Disparities in Employment and Income in Rural Andhra Pradesh, India

The paper studies regional difference in employment, unemployment and income in Andhra Pradesh, in the backdrop of demand for separate state of Telangana. The empirical results are based on unit survey data of rural households of Andhra Pradesh based on employment and unemployment surveys conducted by National Sample Survey Organisation (NSSO) in 61st round pertaining to the period 2004-05. Descriptive statistics, multinomial logit models and simple regression models were used to attain the objectives of the study. Work Participation Rate (WPR) was low and unemployment was high in Coastal for both men and women whereas WPR was high and unemployment was low in both Telangana and Rayalaseema. Among males 43 per cent of total workforce engaged in self-employment in agriculture followed by casual labourer in agriculture (27%) and self-employment in industry (11%) in Andhra Pradesh. Among females 40 per cent belongs to self-employed in agriculture and another 40 to percent to casual labourer in agriculture. About 9 per cent were self-employed in industry. Share of agricultural workers was less in Coastal region compared to Telangana and Rayalaseema. As with the development of agricultural sector, there was simultaneous increase in demand for non-agricultural sector goods and services, which increased share of non-agricultural sector workers in total work force in Coastal region. Share of self-employed is higher in both Telangana and Rayalaseema regions compare to Coastal region. Some studies point out that, higher share of self-employed in agriculture in low agricultural productivity regions like Telangana and Rayalaseema is a sign of disguised unemployment. Weekly wage earnings were higher in males, higher educated, upper caste workers compared to their counterparts. Coastal region reported higher wages compared to Telangana and Rayalaseema regions