Urban informal sector in India

The informal sector plays a major role in Indian economy begins to dominate in providing gainful employment opportunities of millions of people. It also contributing significant share of nation's output. It is estimated that two fifths of India's Gross Domestic Product generate from the informal sector and 90 percent of the families are depending on this sector directly and indirectly for their survival. The study of informal sector has become an increasingly popular not only in Economics but also in Sociology and Anthropology. According to Visaria (1966), the informal economy in India employs about 90 percent of the country's workforce and 97 percent of its women workers. Many of these workers are primary earners for their families. Their earnings are necessary for sheer survival. The informal sector in India consists of the following three types of sector: production sector, service sector and casual labour sector. The informal sector is itself a magnet that attracts job seekers from the over burdened rural areas and from among the unemployed mass of the urban sector in India.