Women’s informal employment in the digital economy: The Future of Work research

• by Jilan Jauhara, Manoj Nayak, Nadia Fairuza Azzahra, Putu Monica Christy and Rhifa Ayudhia
• May 29, 2024
• 2 min
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This report, by MSC and the Ministry of Women Empowerment and Child Protection (MoWECP), examines how digital trends that disrupt informal work impact women. It is based on a survey of 400 female workers across nine Indonesian provinces. The report identifies key barriers and provides actionable recommendations to improve female labor force participation through better digital financial access, skill training, social protection, and childcare services.

A significant gender disparity persists in Indonesia’s labor market. The country’s informal sector employs 64% of women. The diverse sector encompasses own-account workers, casual laborers, microenterprises, and street vendors. Yet the rapid digitization of informal work in Indonesia and its impact on women’s employment remain inadequately understood.

MSC conducted a comprehensive study in collaboration with the Ministry of Women Empowerment and Child Protection of Indonesia to address this gap. It sought to assess female informal workers’ accessibility and experiences in the evolving digital economy. The research was designed to capture these women’s multifaceted experiences and explore how digital trends transform their work in five key areas:

• Women’s day-to-day realities and challenges in informal work and their experiences in informal employment;
• Female informal workers’ access to digital financial services and their usage ;
• The impact of societal norms and caregiving duties on women’s work;
• Opportunities for business growth and skill enhancement available for women;
• The availability and effectiveness of social protection measures and childcare services for informal workers.

The report is based on a survey of 400 female workers across nine Indonesian provinces. It presents actionable recommendations for government ministries, civil society organizations, and public and private sector entities.

The report analyzes barriers women face throughout their employment lifecycle. Female informal workers can fully engage in the job market and benefit from it if they overcome these barriers. This would foster a more equitable labor market and, in turn, enhance female labor force participation rates in Indonesia.

Here are the links to the reports:

1) Click here to download the full report in English.

2) Click here to download the report’s summary in Bahasa Indonesia.