Study the given image carefully :

Identify the situation depicted in the image and suggest the impact of the indicated situation in the Indian economy.

The given image represents the situation of employment in informal sector.In the formal sector, workers can form trade unions and are entitled to fair wages and other social security measures. Whereas, workers in the informal sector do not get regular income. Also, they do not have any protection or regulation from the government. Many a time, 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.