The role of age structure and occupational choices in the Indian labour market

Purpose This study aims to identify the role of age structure in occupational choices and the classification of the occupations based on the age structure of individuals in the Indian labour market. Design/methodology/approach This study uses the first Periodic Labour Force Survey, 2017-18. The occupational classifications are based on the standardised scores for age groups and their occupations. Further, a multinomial logistic regression model has been used to estimate social and economic factors in determining the age-based occupational classifications. Findings The authors found age structure an essential factor in determining occupational choices. Hence, occupations in the Indian labour market have been grouped into seven categories, accordingly. In addition, social and economic factors of individuals and households do have a significant influence on the selection of age-based occupational classifications. Research limitations/implications The study is limited to the occupational classification based on the age structure of individuals without any industry effects. The findings suggest that policymakers must adopt occupation-specific policies considering the age structure of individuals. Originality/value Earlier studies are limited to the dynamics of age either on the basis of specific age groups (younger or older) or on the industrial classification in a disaggregated way. They also lack a rich approach in analysing the occupational classification considering age structure, especially in the Indian labour market. The study adds value when the role of age structure is identified in occupational choices in the Indian labour market, and hence, a novel classification of occupations into seven categories is proposed.