Indian women are paid to take care of their families

In a village in Madhya Pradesh state, a woman receives a small but regular sum each month – not a formal job wage, but an unconditional cash transfer from the government.

Premla Pahlavi says the money covers medicines, vegetables and her son’s school fees. The amount, 1,500 rupees (about US$16), may seem small, but it gives a feeling of independence and control over one’s financial life.

Her tale is becoming increasingly common. In India, 118 million adult women in 12 states now receive unconditional cash transfers from their governments, making India one of the world’s largest and least studied social experiments.

India has long been accustomed to subsidizing grain, fuel and rural labor, but has now entered a more radical experiment: paying women simply because they run households, bear the burden of unpaid housework, and make up a significant portion of the electorate.

Remittances range between 1,000 and 2,500 rupees per month ($12-30), equivalent to about 5-12% of family income, but are regular.

Women typically use the money to cover family needs such as education, food, medical gas, emergencies, repayment of small debts, and sometimes to buy personal items.

What distinguishes India from Mexico, Brazil and Indonesia is the lack of strings attached: the money reaches the women whether they send their children to school or not, or regardless of the level of poverty in the family.

This money transfer experiment began in Goa in 2013, then expanded before the coronavirus pandemic in 2020 in Assam, and now includes tens of millions of women. Some states officially recognize unpaid housework, while others see it as implicit support for women to cover family needs.

Cash transfers have also influenced politics, helping win elections in states like Maharashtra, Jharkhand, Odisha, Haryana and Andhra Pradesh. In Bihar, for example, Rs 10,000 were transferred just before the elections to 7.5 million women, which increased voting among women and influenced the electoral outcome.

Despite criticism that some parties considered it a vote-buying, experts believe that these transfers reflect a gradual recognition of the economic value of unpaid housework, in which women in India spend about five hours a day compared to less than an hour for men, which explains the decline in women’s participation in the labor market.

Studies show that remittances help women meet their own and their families’ needs, and enhance their sense of dignity and financial independence, but they do not significantly change their burden of unpaid work or transform gender roles.

The researchers recommend simplifying eligibility requirements, keeping transfers unconditional, promoting awareness of women’s rights and the value of their unpaid work, and developing financial education. They also stress that remittances cannot replace paid employment opportunities, which women still aspire to.

India has just begun a new chapter in its cash transfer experiment for women, which has shown that small, regular amounts can give women some power and dignity back. The future remains tied to how the country is built around this money.