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Economics · 2025 · 4 marks
Employment: Growth, Informalisation and Other IssuesInformalisation of Indian Workforce4 marksUnderstandshort answer
CBSE 2025 · Region 6 · Set 1 · Q32
“It is necessary to generate more employment in the formal sector rather than in the informal sector.” Justify the given statement with valid…
“It is necessary to generate more employment in the formal sector rather than in the informal sector.”
Justify the given statement with valid arguments.
Marking-scheme solution
The formal sector workers can form trade unions and are entitled to fair wages and other social security measures. However, workers in the informal sector do not get regular income. Additionally, they do not have any protection/regulation from the government. Many a times, workers may be dismissed without any compensation.Hence, formal sector employees are generally in a better position as compared to informal sector employees. Therefore, it is essential to generate employment in the formal sector rather than the informal sector.
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CBSE Class 12 Economics past-paper question from the 2025 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.