Institute of Applied Manpower Research Planning Commission, Government of India Acknowledgements The Institute of Applied Manpower Research (IAMR) is thankful to the members of the Standing Committee on Research Programme (SCRP) of IAMR for approving the study on Rural Non- farm Employment (RNFE) and giving its valuable guidance to conduct the study. The study was organised in four states Uttar Pradesh, Gujarat, Tamil Nadu and Punjab in close collaboration with Giri Institute of Development Studies, Lucknow; Centre for Research in Rural and Industrial Development (CRRID), Chandigarh; Institute of Development Alternatives, Chennai, and Gujarat Institute of Development Research, Ahmedabad. IAMR is grateful to all of them for making valuable contributions. Institute’s faculty Dr. Rashmi Agrawal, Director (overall in-charge), Dr. Shachi Joshi, Dy. Director, Dr. G. P. Joshi, Dy. Director and Dr. Partha Saha, Dy. Director, were involved in coordinating with the state teams in finalization of survey methods, development of tools, sampling and organising fieldwork and focus group discussions at various places across the states. They were also involved in preparing a framework for report writing. The institute put on records sincere gratitude to all of them. Besides the above faculty, Dr P. K. Saxena, Joint Director, Shri D. Indrakumar, Asst. Director, Shri Radhey Shyam, Asstt. Director and Shri Sanjay Kumar, Young Professional were also involved in supervising the data collection at field level. Special thanks to all the staff of IAMR who played important roles in completing the primary survey. Thanks are also due to Sh. Sudershan Kumar for providing the secretarial assistance and Mrs. Dipika Sen for editing the reports. Shri Dipayan Nandi, Mrs. Shagum Barwal and Mrs. Vaishali Rana, Asstt. Systems Analysts helped in developing software, guiding state teams and in the analysis of data. We are thankful to all of them for their efforts. Contents Page No. Executive Summary xv Chapter I Introduction 1.1 Main Objectives 3 1.2 Hypothesis 3 1.3 Research Design and Methodology 4 1.4 Review of Literature 5 1.5 The Study Area 9 Chapter II Background of Surveyed Villages 2.1 Distribution of Villages by Distance from Nearest Town 16 2.2 Social Composition of Households 16 2.3 Religions Composition of Households 17 2.4 Distribution of Households According to Types of Houses 18 2.5 Distribution of Households According to Ownership of 19 Agricultural Land 2.6 Status of Road Connectivity of Villages with Nearest Town 19 2.7 Availability of Electricity 20 2.8 Sources of Drinking Water 20 2.9 Distribution of SHGs 21 2.10 Distribution of Commercial Establishment 22 2.11 Distribution of Farming Households According to Size of 23 Landholdings 2.12 Pattern of Labour Migration 25 2.13 Average Wage Rate 25 2.14 Development Schemes Implemented in Selected Villages 25 by Districts Chapter III Characteristics of Households 3.1 Socio-economic Background of House Holds 27 3.2 Size of Households 27 3.3 Distribution of Households by Social Groups 28 3.4 Religions Compositions of Households 30 3.5 Distribution of Non-Farm Households by Principal Mode of 32 Livelihood 3.6 Distribution of Households by Land Ownership 34 3.7 Distribution of Households by Type of Landholding 35 3.8 Distribution of Households by Cropping Pattern 36 3.9 Distribution of Household Members by Age and Sex 38 3.10 Distribution of Household Members by Educational Level 40 3.11 Distribution of Household Members by Technical Education 42 3.12 Distribution of Population by Occupation 44 3.13 Distribution of Workers by Occupation 5 Years Back 45 3.14 Distribution of Workers by Occupation 10 Years Back 46 3.15 Distribution of Workers who Shifted their Occupations and 47 Reasons 3.16 Distribution of Household Members having Subsidiary 48 Occupation 3.17 Distribution of Persons Employed in Non-Agriculture Labour 49 by District 3.18 Distribution of the Non-Agriculture Labourers by Sectors 50 3.19 Sector-wise Distribution of Non-Agriculture Labourers by 51 Place of work 3.20 Sector-wise Distribution of Non-Agriculture Labourers by 51 District and Place of Work 3.21 Distribution of Non-Agriculture Labourers by Distance to 52 Place of Work 3.22 Distribution of Non-Agriculture Labourers by Days of 53 Employment 3.23 Distribution of Non-Agriculture Labourers by Work Hours 54 3.24 Distribution of Non-Agriculture Labourers by Type of 55 Contract vi 3.25 Distribution of Non-Agriculture Labourers by Mode of 55 Payment 3.26 Average Annual Net Earnings of Non-Agriculture Labour by 56 District and Activity 3.27 Average Annual Earnings of Non-Agriculture Labour by 56 District and Social Group 3.28 Social Group-wise Distribution of Households which got 57 Work in MGNREGA 3.29 Average Days of Employment per Worker in NREGA by 58 District & Social Group 3.30 Average Earnings per Worker in NREGA by District & 59 Social Group 3.31 Distribution of Self-employed in Non- agriculture 59 3.32 Self-Employed in Non-Agri. by District and Activity 59 3.33 Distribution of Self Employed in Non Agricultural Activities 60 by Place of Work 3.34 Distribution of Self-Employed in Non Agricultural by 61 District and Workplace 3.35 Average Annual Net Earnings of Self-Employed in 61 Non-Agriculture 3.36 Average annual Net Earnings (Rs.) per Household Self- 62 Employed in Non-Agriculture by district & Social group 3.37 Distribution of Adult Female Members (15 yrs and above) by 63 Activity 3.38 Average Days of Employment of Adult Females Members 64 (15 Yrs & Above) by District and Activity 3.39 Adult Female Members by Workplace 64 3.40 Problems related to Work faced by Adult Females 65 3.41 Average Annual Earning of Households by Sector of 66 Employment vii 3.42 Average Annual Earning of Households by Nature of 66 Employment 3.43 Distribution of Salaried Household Members by Benefits 67 Received and by Sector of Employment 3.44 Sector-wise Distribution of Household out Migrants Sending 67 Remittances 3.45 Annual Remittances sent by Migrant Household Members 68 3.46 Distribution of Migrants according to Destination of 69 Migration 3.47 Distribution of Migrants according to Period of Migration and 70 Gender Chapter IV Characteristics of Village Enterprises 4.1 Types of Enterprises 71 4.2 Year of Establishment 72 4.3 Number of Employees 72 4.4 Nature of Employment 73 4.5 Average Monthly Earning 74 4.6 Place of Origin 74 4.7 Marketing of Produce 74 4.8 Mode of Marketing 75 4.9 Reasons for Establishment in the Village 75 4.10 Constraints Faced by Enterprises 76 Chapter V Rural Non-Farm Sector Some Correlates 5.1 Age and RNFE Employment 78 5.2 Land-Size and RNFE 78 5.3 Education and RNFE 79 5.4 Shift in Occupations from Agriculture Household 79 5.5 Shift in Occupations from Earlier Traditional RNFE 79 Chapter VI Findings of Focus Group Discussion Meetings & Constraints for RNFE 6.1 Salient Points Discussed 81 viii 6.2 Constraints and Suggestions in the Development of the Rural 83 Non-Farm Sector Chapter VII Summary of Findings and Conclusion 7.1 Background of Surveyed Villages 86 7.2 Characteristics of Surveyed Househ91olds 87 7.3 Characteristics of Village Enterprises 92 Bibliography 94 List of Tables Table No. Page No. 1.1 Percentage distribution of main workers in Punjab by main 2 industrial Categories 1.2 Percentage distribution of usually working rural persons in 3 the UPSS by broad industrial categories in Punjab 1.3 List of Villages Surveyed by Districts 5 1.4 Sectoral distribution of usual status rural workers across 11 major Indian states by Sex: 1983, 1993-94 and 1999-2000 1.5 District wise distribution of workers in Rural Non-Farm 13 employment and Scheduled Caste Population in Punjab: 2001 2.1 Distribution of villages by distance from nearest town 16 2.2 District wise social composition of Households 17 2.3 District wise religious composition of households 18 2.4 District-wise distribution of HHs by Type of Houses 18 2.5 District-wise distribution of HHs according to ownership of 19 Agricultural land 2.7 Status of Power supply to villages 20 2.8 District- wise sources of water for drinking 21 2.9 Distribution of SHGs by districts 22 2.10 Distribution of Commercial Establishment by districts 23 ix 2.11 Distribution of farming households according to size of 24 Landholdings 2.13 Average wage rate of Agricultural and Non-Agricultural 25 Workers 2.14 Government schemes implemented in selected villages by 26 districts 3.1(a) Percentage of Hindus and Sikhs in Rural, Urban and Total 28 population of Punjab and Selected Districts 3.1(b) Distribution of households by districts and size 28 3.1 (c) Percentage of SC’s in Rural Population of Selected 29 Districts (2001) 3.3 Distribution of households by districts and social groups 30 3.3(a) Percentage of Hindus and Sikhs in Rural, Urban and Total 31 population of Punjab and Selected Districts 3.3(b) Distribution of households by districts and religion 32 3.5 Distribution of non-farm households by districts and principal 33 livelihood 3.6 Distribution of households by districts and land ownership 35 3.7 Distribution of households by districts and types of land 36 holding 3.8 Distribution of households by districts and cropping pattern 37 3.9 District- wise distribution of household members by age 38 and gender 3.10 District-wise distribution of household members by 41 educational level and gender 3.11 District-wise distribution of household members by technical 43 education and gender 3.12 Distribution of main workers by district and present 45 occupation 3.13 Distribution of workers by district and occupation 5 years back 46 x 3.14 Distribution of workers by district and occupation 10 years 47 back 3.15 Distribution of workers by district and reasons of occupational 48 shift 3.16 Distribution of household members by district and subsidiary 49 occupation 3.17 Persons Employed in Non-Agri.