Skip to main content

Rate of growth of real wages of rural workers in Gujarat slower than most states, suggests study by ex-ILO scholar

By Rajiv Shah
Close on the heels of the latest National Sample Survey Organization (NSSO) data having revealed that average wages paid both in organized and unorganized sectors in Gujarat are one of the lowest in the country (click HERE for the report), a new study has found that the rise wages in the state has remained dormant for nearly a decade. Carried out by AV Jose, formerly with the International Labour Organisation's permanent secretariat in Geneva, and now associated with the Centre for Development Studies, Thiruvananthapuram, the study, titled “Changes in Wages and Earnings of Rural Labourers” has found that an average male worker in Gujarat who earned Rs 100 in 2001, earned Rs 114 in 2010, while the average female worker who earned Rs 100 in 2001, earned Rs 119 in 2010.
Significantly, the comparative figures the top scholar has culled out for the country as a whole suggest that the average male worker who earned Rs 100 in 2001, earned Rs 132 per cent in 2010, and the average female worker who earned Rs 100 in 2001, earned Rs 139 in 2010. For the sake of calculating the real wages, Jose has considered 1999-2000 as the base year with the nominal value of Rs 100, and indices have in turn been divided by the corresponding Consumer Price Index Numbers for Agricultural Labourers (ALCPI), in order to derive the index numbers of real wages. This has helped him show how much has the actual purchasing power of the wage earners in the country’s rural areas have risen.
The scholar’s calculations also show that the per annum rate of growth of the real wages in Gujarat has gone down over the decade under study. Thus, it was 3.54 per cent per annum rise for male workers and 2.69 per cent rise for female workers between 1988 and 2000. However, the respective figures for the decade that followed, 2001-2010, are 1.37 per cent for male workers and 1.74 per cent for female workers. The all-India figures suggest an opposite trend. The female workers’ wages rose in the country as a whole by 2.11 per cent during 1988-2000, and the male workers’ wages in the country rose by 2.68 per cent during this period. As against this, in the next decade, 2001-2010, the male workers’ wages rose by 2.82 per cent and female workers’ wages rose by 3.31 per cent.
No doubt, Jose’s calculations suggest that the female workers’ wages rose at a higher rate -- both in Gujarat and in India -- than male workers’ wages. But this is because there has been a concerted effort to bring a parity between male and female wages across the country, and there was a greater awareness on this score, too. However, the scholar underlines, “Workers in many of the low wage states, in particular the women workers, experienced faster rates of growth in real wages. Such differential growth has probably led to greater divergence of wages as indicated by the standard deviation values among those states. Nonetheless, these changes have not been sufficient to bring about any perceptible decline in wage disparities between men and women in rural areas.”
Ranking the 14 states which he has taken for his analysis for wages, the scholar has found that for male workers Gujarat ranked 11th and 8th for female workers in the year 2010. The ranking on both these scores for Gujarat has gone down -- it was 8th for male workers and 6th for female workers in 2001. Kerala was found to be the top ranking state whether it was 2001 or 2010. The scholar says, “The top five states in terms of wage rates for men – Kerala, Haryana, Punjab, Tamil Nadu and Rajasthan – have kept their positions among themselves more or less intact. At the other end, with lower wages from the bottom are Madhya Pradesh, Odisha, Bihar, Maharashtra, and intermittently Gujarat and West Bengal. Andhra Pradesh remains an exception among the states for having climbed out of the low wage group for men and women over the years.” 

Comments

TRENDING

Gujarat's high profile GIFT city 'fails to attract' funds, India's FinTech investment dips

By Rajiv Shah  While the Narendra Modi government may have gone out of the way to promote the Gujarat International Finance Tec-City (GIFT City), sought to be developed as India’s formidable financial technology hub off the state capital Gandhinagar, just 20 km from Ahmedabad, a recent report , prepared by Tracxn Technologies suggests that neither of the two cities figure in the list of top FinTech funding receiving centres.

A Hindu alternative to Valentine's Day? 'Shiv-Parvati was first love marriage in Universe'

By Rajiv Shah*   The other day, I was searching on Google a quote on Maha Shivratri which I wanted to send to someone, a confirmed Shiv Bhakt, quite close to me -- with an underlying message to act positively instead of being negative. On top of the search, I chanced upon an article in, imagine!, a Nashik Corporation site which offered me something very unusual. 

Why Ramdev, vaccine producing pharma companies and government are all at fault

By Colin Gonsalves*  It was perhaps Ramdev’s closeness to government which made him over-confident. According to reports he promoted a cure for Covid, thus directly contravening various provisions of The Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954. Persons convicted of such offences may not get away with a mere apology and would suffer imprisonment.

Malayalam movie Aadujeevitham: Unrealistic, disservice to pastoralists

By Rosamma Thomas*  The Malayalam movie 'Aadujeevitham' (Goat Life), currently screening in movie theatres in Kerala, has received positive reviews and was featured also on the website of the British Broadcasting Corporation. The story is based on a 2008 novel by Benyamin, and relates the real-life story of a job-seeker from Kerala tricked into working in slave conditions in a goat farm in Saudi Arabia.

Decade long Modi rule 'undermines' people's welfare and democracy

By Ram Puniyani*  Modi has many ploys up his sleeves when it comes to propaganda. On one hand he is turning many a pronouncements of Congress in the communal direction, on the other he is claiming that whatever has been achieved during last ten years of his rule is phenomenal, but it is still a ‘trailer’ and the bigger things are in the offing as he claims to be coming to power yet again in 2024. While his admirers are ga ga about his achievements, the truth lies somewhere else.

Belgian report alleges MNC Etex responsible for asbestos pollution in Madhya Pradesh town Kymore: COP's Geneva meet

By Our Representative A comprehensive Belgian report has held MNC Etex , into construction business and one of the richest, responsible for asbestos pollution in Kymore, an industrial town in in Katni district of Madhya Pradesh. The report provides evidence from the ground on how Kymore’s dust even today is “annoying… it creeps into your clothes, you have to cough it”, saying “It can be deadly.”

Plagued by opportunism, adventurism, tailism, Left 'doesn't matter' in India

By Harsh Thakor*  2024 elections are starting when India appears to be on the verge of turning proto-fascist. The Hindutva saffron brigade has penetrated in every sphere of Indian life, every social order, destroying and undermining the very fabric of the Constitution.

Can universal basic income help usher in sustainable egalitarianism in India?

By Prof RR Prasad*  The ongoing debate on application of Article 39(b) in the Supreme Court on redistribution of community material resources to subserve common good and for ushering in an egalitarian society has opened new vistas wherein possible available alternative solutions could be explored.

Press freedom? 28 journalists killed since 2014, nine currently in jail

By Kirity Roy*  On the eve of the Press Freedom Day on 3rd of May, the Banglar Manabadhikar Suraksha Mancha (MASUM) shared its anxiety with the broader civil society platforms as the situation of freedom of any form of expression became grimmer in India day by day. This day was intended to raise awareness on the importance of freedom of press and to pay tribute to pressmen who lost their lives in the line of duty.

Ahmedabad's Muslim ghetto voters 'denied' right to exercise franchise?

By Tanushree Gangopadhyay*  Sections of Gujarat Muslims, with a population of 10 per cent of the State, have been allegedly denied their rights to exercise their franchise in the Juhapura area of Ahmedabad.