“Amita is a regular worker in a private firm that employs twelve hired workers.” Is she working in the formal/informal sector? Give valid reasons in support of your answer.
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Firms with more than 10 employees are classified under the formal sector, providing workers with regulated benefits.
Amita is working in the formal sector because:
The firm employs more than 10 workers, qualifying as a formal establishment.
Formal sector workers receive social security benefits and work under legal provisions.