Shrinking informal economy: Sign of formalisation or growing hardship?

The 2022-23 Annual Survey of Unincorporated Sector Enterprises shows a grim employment situation in the non-farm informal sector

Ravaged by the Covid-19 pandemic, Dhammu (38) is struggling to bring back to life his tarpaulin-clad makeshift shanty-cum-chemical production unit in Mundka, a dusty industrial pocket in West Delhi. 

“It has been more than two years since the pandemic got over, but my business is yet to pick up pace. I started working here more than a decade ago after my father passed away.  I don’t see any increase in my income. I even had to ask two of my helpers to leave last year. It’s only me now, who takes care of the whole thing,” says Dhammu.