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Construction labour migrants and wage inequality in Kerala

Author

Listed:
  • Jajati K. Parida

    (Central University of Punjab)

  • Merry Elizabeth John

    (University of Limerick)

  • Justin Sunny

Abstract

This study explores the patterns and determinants of construction-led migration and measures the existing wage differential between migrant and native workers in Kerala using both secondary and primary data. While secondary data were compiled from Census and NSS migration surveys, primary data were collected from three districts of Kerala using a stratified random sampling method. It is found that the pattern of internal migration is changing in Kerala with a declining share of migrants from neighbouring states, along with the corresponding upsurge in the inflows from far-off states like West Bengal, Assam and Bihar. Though poverty and rising unemployment at the place of origin are the pushing factors, relatively higher wages and availability of employment throughout the years are the main pulling factors of in-migration to Kerala. Since a higher proportion of remittance is spent on basic necessities like food, clothing and housing consumptions, it has positive implication on poverty reduction at the origin states. However, it is noted that migrant workers, on the average, earn less than their non-migrants counterparts in Kerala. Given the importance of these low-skilled migrants in sustaining the long-term economic growth in Kerala, their poor and unhygienic living arrangements should also attract the attention of the policy makers.

Suggested Citation

  • Jajati K. Parida & Merry Elizabeth John & Justin Sunny, 2020. "Construction labour migrants and wage inequality in Kerala," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 22(2), pages 414-442, December.
    • Handle: RePEc:spr:jsecdv:v:22:y:2020:i:2:d:10.1007_s40847-020-00104-2
    DOI: 10.1007/s40847-020-00104-2
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    Cited by:

    1. Mohamed Saalim & Sobin George, 2021. "Determinants of Wage Differentials Among In-Migrant Workers: Insights from a Primary Study Conducted in Kozhikode District, Kerala, India," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 64(4), pages 981-997, December.
    2. Amrita Datta, 2020. "Circular Migration and Precarity: Perspectives from Rural Bihar," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 63(4), pages 1143-1163, December.
    3. Benoy Peter & Shachi Sanghvi & Vishnu Narendran, 2020. "Inclusion of Interstate Migrant Workers in Kerala and Lessons for India," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 63(4), pages 1065-1086, December.

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    More about this item

    Keywords

    In-migration; Construction sector; Wage differentials;
    All these keywords.

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • L74 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Construction
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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