Table Of ContentTHE TRANSFORMATION
OF AN INDIAN LABOR MARKET
THE CASE OF PUNE
UNIVERSITY OF PENNSYLVANIA
STUDIES ON SOUTH ASIA
General Editor
Rosane Rocher
Board of Editors
Arjun Appadurai
Peter Gaeffke
Richard D. Lambert
Ludo Rocher
Franklin C. Southworth
Assistant Editor
David A. Utz
Volume 3
Richard D. Lambert
Ralph B. Ginsberg
Sarah J. Moore
The Transformation of an Indian Labor Market: The Case of Pune
THE TRANSFORMATION
OF AN INDIAN LABOR MARKET
THE CASE OF PUNE
by
RICHARD D. LAMBERT
Professor of Sociology
University of Pennsylvania
RALPH B. GINSBERG
Professor of Regional Science
University of Pennsylvania
SARAH J. MOORE
Data Analyst
Philadelphia, Pennsylvania
JOHN BENJAMINS PUBLISHING COMPANY
AMSTERDAM / PHILADELPHIA
1986
This series is published with a subvention of
the Department of South Asia Regional Studies,
University of Pennsylvania.
Library of Congress Cataloging in Publication Data
Lambert, Richard D.
The transformation of an Indian labor market.
(University of Pennsylvania studies on South Asia, ISSN 0169-0361; v. 3)
Bibliography: p.
Includes index.
I. Labor supply - India — Pune. 2. Labor and laboring classes -- India -- Pune. 3. Quality
of work life -- India - Pune. I. Ginsberg, Ralph B. II. Moore, Sarah J. III. Title. IV.
Series.
HD5820.P78L36 1986 331.11'0954'792 86-26900
ISBN 0-915027-63-1 (U.S.)/90 272 3383 7 (European) (alk. paper)
® Copyright 1986 - John Benjamins B.V.
No part of this book may be reproduced in any form, by print, photoprint, microfilm, or
any other means, without written permission from the publisher.
v
Table of Contents
List of Tables
Preface 1
Chapter I. The Problem and the Data 9
Data Sources (10) — Data Coverage and Analysis (15)
Chapter II. Leaving a Job in the Old Labor Market 19
Who Left and Why (24) — Separations Predicted by One Variable at a Time (27) ֊
Voluntary Versus Involuntary Departure (34) — Regression Analysis (46)
Chapter III. Getting Another Job in the Old Market 53
Leaving the Factory (53) - The Unemployed (56) - Time Until Next Job (57) ֊
Looking for a Job (58) — Who Was Hired First (60) — Residence and Job Changes
(64) - The Old Job and the New Job (68) - Leaving the Factory Sector (69) ֊ Non-
Factory Jobs (73) - Factory Jobs (75) - Skill Transfer (78) - Wages and Job
Change (85) - Interrelation of Job Change Features (89) - Subjective Job Com
parisons (90) — Summary of Old Labor Market (97)
Chapter IV. Applicants and Hired in the New Labor Market 100
Aggregate Supply and Demand (103) — Occupation-Specific Supply and Demand
(105) - The Geographic Domain of the Market (110) - The Growth of an
Educated Manpower Supply (116) — Applicants Without Job Experience (119) —
Experienced Applicants (124) — Occupational Inheritance (128) — Current Genera
tion Occupational Specificity (130) — Market Stratification by Jobs Applied for
(132) -Who Was Hired? (144) The Hired As Job Changers (154) — The Job Search
Among Those Hired (155) — Skill Transfer by Those Hired (159) — Wage Gains
(164) — Summary (165)
Chapter V. Job Changing in the New Market 169
The Volume of Turnover (170) - Why Workers Changed Jobs (172) — Discharged
Workers Versus Quits (176) - Who the Leavers Were (178) — Unemployment
(181) — Predictors of Unemployment (182) - Job Search Strategies (185) — Time
Between Jobs (187) — Localization of the Market (187) - Factory-to-Factory Re
employment (188) — Who Remained in the Factory Sector? (188) — Comparing
Jobs (191) — Skill Transfer (191) - Wage Changes (194) — Comparative Job
Satisfaction (196) — Interrelationships Among Job Change Features (201) —
Summary (202)
vi Transformation of an Indian Labor Market
Chapter VI. Summary and Conclusions 204
The Old and the New Market Compared (204) - Selectivity (207) - Caste (209) -
Education (210) — Migration History (211) - Age (212) - Sex (212) - Family
Characteristics (212) - Attitudes (214) — Last Job (214) - Job Search Strategies
(216)
Chapter VII. An Agenda for Future Research 218
Appendix A. A Note on Methods of Data Analysis 223
Logit Regression, Ordinary Least Squares, and Discriminant Analysis (224) —
Other Methods: Structures We Failed to Find (227)
Appendix B. Survey of Factory Labor in Pune, 1963-1964, Question- 233
naire
Appendix Applicant Questionnaire 241
Index
vii
Tables
Chapter I
1.1 1957 Study Sample 11
1.2 1963 Resurvey Sample 12
1.3 New Factory Sample of Leavers 13
1.4 Types of Applicants in New Factories 15
Chapter II
2.1 Temporary Workers in the Old Factories 20
2.2 Annual Cohort Attrition Rates per 100 by Factory, by Year 22
2.3 Mean Monthly Separations per 100 Workers by Industry in Pune, 23
All-India, United States
2.4 Quit Rates by Industry, Pune Samples (1957-63), All-India (1963), 23
United States (1963)
2.5 Variables Distinguishing Stayers and Leavers 28
2.6 Company/Worker Comparisons on Voluntariness 36
2.7 Primary Reasons for Separation 37
2.8 Predictions of Voluntary Departures, One Variable at a Time 40
2.9 Regressions on Voluntary Leaving 48
2.10 Principal Component Analysis of 1957 Job Satisfaction Items 49
(Loadings)
Chapter III
3.1 Final Pay at Departure 55
3.2 Additional Sources of Support 55
3.3 Time Taken to Find Job 58
3.4 Job Search Strategies for 1957 and New Jobs 59
3.5 Predictors of Long Job Search 61
3.6 Region of Residence at Resurvey Time 64
3.7 Size at Time of Resurvey of Places of Residence 65
3.8 Residential Propinquity and Job Change 66
3.9 Predictors of Finding a New Job Outside the Pune Area 67
3.10 Predictors of Getting Next Job in Factory 71
viii Transformation of an Indian Labor Market
3.11 Occupation in First Re-employment of Workers Moving Out of 73
Factory Sector
3.12 Size of Factory of First Employment 76
3.13 Industrial Class of Factory of First Re-employment 77
3.14 Similarity in Standard Industrial Classification of Old and Second 77
Factory
3.15 Entry Skill Level for Those Re-employed in Factories 79
3.16 Similarity of Next Job for Semi-skilled and Skilled Workers 81
3.17 Next Job of Semi-skilled and Skilled Workers 82
3.18 Predictors of Skill Transfer 83
3.19 Correlation of Departure Wage with New Job Wage (Unemployed 86
Excluded)
3.20 Predictors of Wage Gain in Next Job 88
3.21 Correlation Among Job Change Features 90
3.22 Comparison of Old and New Jobs 92
3.23 Rotated Factor Loadings of Job Comparison Dimensions 94
3.24 OLS Regression on Job Comparison Factors on Worker Character- 94
istics
3.25 OLS Regression Coefficients of Objective New Job Features for Sub- 96
jective Outcomes (Worker Characteristics Held Constant)
Chapter IV
4.1 Size, Quarterly Demand, Supply, and Hires for All Workers 104
4.2 Number Unskilled per Skilled and Semi-skilled Workers 105
4.3 Applicants and Hired by Occupational Class 107
4.4 Number of Non-Maharashtrian Applicants by Immediate Past Resi- 112
dence and by Residence at Time of Application
4.5 Migration for Jobs Among Non-Freshers 114
4.6 Comparison of Social and Background Characteristics 117
4.7 Institutions and Enrollees in Pune, 1951-52 and 1962-63 118
4.8 Comparison of Freshers with Non-Freshers 120
4.9 Occupation Applied for by Freshers and Non-Freshers 122
4.10 Proportion of Applicants Hired by Occupational Class For Freshers 122
and Non-Freshers
4.11 Hired and Not Hired Among the Freshers 123
4.12 Industrial Classification of Last Employment 126
4.13 Occupational Classification of Last Employment 126
4.14 Industry of Employment of Pune Males (1961) and Non-Fresher 127
Applicants
4.15 Occupations of Pune xMales (1961) and Non-Fresher Applicants 127
4.16 Comparison of Father's SOC with SOC of Last Job Among Non- 129
Freshers
4.17 Occupation of Last Job by Occupation of Job Applied for by Non- 131
Freshers Omitting Agriculturalists
4.18 Job Class Applied for: Non-Fresher Applicants 134
4.19 Comparison of White Collar with Blue Collar Applicants Among 137
the Non-Freshers
List of Tables ix
4.20 Comparison of Skilled and Semi-skilled Applicants with Unskilled і 3 9
Workers Among Non-Freshers
4.21 Comparison of Professional and Technical Applicants with Clerks 141
Among Non-Freshers
4.22 Characteristics of Hired Versus Not Hired Professional and Tech- 147
nical Non-Fresher Workers
4.23 Characteristics of Hired Versus Not Hired Skilled and Semi-Skilled 149
Non-Fresher Workers
4.24 Characteristics of Hired Versus Not Hired Unskilled Non-Fresher 151
Workers
4.2 5 Characteristics of Hired Versus Not Hired Among Clerk Non-Fresher 153
Workers
4.26 Predictors of Long Search Among Non-Freshers, Hired 157
4.27 Migration for Jobs Among Hired Non-Freshers 160
4.28 Predictors of Same or Similar SOC Among Non-Freshers Hired 162
4.29 Hired Non-Freshers Who Gained Wages 167
Chapter V
5.1 Mean Monthly Separation and Quit Rates per 100 Workers in 171
Sample Factories and in Maharashtra (January - April 1965)
5.2 Company and Worker Agreement on Reasons for Separation 173
5.3 Worker-Defined Quits As a Percent of Separations 174
5.4 Departure Reasons — All Leavers 175
5.5 Predictors of Involuntary Departure, New Factories 177
5.6 Comparison of Social and Family Background Characteristics in 179
the Old and New Factories
5.7 Comparison of Job Status Characteristics in the Old and New 181
Factories
5.8 Predictors of Re-employment, New Factory Leavers 183
5.9 Comparison of Job Search Strategies in the Old and New Factories 186
(Re-employed)
5.10 Predictors of Re-employment in Factory, New Factories 189
5.11 Comparison of Similarity of SOC in Job Exchanges in Old and New 192
Factories
5.12 Predictors of Skill Transfer, New Factories 193
5.13 Predictors of Wage Gain, New Factories 195
5.14 Comparison of Subjective Outcomes for Re-employed in the Old 197
and New Factories
5.15 Rotated Factor Loadings,. Job Comparison Items, New Factories 199
5.16 Predictors of Job Comparison Factor Scores (Ordinary Least Squares 200
Coefficients)
5.17 Correlations Among Job Outcome Variables 202
