Groundwater has long acted as an invisible employer in rural India, silently supporting millions of days of casual agricultural work. But as water tables fall across large parts of the country, this hidden source of employment is disappearing, triggering a growing labour crisis alongside an ecological one. New field evidence and academic research show that declining access to groundwater is directly linked to sharp drops in casual farm employment, hitting the most vulnerable rural workers the hardest.
For decades, groundwater has been treated as a private resource, pumped freely to irrigate fields and sustain multiple cropping cycles. This steady water supply expanded agricultural activity and extended farming seasons, creating regular demand for casual labour during sowing, transplanting and harvesting. As wells dry up or pumping becomes too expensive, farmers are forced to cut back irrigation, reduce cropped areas or shift to less labour-intensive crops. The immediate outcome is fewer working days for daily wage labourers and rising underemployment in villages.
Official data highlights the scale of the problem. According to the Central Ground Water Board’s Dynamic Ground Water Resources of India 2024 report, annual groundwater recharge stands at around 448.5 billion cubic metres, while extraction is close to 247.2 billion cubic metres. These national figures mask deep local distress. Block-level assessments from 2023 show that about 11 per cent of India’s groundwater units are already over-exploited, extracting more water than they can naturally recharge, with many others categorised as critical or semi-critical.
This matters deeply for rural livelihoods. The Periodic Labour Force Survey for 2022–23 shows that nearly one in four rural workers depends on casual employment, much of it tied to agriculture. Groundwater-fed irrigation has historically sustained this labour demand. When water access declines, the agricultural calendar shrinks, directly reducing hiring opportunities and pushing workers towards migration or prolonged joblessness.
Research from across the country confirms this pattern. Studies from drought-prone regions such as Purulia, Marathwada, Vidarbha and Bundelkhand document clear declines in casual agricultural employment following reduced groundwater availability. Academic analyses published between 2023 and 2024, using long-term irrigation and labour data, show that falling groundwater levels translate into fewer labour days and weaker rural economies.
The loss of groundwater is therefore not just an environmental issue but a labour market shock unfolding quietly beneath the surface. As this invisible employer retreats, the burden falls on those already living on the edge of economic security. Without urgent action to manage groundwater sustainably and support alternative sources of rural employment, India risks deepening both water stress and rural distress at the same time.