Significant Rise in Shift to Non-Farm Sector Jobs in TN

Time of India

4 days ago

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Chennai: Tamil Nadu is seeing a significant shift from employment in the agriculture sector. A survey conducted between 2012 and 2024 revealed a decline in agricultural dependence and a rise in non-farm jobs due to increased access to higher education and the availability of non-farm employment.
While 40% of the population relied on agriculture in 2012, this share dropped considerably. By 2024, it decreased by nearly 20%. In terms of gender distribution, 81% of men are engaged in non-agricultural work. For women, the corresponding figure is 71%.
Villages selected for the study were chosen based on their rural non-farm employment rates. Tirunelveli, Thoothukudi, Tenkasi, and Virudhunagar reported relatively higher rates.
In contrast, Thanjavur and Pudukottai showed lower rates of rural non-farm employment. The study found that agriculture was the primary occupation in only one village. This indicated that agriculture is no longer the sole occupation for households in rural Tamil Nadu.
Non-agriculture is evolving beyond a peripheral activity. It is no longer considered a 'residual' activity, as some studies previously suggested.
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In 2012, 43% of workers were engaged in agricultural work. This figure sharply declined to 22% within a decade. Conversely, the percentage of workers engaged in non-agricultural work increased significantly, rising from 57% to 78% during the same period. Agriculture still provides livelihood for many rural workers, but the shift towards secondary and tertiary sectors is accelerating over the years. Younger workers, aged 15–34, are increasingly transitioning away from agriculture and seeking opportunities in non-farm jobs.
Construction is a dominant sector for male workers. Manufacturing remains a significant non-agricultural activity for female workers. This trend is consistent across all age groups.
The average annual earning of a non-agricultural labourer is estimated to be Rs 1.39 lakh. In comparison, an agricultural labourer earns an average of Rs 37,577. A self-employed worker in agriculture earns approximately Rs 99,400 annually.
The report highlighted disparities in earnings based on caste. "The earnings of non-agricultural labourers belonging to different castes seem to be in alignment with the prevalent caste hierarchy: labourers belonging to Scheduled Castes, in general, earn the lowest," the report said.
Mobility for employment is a common phenomenon, with more than half of non-agricultural workers migrating for job opportunities.
State Planning Commission Vice-Chairman J Jeyaranjan said the high duration of employment and higher wages in non-farm sectors are significant factors. These advantages neutralise the uncertainties associated with agriculture. "Agriculture has become supplementary now. Non-farm employment has become primary income due to growing importance. The major problem in agriculture is seasonality, and employment for 120 days a year," Jeyaranjan told TOI.
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