Income Differentials between Migrant and Non-Migrant Informal Workers: A Study of Urban Odisha
Keywords:
Regional Migration, Informal Employment, Income DifferentialAbstract
This paper attempts to find out the income differentials between the migrant and non-migrant informal workers, and the same is explored with respect to gender. For this purpose, the present study collects household level primary data from the slum dwellers followed by a multi-stage stratified sampling method. The methods of analysis of variance and binary logistic regression model are employed to analyze the data. The migration status, living in the category of land, gender, social groups, type of employment, and the general education level have emerged as the main reasons for income differentials among migrant and non-migrant informal workers. The results show that the average income of migrants is higher than that of non-migrants, albeit the non-migrants enjoy relatively better living conditions, sanitary facilities, local unity, and job security than the migrants. Irrespective of the migration status, the study finds that there is a need for provisioning improvement in the area of basic facilities like health, education, and other social security in urban Odisha, India.
References
Angelov, N., & Waldenstrom, D. (2021, August 13). Income inequality during the Covid-19 pandemic. VoxEU.Org. Retrieved from https://voxeu.org/article/income
-inequality-during-covid-19-pandemic.
Anser, M.K., Yousaf, Z., Nassani, A.A., Alotaibi, S.M., Kabbani, A., & Zaman, K. (2020). Dynamic linkages between poverty, inequality, crime, and social expenditures in a panel of 16 countries: Two-step GMM estimation. Journal of Economic Structures, 09(43), 1-25.
Aspachs, O., Durante, R., Graziano, A., Mestres, J., Reynal-Querol, M., & Montalvo, J. G. (2021). Tracking the impact of Covid-19 on economic inequality at high frequency. Retrieved from https://doi.org/10.1371/journal.pone.0249121.
Baig, T.A., & Baig, M.A. (2009). Socio-economic and environmental aspects of migration: A case study of Cuttack slum dwellers. In M.S. Bhatt, S. Ashraf, & A. Illiyan (Eds.), Problems and Prospects of Environment Policy: Indian Perspective (pp. 447-472). New Delhi: Aakar Publication.
Barik, S., & Baig, M.A. (2018). Factors influencing migration: Reviews and empirical research. International Journal of Applied Social Science, 5, 738-756.
Banerjee, B. (1983). The role of the informal sector in migration process: A test of probabilistic migration models and labour market segmentation for India. Oxford Economic Papers, 35, 399-422.
Blinder, A.S. (1973). Wage discrimination: Reduced form and structural estimates. The Journal of Human Resources, 8, 436-455.
Breman, J. (1996). Footloose labour: Working in India's informal economy. Cambridge: Cambridge University Press.
Chen, T., Gozger, G., & Koo, C.K. (2021). Pandemics and income inequality: What do the data tell for the globalization era? Frontiers in Public Health, 9, 1-10.
Dabla-Norris, E., Kochhar, K., Suphaphiphat, N., Ricka, F., & Tsounta, E. (2015). Causes and consequences of income inequality: A global perspective. IMF Staff Discussion Note-SDN/15/13, 1-33. Retrieved from https://www.imf.org/external/
pubs/ft/sdn/2015/sdn1513.pdf
Datta, A. (2016). Migration, remittances and changing sources of income in rural Bihar (1999-2011): Some findings from longitudinal study. Economic & Political Weekly, 51, 39-45.
Ministry of Micro, Small & Medium Enterprises, Government of India. (2007). Report on Condition of Work and Promotion of Livelihoods in the Unorganised Sector. Retrieved from https://msme.gov.in/national-commission-enterprises-un-organised-sectornceus
Ministry of Finance, Government of India. (2021). Economics Survey 2020-21, Volume 1. Retrieved from https://www.indiabudget.gov.in/budget2021-22/economicsurvey/index.php
Ferreira, F.H.G. (2021). Inequality in the time of Covid-19, Finance & Development, IMF, 20-23. Retrieved from https://www.imf.org/external/pubs/ft/fandd/2021/06/pdf/
inequality-and-covid-19-ferreira.pdf
Hanushek, E.A., & Woessmann, L. (2020). The economic impacts of learning losses. OECD Education Working Papers No. 225.
Harris, J.R., & Todaro, M.P. (1970). Migration, unemployment and development: A two sector analysis. American Economic Review, 60, 126-142.
Himanshu. (2019). Inequality in India: A review of levels and trends. UNU-WIDER Working Paper No. 42/2019.
International Labour Organisation [ILO] (1999). Migrant Workers, Report No. III,1B). Retrieved from http://ilo.org/public/libdoc/ilo/P/09661(1999-87_1B).pdf
International Labour Organisation [ILO] (2013). Global Employment Trends 2013: Recovery from a second jobs dip. Retrieved from https://www.ilo.org/wcmsp5
/groups/public/---dgreports/---dcomm/---publ/documents/publication/wcms_202326.pdf.
International Labour Organisation [ILO] (2019). World Employment Social Outlook: Trend 2019. Retrieved from https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/---publ/documents/publication/wcms_670542.pdf
International Labour Organisation [ILO] (2020). Global Wage Report 2020-21: Wages and Minimum Wages in the Time of COVID-19. Retrieved from https://www.ilo.org/wcmsp5/
groups/public/---dgreports/---dcomm/---publ/documents/publication/wcms_762534.pdf
Jann, B. (2008). A stata implementation of the Blinder-Oaxaca decomposition. The Stata Journal, 8, 453-479.
Jha, M., & Lahoti, R. (2021, September 01). Covid-19: Impact on income inequality in India. Ideas for India. Retrieved from https://www.ideasforindia.in/topics/
poverty-inequality/covid-19-impact-on-income-inequality-in-india.html
Kundu, A., & Sarangi, N. (2007). Migration, employment status and poverty: An analysis across urban centres. Economic& Political Weekly, 42, 299-306.
Lewis, A. (1954). Economic development with unlimited supplies of labour. The Manchester School, 22(2), 139-191.
Loury, G.C. (1977). A dynamic theory of racial income differences. In P.A. Wallace, & A. Lamond (Eds.) Women, Minorities and Employment Discrimination (pp.153-188). Lexington: D.C. Heath and Company.
New poverty line: Rs 32 in village, Rs 47 in cities. (2014, July 14). The Times of India. Retrieved from https://timesofindia.indiatimes.com/india/New-poverty-line-Rs-32-in-villages-Rs-47-in-cities/articleshowprint/37920441.cms.
Oaxaca, R.L. (1973). Male-female wage differentials in urban labour markets. International Economic Review, 14, 693-709.
Oaxaca, R., & Ransom, M.R. (1994). On discrimination and the decomposition of wage differentials. Journal of Econometrics, 61, 5-21.
Padhi, B., Mishra, U.S., & Pattanayak,U. (2019). Gender-based wage discrimination in Indian urban labour market: An assessment. The Indian Journal of Labour Economics, 62, 361-388.
Perez, E.R., Benavides, F.G., Levecque, K., Love, J.G., Felt, E., & Rossem, R.V. (2012). Difference in working conditions and employment arrangements among migrants and non-migrants in Europe. Ethnicity & Health, 17, 563-577.
Ramaswamy, K.V. (2013). Wages of unorganized sector workers in India: What NSS survey data can tell us?. The Indian Journal of Industrial Relations, 48, 438-449.
Sharif, M. (2000). Inverted “S”- The complete neoclassical labour-supply function. International Labour Review, 139, 409-435.
Tan, A.X., Hinman, J.A., Magid, H.S.A., Nelson, L.M., & Odden, M.C. (2021). Association between income inequality and country-level Covid-19 cases and deaths in the US. JAMA Network Open.
Todaro, M. P. (1969). A model of labour migration and urban unemployment in less developed countries. American Economic Review, 59, 138-148.
Todaro, M. P. (1976). Migration and economic development: A review of theory, evidence, methodology and research priorities. Occasional Working Paper No. 18. Nairobi: Institute for Development Studies, University of Nairobi. Retrieved from https://opendocs.ids.ac.uk/opendocs/handle/20.500.12413/791
United Nations (2020). World Economic Situation and Prospects 2020. Retrieved from https://www.un.org/development/desa/dpad/wp-content/uploads/sites/45/WESP2020_
FullReport.pdf
Vo, D.H., Nguyen, T.C., Tran, N.P., & Vo, A.T. (2019). What factors affect income inequality and economic growth in middle-income countries? Journal of Risk and Financial Management, 12(1), 40.
Downloads
Published
How to Cite
Issue
Section
License
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
