Empowering women in India’s automotive transition

India’s ambitious goal of achieving 30% electrification of vehicles by 2030 will have a significant impact on women in the auto industry. The auto sector employed 4.2 million people in 2019-20. It also supports nearly six times as many indirect jobs. In India, auto components are mainly supplied by micro, small and medium enterprises (MSMEs).

While original equipment manufacturers (OEMs) are working to increase women’s representation, most jobs remain informal and contractual, posing a challenge and an opportunity for inclusive employment.

Changing policy landscape for women 

The traditional automotive sector in India has been dominated by men, with women mostly occupying roles related to finance, marketing, human resources and public relations. However, shifting manufacturing trends have led to women taking up new roles in the electric mobility ecosystem.

Presently, about 11-15% of the workforce comprises women, with companies aiming to increase the share to 50% in the next 5-10 years. This rise in women’s participation is likely to be driven by larger companies and OEMs, facilitated by automation, the need for dexterity on the assembly line, adherence to Economic Social Governance (ESG) requirements and increased demand for precision work.  

Central and state policies like Faster Adoption & Manufacturing of Electric Vehicles (FAME) I and II, PM E-drive and production linked incentives (PLI) seek to accelerate the transition. Despite these provisions, MSMEs have limited capacity to invest in transition skilling for their workers, especially for women engaged in contractual roles.

Under the Resilient Inclusive and Sustainable Enterprises (RISE) Initiative, MSMEs in Tamil Nadu are being supported to drive climate action and support sustainable transitions, with active engagement from OEMs and MSMEs to understand the roles played by women in the sector.  

Gender, migration and benefits for women 

Migrant women, often with limited experience and education, typically work as helpers, cleaners, or packers in MSMEs. Due to the technical nature of the work and lack of structured skilling programs, most women learn their skills on the job.

Many women feel intimidated by machinery and, due to a lack of skills, are reluctant to learn new ones. They believe roles like CNC machine operators suit younger women. Recently graduated women with science diplomas or degrees prefer jobs at OEMs for better working conditions compared to MSMEs.

While both men and women are typically employed on a contractual basis across both OEMs and MSMEs, women face heightened insecurity owing to existing entry barriers. While both women and men in similar roles often earn equal pay in OEMs, MSMEs exhibit significant wage disparities. A woman CNC operator with 10 years of experience will be paid Rs 9,000 in an MSME, while migrant male counterparts can earn up to Rs 12,000. 

With women represented across different levels of hierarchy, OEMs offer gender-responsive amenities to shopfloor workers, including access to HR personnel, comfortable work attire, primary healthcare services, creches and safer transportation options. In contrast, MSMEs offer facilities like subsidized or free housing only to migrant single men. Women who migrate with their families are typically expected to commute to work. 

While women are increasingly hired for shopfloor roles, they have fewer opportunities than men to advance to management and senior positions, which remain male-dominated in both OEMs and MSMEs. As they gain experience, women workers also prefer roles that are physically less demanding.

Career pathways for women 

Low-carbon transitions in the automotive sector present an opportunity to upgrade India’s automobile manufacturing while empowering women. To ensure this shift benefits women, key areas must be addressed, including skill development, policy support and equitable career pathways. 

Targeted upskilling programs, particularly in EV technologies, can equip women with future-ready skills. Inclusive workplace policies, such as ergonomic shopfloors, safe transportation and childcare facilities, are vital to creating a supportive environment. Robust social protections, including maternity benefits and flexible work arrangements, can help retain women in the workforce.

Additionally, gender-sensitive leadership development programs and mentorship initiatives can drive the way for women to advance into managerial and senior roles. Policymakers can further support this transition by incentivizing employers to promote gender diversity and providing financial assistance for women pursuing EV-related technical education. 

Together, these measures can ensure an inclusive and equitable automotive transition.

"Inputs received from Amitosh Gautam and Bhawna Ahuja from WRI India."

(Dr. Anjana Rajagopalan is the Manager within the Climate Resilience Practice programme at WRI India.)