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Journal Article
Geographical Wage Differentials in an Industry: The Case of Cotton Textiles in India
T. S. Papola
Indian Journal of Industrial Relations
Vol. 3, No. 1 (Jul., 1967), pp. 3-18
https://www.jstor.org/stable/27760718
Page Count: 16
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Topics: Wage differential, Textile industry, Wage rate, Cost of living, Industrial market, Productivity, Cost of living indices, Labor markets, Cotton textiles
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Abstract
This paper is concerned with the analysis of inter-area wage differentials in the cotton textile industry in India. The centres selected by the author are Ahmedabad, Bombay, and Kanpur. The author tries to explain the wage differentials among these centres in terms of the observed labour market characteristics of the industry, real wage levels, cost of living, productivity, and profitability. Using descriptive statistics, he finds that only the "real wage levels" is a significant factor in establishing differentials. As such, he foresees further widening of wage differentials on the assumption that the regional standards of living are also expected to behave likewise.
Indian Journal of Industrial Relations © 1967 Shri Ram Centre for Industrial Relations and Human Resources