Extreme Heat Crisis Threatens India’s Informal Workers as Billions in Wages Are Lost Annually

Extreme Heat Crisis Threatens India’s Informal Workers as Billions in Wages Are Lost Annually

A new IIED study reveals how extreme heat is damaging India’s informal workforce, causing billions in wage losses, serious health risks and declining productivity. Workers in construction, garment and other sectors face unsafe conditions, limited protection and growing climate-related challenges requiring urgent policy action and workplace reforms.

Extreme heat is emerging as a severe threat to India’s informal workforce, with millions of workers facing declining productivity, health risks and income losses due to rising temperatures. A study by the International Institute for Environment and Development (IIED), a London-based think-tank, has revealed that workers in sectors such as construction, brick-making, garment manufacturing and food packaging are struggling under harsh working conditions with limited access to shade, cooling facilities, rest periods and drinking water.

The IIED study, conducted with local organisations, surveyed around 540 households of informal workers in Ajmer, Delhi and Agra. Most of the surveyed workers had migrated from rural areas in search of employment opportunities. The findings highlighted that many workers continue to work long hours in extreme heat while facing inadequate workplace facilities, including a shortage of toilets for women.

The challenges continue beyond workplaces, as many workers return to makeshift shelters or overcrowded rooms with poor ventilation and limited cooling options. For several families, even a single fan provides little relief from rising temperatures.

According to the survey, outdoor workers lose approximately 24 working days every year due to extreme heat, resulting in a loss of nearly one-tenth of their annual earnings. Indoor workers lose around 15 working days annually. Along with income losses, workers are increasingly facing health problems including heat exhaustion, psychological stress and kidney damage caused by repeated dehydration.

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IIED researchers estimated that if the survey findings are applied nationwide, the combined impact of declining productivity and kidney-related illnesses could result in annual wage losses of around billion.

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Among those affected is 45-year-old Vishram Meena from Alwar in Rajasthan, who has worked at construction sites in Ajmer for more than a decade. He regularly spends 10 to 12 hours a day carrying construction materials and mixing cement under direct sunlight.

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In May 2024, during one of the hottest days, Meena collapsed after experiencing dizziness and a nosebleed. His wife and colleagues took him to a hospital, where doctors diagnosed him with heat stroke. Despite the health risk, he returned to construction work because his family depends on his income.

“I went back because what else could I do? We are not machines. We are human beings. The heat is killing us slowly,” Meena was quoted as saying in a report on the survey findings.

Workers Describe ‘Victorian-Era’ Conditions

Ritu Bharadwaj, IIED’s Director of Climate Resilience, Finance and Loss and Damage, described several accounts shared by workers about their experiences with extreme heat as deeply alarming.

Kusum, a tailor working at a garment manufacturing and export unit in Kapashera, Delhi, explained that machines used for ironing finished garments operate in the same small room where workers stitch clothes. The combination of steam, hot air and poor ventilation creates unbearable conditions throughout her shift.

She said fans are positioned too far apart to provide effective air circulation and that working conditions have remained unchanged for more than a decade. According to her, the unit becomes like a furnace during summer months.

“These are Victorian-era working conditions and they’re completely unacceptable in the 21st century,” Bharadwaj said.

She called for stronger social protection measures from the government, including financial support for workers who lose wages because they are unable to work during extreme heat. She also recommended micro-insurance schemes with payments triggered by temperature levels.

Such financial assistance would help vulnerable families purchase food and cover medical expenses when their earnings decline due to heat-related illnesses or reduced working hours.

Bharadwaj said the objective of the IIED study was to draw policymakers’ attention to the economic damage caused by extreme heat in India, where economic growth increasingly depends on service-based industries. She warned that if workers become unable to continue working due to heat-related illnesses, economic growth could also suffer.

“Whether policymakers care about the workers or not, at least they would care about the GDP, and therefore then invest in the care that is needed for them,” she said during a webinar presenting the research.

Labour Reforms Do Not Address Heat Protection

Bharadwaj pointed out that India’s 2026 labour law reform, which brought several regulations together under one code, does not include specific protections against heat-related risks for workers. She also noted that the law applies only to businesses above a certain size.

She urged the government to establish a temperature threshold beyond which workers would have the right to stop work activities without losing their income or employment security.

IIED and its partner organisations have also conducted a similar study in Bangladesh, which is expected to be published later this month. The research reportedly indicates that extreme heat is costing Bangladesh’s workforce an amount equivalent to nearly 1.4% of its GDP.

Shakirul Islam, Chairperson of the Ovibashi Karmi Unnayan Program (OKUP) in Bangladesh, said the government introduced stronger workplace safety regulations for garment companies after the Rana Plaza complex collapse in 2013. However, he said these rules are rarely implemented, particularly by smaller subcontractors.

He added that existing worker welfare centres are mostly open during working hours, making them difficult for workers to access. Some companies provide saline water to reduce heat stress, but such measures may not be suitable for workers with high blood pressure.

Archana Shukla Mukherjee, Chief Executive Officer of India’s Change Alliance, which partnered with IIED for the survey, said governments and businesses must be held accountable for addressing the growing impact of extreme heat on workers.

She said employee state insurance schemes should recognise heat stroke as an occupational disease, while companies across supply chains should introduce heat protection measures covering informal workers and migrant labourers.

She emphasised that if available support systems fail to reach the most vulnerable and marginalised workers, existing mechanisms are not serving their intended purpose.

The IIED study highlights the growing economic and humanitarian consequences of extreme heat on India’s informal workforce. As temperatures continue to rise, the findings underline the urgent need for stronger workplace protections, financial support systems and effective policies to safeguard millions of workers whose livelihoods depend on outdoor and heat-exposed occupations.

 

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