WAGE DISCRIMINATION IN INDIA’S FORMAL AND INFORMAL LABOR MARKETS

Bhaskar Jyoti Neog () and Bimal Kishore Sahoo ()
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Bhaskar Jyoti Neog: Department of HSS, IIT Kharagpur, India
Bimal Kishore Sahoo: Department of HSS, IIT Kharagpur, India

The Singapore Economic Review (SER), 2023, vol. 68, issue 01, 243-263

Abstract: The study examines the extent of gender- and caste-based discrimination among the formally and informally employed in India using the National Sample Survey Office (NSSO) Employment-Unemployment Survey (EUS) data for the four major rounds from 1999–00 to 2011–12. Oaxaca-Blinder decomposition results corrected for self-selection show wage discrimination to be significantly higher in informal employment compared to the formally employed. Similarly, caste-based discrimination is found to be lower compared to gender-based discrimination. The quantile decomposition results show discrimination to vary across the quantiles. Our results highlight the need for better regulation of the informal labor market in India.

Keywords: Gender; caste; discrimination; decomposition; quantile; informal; regulation (search for similar items in EconPapers)
JEL-codes: J31 J38 J71 J78 (search for similar items in EconPapers)
Date: 2023
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DOI: 10.1142/S021759081950019X

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