Research

Abstract: I assess the impact of Special Economic Zones established in India between 2006-18 on the gender gap in employment at the local level. Comparing outcomes in between districts where zones became operational with those where they at least reached the approval stage, I find that SEZs reduced gaps in both employment and job quality, even after controlling for south/north location of SEZs. Districts hosting manufacturing SEZs are likely to experience a larger impact. The study contributes to the literature that discusses the role of demand-side economic policies in reducing gender-based labour-market inequalities in a setting where cultural barriers against female labour-force participation are high. 

Abstract: In 2014, the state of Rajasthan in India passed significant labour-law amendments, spearheading labour reforms in India. It increased size-based thresholds for the applicability of employment protection and factory registration provisions such that many firms will no longer remain in their coverage. This paper uses cross-sectional labour force survey data from 2009-20 to investigate the impact of these reforms on the incidences of paid employment, unemployment, as well as, formal and temporary employment of workers. A robust finding is that the reforms increased substitution of permanent workers for temporary, without any corresponding change in paid employment. Reforms that reduced restrictions on hiring of temporary workers drove the increase in share of temporary employment. On the other hand, reforms that reduced workplace safety requirements and restrictions on firing permanent workers had little effect.