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Determinants of inequality in Indian regular wage employment, 1993–2012
Author(s) -
ME Rahul
Publication year - 2021
Publication title -
international labour review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.433
H-Index - 46
eISSN - 1564-913X
pISSN - 0020-7780
DOI - 10.1111/ilr.12198
Subject(s) - workforce , inequality , wage inequality , economics , labour economics , wage , public sector , demographic economics , economic inequality , economic growth , economy , mathematical analysis , mathematics
Abstract Through the use of decomposition exercises, this article estimates the relative contributions of different factors to inequality among Indian regular wage employees between 1993/94 and 2011/12. It also estimates the contributions of returns to factors and shares of factors determining inequality. The author finds that the single largest contributor among the regular wage workforce in India is access to higher education. However, institutional factors such as union membership and employment in the public sector also play important roles, indicating that inequality cannot be simply reduced to demographic or technical factors, but must also take into account the institutional structure of an economy.