The effects of international scrutiny on manufacturing workers : evidence from the Rana Plaza Collapse in Bangladesh
Laurent Bossavie, Yoonyoung Cho, Rachel Heath
After the tragic factory collapse of Rana Plaza in 2013, the direct reforms and indirect responses of retailers have both plausibly affected workers in the ready-made garment sector in Bangladesh. These reforms include a minimum wage increase, high profile but voluntary audits, and an increased reluctance to subcontract to smaller factories. This paper uses six rounds of the Labor Force Survey and adopts a difference-in-difference approach to evaluate the net effects of these changes on garment workers, compared with workers in other manufacturing industries and other plausible control groups. Although employers appear to have increased sick leave and some measures of safety at work, they simultaneously have reduced job security in the form of written contracts. The study also finds that, a few years after Rana Plaza, average hourly wages have fallen significantly for female workers. The results suggest that regulations that are initially aimed at helping workers can have unintended adverse effects on several dimensions of workers' outcomes
Year of publication: |
November 2019
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Authors: | Bossavie, Laurent ; Cho, Yoonyoung ; Heath, Rachel |
Publisher: |
[Washington, DC, USA] : World Bank Group, Social Protection and Jobs Global Practice |
Subject: | Garment sector reforms | minimum wage | working conditions | gender | Bangladesch | Bangladesh | Arbeitsbedingungen | Working conditions | Mindestlohn | Minimum wage | Bekleidungsindustrie | Clothing industry | Lohnstruktur | Wage structure | Industrie | Manufacturing industries |
Saved in:
Online Resource
Extent: | 1 Online-Ressource (circa 47 Seiten) Illustrationen |
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Series: | Policy research working paper : WPS. - Washington, DC : [Verlag nicht ermittelbar], ZDB-ID 2304170-5. - Vol. 9065 |
Type of publication: | Book / Working Paper |
Type of publication (narrower categories): | Graue Literatur ; Non-commercial literature ; Arbeitspapier ; Working Paper |
Language: | English |
Other identifiers: | 10.1596/1813-9450-9065 [DOI] |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10012167924