With the nation’s eyes fixed on Bihar’s elections, it is hardly surprising that workers native to the state are making their way back home. An obvious win for democracy, the move back home has also shed light on just how much Bihari workers contribute to operations across India.
According to many experts, a prominent reason why so many Bihari workers are in their home state during the election is the event’s timing. With Diwali, Chathth and Elections, all three major days ended up being within a month of each other. A month that has led to a severe labour shortage in many states across India.
Delhi’s Labour Woes
According to many wedding organisers, each wedding in Delhi typically employs around 100-150 labourers, with half of them usually coming from Bihar. From catering to decorating, the demand for labour remains high, and yet the dwindling number of workers means increased costs.
Where the usual costs for labourers might have hovered around ₹1,000-1,200, it has now seemingly jumped to ₹1,800, with natives of Uttar Pradesh, Rajasthan, and West Bengal stepping up to close the gap.
The wedding industry in Delhi is not the only area facing a labour shortage. Small industries, as well as markets like Sadar, are facing delivery delays and workforce reductions, with approximately half of the usual labourers having returned to Bihar.
Other metro cities seem to be facing similar issues to Delhi. According to Bluspring Analysis, approximately 20-25% of domestic staff in Bengaluru are on leave.
Jobs such as e-commerce partners, logistics workers, auto drivers, manufacturing workers, and cab drivers are seeing a large number of people from these sectors return to Bihar.
Multi-State Upset
Across Gujarat, Punjab, Tamil Nadu, Maharashtra, and Delhi, there are about 75 lakh to 1 crore Bihari labourers. A significant number of these labourers are currently in Bihar for the elections, which has affected industries such as textiles, real estate, infrastructure, and other physically labour-intensive sectors.
Many industrialists continue to lament the severity with which the Bihar elections have impacted their production rate. Similarly, others remain worried that, after the elections, the labourers will return to their previous states of employment.
In this Bihar election, political leaders have made numerous promises, both in terms of financial strength and increased employment opportunities. This, many industrialists worry, might incentivise the Bihari workers to wait and look for opportunities closer to home. Some employers are even open to providing benefits, such as free train tickets and other perks, if only these workers decide to return.
Some of the already promised perks that might indeed increase employment opportunities within Bihar include the Bihar Industrial Investment Promotion Package (BIPPP-2025). As part of this scheme, industrialists and investors establishing businesses in Bihar will receive:
- Interest subvention of up to ₹40 crore.
- Reimbursement of net SGST (State Goods and Services Tax) up to 300% of the approved project cost for 14 years for new units.
- Capital subsidy of up to 30%.
- Export promotion of ₹40 lakh per year for a period of 14 years.
- Assistance for skill development, environmental protection, use of renewable energy, reimbursement of stamp duty and land conversion fees,
- Support for private industrial parks, patent registration and quality certification.
In the End…
Bihar’s election season will conclude on November 11, 2025, with the results to be announced on November 14, 2025. Will this mark a beginning for a new era for Bihari workers who may prefer working closer to home? How will this mass migration of workers affect the shape of India’s various industries?
Though often overlooked, India’s blue-collar workers form the backbone of the country’s various industries. The lack of locally available labourers in many states has led employers to depend on migrant workers. Should companies across India view the current labour shortage as a foreshadowing of what might come next?
