Problems and Prospects of Informal Manufacturing Sector: A Case Study of Durgapur City

Even in presence of a dominant factory sector, informal manufacturing sector can play a very vital role in shaping the development profile of a region through its diverse interaction and complementarities with the organised sector. This paper, based on a field survey at the industrial city of Durgapur explores the problems and prospects of informal manufacturing units therein. A gradual shift in composition of this sector is evident, which is mainly in response to changing economic scenario of the region. Appropriate policies for the sector's optimum development should include, among others, well co-ordinated formal-informal linkage and streamlining of credit availability. These steps are likely to bring about integrated development of the region.Informal Sector; Regional Development; Unorganised Manufacturing

The Changing World of Work and No-Work

Inadequate utilisation of available manpower is a perennial problem in India, with Open Unemployment (OU) being a major evil. Two other issues that have often been sidelined are Lack of Regular employment (Underemployment or Semi-Open Unemployment SOU), and Lack of Adequate Returns from jobs (incidence of poverty among more or less regular workers or Non-Employment NE). The present paper explores both National and Regional aspects of these issues, their trends and patterns, and also their various correlates. Four NSSO Surveys (1983-84, 1987-88, 1993-94, 1999-2000) are considered. This enables us to consider movements during 1993-99 as Post-Reform trends. The results indicate increased casualisation and polarisation of workforce in the post-reforms era. These are also closely associated with socio-economic inequality and decline in living standards. Policies like growth impetus, flexible technology, infrastructural expansion and public expenditure programme will go a long way in solving these problems.Employment; Labour; Poverty; Disguised Unemployment; Non-employment

Productivity in the Small Manufacturing Enterprises: Determinants and Policy Issues

The role of Micro and Small Enterprises (MSEs) in employment creation is widely acknowledged. But their contribution to national income is questioned because of their low productivity. The present paper tries to identify important determinants of productivity level in Small Manufacturing Enterprises (SMEs) and suggest appropriate policies for augmenting productivity levels therein. Factors like technology, access to resources and inputs, general macroeconomic atmosphere, etc. emerge as important determinants of productivity. A close association between productivity levels and emolument per worker is also observed. Policies for proper development of these enterprises should include technological upgradation, better access to land ownership and formal credit system, improvement of general economic condition of the states, ensuring remunerative wages and better working conditions etc. For best results, a targeted approach is recommended and for that Focus groups, both at National and State level, have been identified. A co-ordinated approach is the need of the hour.Productivity; Micro-enterprises; Total Factor Productivity; Technology

Women's Education in India: Trends, Interlinkages and Policy Issues

Education is the basic requirement and the 'Fundamental Right' of the citizens of a nation. While Higher Education is important, the Elementary Education system serves as the base over which the Super-structure of the whole education system is built up. This paper tries to analyse the trends, patterns and interacting factors affecting the quantitative and qualitative aspects of School Education System in India in recent years with a special focus on Women's education. It is observed that complete Literacy has not been achieved and this has far reaching socio-economic impacts. Enrolments in schools have improved substantially in recent years but the Retention rates are poor, and only a fraction of enrolled students completes even the Primary classes. Completion of Middle and Secondary levels are still lower. Substantial Gender-bias in both access to, and completion of education is a major cause of concern. Wide regional variation exists even within this sub-standard performance of the Basic Education system. While few states have performed moderately, others have done abysmally, and continue to do so. Factors like poverty, presence of a wide child-labour market, absence of assured employment after schooling, and infrastructural problems are identified as responsible for the ills plaguing the elementary education system in India. Providing incentives for attending schools, making the schooling process attractive to the children, streamlining the middle and high school curriculum to make it more vocational and job-oriented, and providing better infrastructure for the schools are some of the policies likely to improve the scenario.Education; Elementary Education; Gender-Gap; Regional Pattern

A Research Note on the Linkage between Poverty and Child Labour in India

Throughout the world child labour has been an area of lively debate for about a decade with many different viewpoints on the issue. It is argued that in developing countries with poverty, inequality, social norms, credit-land-labour market imperfections, high fertility and unpredictable employment scenario, children are sent to work in most cases by their parents. The inherent factors responsible for this especially the role of poverty is examined in this research note.Child Labour; Poverty; India

Changing Role of Women: A Study of Small Manufacturing Enterprises in India

Women's position in the labour market is quite vulnerable and they face widespread discrimination, especially in the informal sector. This position is changing, both quantitatively and qualitatively, and there is a marked trend towards feminisation of workforce. This paper focuses on this changing position of women in the informal manufacturing sector in India over the 1989-2000 period. The share of women in total employment is declining in the sectors traditionally labeled for women and increasing in the non-traditional sectors. Distribution of women employment is becoming more evenly spread across both activity groups and regions. Widespread casualisation emerges to be a prominent phenomenon. Poverty, literacy and per capita income are identified as important determinants of incidence of women employment. In recent years women's participation seems to be less distress driven. Regulations regarding minimum wage, mass literacy campaign along with vocational and on the job training are some of the policy suggestions.Employment; India; Informal Sector; Regional Pattern; Unorganised Manufacturing; Women

Reducing out of school children in India: lessons from a micro study

Throughout the world ensuring formal education to all children has been an area of lively debate for about a decade with many different viewpoints on the issue. Sadly, Universalisation of Elementary Education is still a distant prospect in substantial parts of the globe, including India. Under such circumstances, Sarva Shiksha Abhiyan (SSA) was launched in India in 2001 to extend useful and quality elementary education to all children in the age group of 6-14 years before the end of 2010. It has been able to bring the children to school but has failed to retain them and high incidence of drop out emerges to be the most critical problem facing the Indian education scenerio. The present paper explores the trends in school drop out, reasons behind leaving schools, how programmes and policies have fared in reducing school drop-out, and how to make these policies more effective. To bring to light factors that push children out of school and thereby suggest policies, we have undertaken a Field Survey in selected rural areas of West Bengal. Low level of income emerges to be the most crucial factor responsible for the incidence of out of school children. Other factors include insufficient educational infrastructure, lucrative earning opportunities for the children, lack of consciousness among the parents etc. It seems that time has come to refocus and reorient the operation of SSA, transforming it from an infrastructure based approach to a facilitating approach. A targeted approach should be taken whereby different policies should be formed for retention of different age-groups of children in schools. The gender and regional dimension should also be taken into consideration and policies must reflect local socio-economic conditions. A concerted approach with economic growth, poverty eradication and expansion of elementary education going hand in hand is the need of the hour.Education; Elementary Education; Out of School Children;

Regional Disparities in Wage Employment Dynamics: A Decade of Economic Reforms in India

Employment creation and wage security have been primary goals of developing countries both from a national and a regional perspective. The present paper analyses the wage-employment scenario in India in the post-reform period with special emphasis on the regional dimension. The workforce structure is exhibiting upward mobility across wage classes, moving towards regular employment, and shifting in favour of tertiary sector jobs – the pace decelerating in the second half of the study period. There is a shift of middle wage level jobs from regular to casual employment, leading to declining inequality among casual workers and increased inequality among regulars. However, availability of mandays is decreasing, especially among casual workers. At the regional level, employment opportunities are getting narrowed down in the high income states but those who are employed are getting better remuneration. On the other hand, in the low income states, number of wage workers is rising but earning per worker is going down. Increasing disparity between workers of High and Low Income States, and between Regular & Casual workers are concerns that need to be addressed. Creating more mandays of work in the high income states and facilitating capacity building through education and skill formation in the low income states should be the policy focus.Employment; Wages; Reforms; India;

Educational Attainment in India: Trends, Patterns and Policy Issues

Education is the basic requirement and the ‘Fundamental Right' of the citizens of a nation. While Higher Education is important, the Elementary Education system serves as the base over which the Super-structure of the whole education system is built up. This paper tries to analyse the trends, patterns and interacting factors affecting the quantitative and qualitative aspects of School Education System in India in recent years. It is observed that complete Literacy has not been achieved and this has far reaching socio-economic impacts. Enrolments in schools have improved substantially in recent years but the Retention rates are poor, and only a fraction of enrolled students completes even the Primary classes. Completion of Middle and Secondary levels are still lower. Substantial Gender-bias in both access to, and completion of education is a major cause of concern. Wide regional variation exists even within this sub-standard performance of the Basic Education system. While few states have performed moderately, others have done abysmally, and continue to do so. Factors like poverty, presence of a wide child-labour market, absence of assured employment after schooling, and infrastructural problems are identified as responsible for the ills plaguing the elementary education system in India. Providing incentives for attending schools, making the schooling process attractive to the children, streamlining the middle and high school curriculum to make it more vocational and job-oriented, and providing better infrastructure for the schools are some of the policies likely to improve the scenario.Education; Elementary Education; Gender-Gap; Regional Pattern

Informal Manufacturing Sector in India: Pre and Post Reform Growth Dynamics

The informal manufacturing sector (IMS) in India has been a major part of the economy. Whether its growth is due to entry of people in distress, or whether it is a vibrant and growth oriented sector is debatable. In this paper, the growth dynamics of IMS in India over the period 1984 to 2000 is explored with special reference to the Structural Adjustment Programme (SAP) and plausible factors determining the growth pattern are sought to be identified. This growth is observed to be neither smooth nor uniform. The IMS cannot be labelled either a distress driven sink or a dynamic alternative economic avenue in blanket term as existence of both the segments are detected. While sustainability of the distress driven segment is questionable, the dynamic segment is likely to act as the engine of future growth. Distinctly different sets of policies are recommended for the two different segments of IMS.Informal Sector; Regional Development; Unorganised Manufacturing