Step 1 - What home-based work means:
Home-based work is production carried out inside the worker's own house rather than in a factory. It is a major part of the unorganised sector and employs a very large number of women and children.
Step 2 - Example - the lace industry of Narsapur:
In Narsapur in Andhra Pradesh, thousands of women make lace at home. The work is organised through a chain of merchants and agents.
Step 3 - How the chain works:
The merchant supplies the raw material, usually thread, to an agent. The agent distributes it among women in the villages and collects the finished lace from them. The merchant then exports the product or sells it in city markets.
Step 4 - Conditions of the workers:
The women work long hours in their own homes, often along with household duties. They are paid by the piece, and the rate is extremely low. They have no fixed working hours, no job security, no leave and no social benefits.
Step 5 - Why the system suits the employer:
The employer does not have to provide a factory building, machinery, electricity or supervision. He also escapes labour laws, since the workers are not treated as employees. Work can be increased or stopped according to demand.
Step 6 - Social significance:
Such work allows women to earn while staying at home, and their income supports the family. But because the work is invisible and scattered, the women cannot organise or bargain, and their contribution is rarely recognised as real employment.
Other examples of home-based work include beedi rolling, agarbatti making, papad making, zari and embroidery work, and the assembling of small electronic parts.