India's Informal Sector Employment Tops 15 Crore, Rising 15% in Early 2026

1 articles · Updated · MENAFN.COM · May 23

More than 15 crore people worked in India’s informal sector in January-March, up from 13.1 crore a year earlier and marking the first time employment crossed that level.
NSO data tied the increase to stronger labour-market conditions, rising entrepreneurial activity and higher demand for local services, with unincorporated establishments climbing 17% to 9.2 crore.
61% of workers were owner-proprietors, up from 58.3% a year earlier, while the share of hired workers fell to 24.8% from 26.9%, pointing to a bigger role for self-employment.
Services led the expansion: service-sector establishments rose nearly 25% year on year and employment in that segment jumped 31%, underscoring the informal economy’s central role in livelihoods and job creation.

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