Cities with higher manufacturing share in employment lag on wages
New Delhi, July 1 -- Manufacturing growth is one of India's most cherished and elusive economic goals. Why can't India nail it? A new report released by the National Statistics Office, preliminary findings of which were covered in HT yesterday, re-emphasise an important insight on the problem. India's million plus cities show a reasonable negative correlation between share of manufacturing employment and hourly wage rate for salaried workers.
Simply speaking, it means that cities which have a higher share of manufacturing employment tend to have hourly lower wage rates for their salaried workers. Why does this result matter as far as India's lack of manufacturing prowess is concerned?
Manufacturing has the highest share of salaried workers ...
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