Gender and Urban Informal Sector Employment: An Analysis from Southern Punjab, Pakistan

Abstract

The decision to work in the labor market commonly depends on a decision by the participants between two options: to work or not to work. However, the priorities are different. Some females prefer to involve themselves in some economic activities (paid work) at home and some market activities. This research investigates the factors that motivate males and females to engage in informal employment. The data has been used collected from a household survey. This survey is made from three divisions of Southern Punjab, where the majority of the population resides. The survey is premeditated to gather some information of the households regarding demographic, social, and economic factors. The present study investigates the factors of employment by using the logit model. Findings show that low educated, married and aged people are working in the informal sector. Formally trained workers and workers of highly educated parents are switching to the formal sector. Those having assets are working in the informal sector. Those female participants having adults are participating in the informal sector. Based on study results, it is suggested that government must provide more employment opportunities in urban areas of Southern Punjab.