Question:

Differentiate between organized and unorganized sectors.

Updated On: Dec 22, 2024
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Solution and Explanation

The organized and unorganized sectors are two categories of employment based on working conditions and legal framework.
Difference Between Organized and Unorganized Sectors:

AspectOrganized SectorUnorganized Sector
DefinitionEnterprises that are registered and follow government rules and regulations.Enterprises that are not registered and operate on a small scale without government rules.
Working HoursFixed working hours with proper breaks.Irregular working hours with long durations.
WagesSalaries are fixed and regular, with additional benefits like PF, insurance, etc.Wages are low and often irregular with no benefits.
Job SecurityEmployees have job security and protection under labor laws.No job security; workers can be dismissed at any time.
ExamplesGovernment offices, factories, schools, and registered companies.Small shops, daily wage labor, agriculture, and household services.
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