abstract: 'India''s disappointing performance in creating productive employment for

  women, in spite of its increased integration with the world markets,

  contrasts with the experience of several countries in Asia. A number of

  studies have analysed the supply and demand side factors responsible for

  this situation. However, no study has examined the gender differences in

  job flows - job creation, destruction and reallocation. Net employment

  changes may conceal large changes in gross job flows and the associated

  adjustment costs. Using plant level panel data from India''s formal

  manufacturing sector for the period 1998-2014, this paper estimates the

  magnitude of job flows and analyses the impact of industry-level changes

  in exchange rates on job flow dynamics of men and women across

  state-industries. Even as net employment grew sluggishly for women, we

  find that, the labour market was characterised by a simultaneous process

  of job destruction and creation. Our analysis provides evidence for an

  asymmetric impact of exchange rates on job flows, with depreciation

  (appreciation) resulting in higher (lower) gross job creation rates with

  no effect on job destruction rates. Exchange rate depreciation results

  in higher gross and net job creation rates for both men and women in

  states with flexible labour laws. In states with inflexible labour laws,

  however, depreciation causes an increase in gross job creation for women

  (but not for men) with no effect on net job creation. Exchange rate

  depreciation also causes women to face higher job reallocation than men,

  particularly in states with inflexible labour laws. Participation in

  global value chains and output tariff reductions are found to exacerbate

  the effects of exchange rate changes on women''s job flows. Firms

  operating under rigid labour market conditions tend to employ female

  workers as a `buffer'' to adjust the workforce in response to short term

  fluctuations in export competitiveness. (C) 2021 Elsevier Ltd. All

  rights reserved.'
affiliation: 'Veeramani, C (Corresponding Author), Indira Gandhi Inst Dev Res, Gen
  AK Vaidya Marg, Mumbai 400065, Maharashtra, India.

  Veeramani, Choorikkad, Indira Gandhi Inst Dev Res, Gen AK Vaidya Marg, Mumbai 400065,
  Maharashtra, India.

  Reserve Bank India, RBI Cent Off, Shaheed Bhagat Singh Marg, Mumbai 400001, Maharashtra,
  India.'
article-number: '105802'
author: Veeramani, Choorikkad and Banerjee, Purna
author-email: 'veeramani@igidr.ac.in

  purnabanerjee@rbi.org.in'
author_list:
- family: Veeramani
  given: Choorikkad
- family: Banerjee
  given: Purna
da: '2023-09-28'
doi: 10.1016/j.worlddev.2021.105802
earlyaccessdate: JAN 2022
eissn: 1873-5991
files: []
issn: 0305-750X
journal: WORLD DEVELOPMENT
keywords: Job flows; Exchange rate; Competitiveness; Women; India
keywords-plus: 'FORCE PARTICIPATION; FEMALE LABOR; EMPLOYMENT RESPONSES; WAGE

  INEQUALITY; WOMENS WORK; TRADE; LIBERALIZATION; INSTITUTIONS;

  REGULATIONS; DESTRUCTION'
language: English
month: APR
number-of-cited-references: '93'
papis_id: 88d84f4b0f15f509d8b9c36668fd2474
ref: Veeramani2022exchangerate
times-cited: '0'
title: 'Exchange rate fluctuations, labour laws, and gender differences in job flows:
  Analysis of manufacturing industries across Indian states'
type: article
unique-id: WOS:000820602100024
usage-count-last-180-days: '1'
usage-count-since-2013: '8'
volume: '152'
web-of-science-categories: Development Studies; Economics
year: '2022'