2015
DOI: 10.1080/00220388.2014.983908
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Labour Contractors and Global Production Networks: The Case of India’s Auto Supply Chain

Abstract: Research on labour in global production networks has raised serious questions about the role played by labour contractors. This article uses a case study of automotive components production in north India to show how labour contractors assist firms to adapt to the rigours of competition in supply chains. We demonstrate that a regional contract labour system has enabled employers to keep wages low, increase firm flexibility, offload the burden of monitoring and controlling workers and undermine collective barga… Show more

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Cited by 27 publications
(22 citation statements)
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References 15 publications
(14 reference statements)
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“…In the NCR case, this process not only helps the employer increase profits by lowering costs, but is generally pursued to "manage industrial relations in an orderly manner" (Deshpande et al, 2004: 85). This trend is confirmed by Barnes, Lal Das and Pratap (2015), who show how the widespread adoption of a contract labour system in the NCR not only allows firms to reduce costs, but ultimately works as a strategy of labour control in which collective bargaining and trade union rights are frequently denied. Indeed, as it also emerges through our survey findings, we see the rooted practice of remunerating casual workers with wages much lower than those paid to their permanent counterparts (see Table 1).…”
Section: Figure 6: Contract Workers In Indian Organised Manufacturingsupporting
confidence: 50%
“…In the NCR case, this process not only helps the employer increase profits by lowering costs, but is generally pursued to "manage industrial relations in an orderly manner" (Deshpande et al, 2004: 85). This trend is confirmed by Barnes, Lal Das and Pratap (2015), who show how the widespread adoption of a contract labour system in the NCR not only allows firms to reduce costs, but ultimately works as a strategy of labour control in which collective bargaining and trade union rights are frequently denied. Indeed, as it also emerges through our survey findings, we see the rooted practice of remunerating casual workers with wages much lower than those paid to their permanent counterparts (see Table 1).…”
Section: Figure 6: Contract Workers In Indian Organised Manufacturingsupporting
confidence: 50%
“…Global estimates suggest that India has the highest levels of informal/informalized labour (ILO, ; ILO and WTO, ). Labour informalization is rampant, also inside factories or more ‘formal’ production spaces (Srivastava, ), and has quickly spread to a number of capital‐intensive industries, like cars (Barnes et al., ; Monaco, ) and steel (Parry, ). The Indian case confirms how labour informalization should be understood as a twofold process involving both the subsumption of informal economic activities into wider economic circuits, and the spread of informal labour relations across supposedly ‘formal’ production realms (NCEUS, ; Srivastava, , ).…”
Section: Non‐factory ‘Classes Of Labour’ In India: Multiple Forms Of mentioning
confidence: 99%
“…However, this clustering is more concentrated in a few areas than in China, partly because its domestic automotive market is less developed and also because of poor transport infrastructure in most parts of the country. The dominant clusters exist near Chennai, Tamil Nadu (southeast India); in the Chakan Special Economic Zone near Pune, Maharashtra (western India); and in the National Capital Region (NCR) surrounding New Delhi (Barnes et al, 2015).…”
Section: The Auto Industry Industry Policy and Institutions In Asia’mentioning
confidence: 99%