Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka

The end of the Multi-fiber Arrangement/Agreement on Textiles and Clothing in 2005 was a major policy change that affected the allocation of global apparel productions well as the lives of workers involved in this sector. Since the apparel industry is often the major female employer in developing cou...

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Main Authors:	Savchenko, Yevgeniya, Lopez Acevedo, Gladys
Format:	Policy Research Working Paper
Language:	English
Published:	World Bank, Washington, DC 2012
Subjects:	ACCOUNTING APPAREL APPAREL EXPORT APPAREL EXPORTS APPAREL INDUSTRIES APPAREL INDUSTRY APPAREL MANUFACTURING APPAREL SECTOR APPAREL TRADE AVERAGE WAGES BONUSES CHILD LABOR COLLECTIVE BARGAINING COMPETITIVE PRESSURE CONSTRUCTION ECONOMICS EMPLOYEE EMPLOYMENT EMPLOYMENT LEVELS EMPLOYMENT SHARE EMPLOYMENT STATUS EMPLOYMENT TRENDS EXPORT GROWTH EXPORT VOLUMES EXPORTS FOREIGN INVESTMENT FOREIGN INVESTOR FOREIGN INVESTORS FULL EMPLOYMENT HAZARDOUS WORK HOURS OF WORK HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS IMPORT PRICES INCOME INDUSTRY WAGE INDUSTRY WAGE DIFFERENTIALS INFORMAL LABOR MARKET INSURANCE INTERNATIONAL TRADE JOBS LABOR COSTS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR STANDARDS LABOUR LONG-RUN EFFECT MALE WORKERS MANUFACTURING INDUSTRY MANUFACTURING WAGES MARKET SHARE MARKET SHARES MOTIVATION OCCUPATION OVERTIME OVERTIME WORK PRODUCTIVITY SAFEGUARDS SOCIAL BENEFITS TOTAL EMPLOYMENT TOTAL LABOR FORCE TRADE AGREEMENTS TRADE LIBERALIZATION TRADE UNIONS UNEMPLOYMENT WAGE DIFFERENTIAL WAGE EFFECTS WAGE GAP WAGE INEQUALITY WAGE LEVELS WAGE PREMIUM WAGE PREMIUMS WAGE RATE WAGE STRUCTURE WAGES WOMEN WORKERS WORK ENVIRONMENT WORK IN PROGRESS WORKER WORKING WORKING CONDITION WORKING CONDITIONS WORKING HOURS WORKPLACE WORLD TRADE WORLD TRADE ORGANIZATION
Online Access:	http://documents.worldbank.org/curated/en/2012/05/16258530/female-wages-apparel-industry-post-mfa-cases-cambodia-sri-lanka http://hdl.handle.net/10986/9343

id	okr-10986-9343
recordtype	oai_dc
spelling	okr-10986-93432021-04-23T14:02:44Z Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka Savchenko, Yevgeniya Lopez Acevedo, Gladys ACCOUNTING APPAREL APPAREL EXPORT APPAREL EXPORTS APPAREL INDUSTRIES APPAREL INDUSTRY APPAREL MANUFACTURING APPAREL SECTOR APPAREL TRADE AVERAGE WAGES BONUSES CHILD LABOR COLLECTIVE BARGAINING COMPETITIVE PRESSURE CONSTRUCTION ECONOMICS EMPLOYEE EMPLOYMENT EMPLOYMENT LEVELS EMPLOYMENT SHARE EMPLOYMENT STATUS EMPLOYMENT TRENDS EXPORT GROWTH EXPORT VOLUMES EXPORTS FOREIGN INVESTMENT FOREIGN INVESTOR FOREIGN INVESTORS FULL EMPLOYMENT HAZARDOUS WORK HOURS OF WORK HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS IMPORT PRICES INCOME INDUSTRY WAGE INDUSTRY WAGE DIFFERENTIALS INFORMAL LABOR MARKET INSURANCE INTERNATIONAL TRADE JOBS LABOR COSTS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR STANDARDS LABOUR LONG-RUN EFFECT MALE WORKERS MANUFACTURING INDUSTRY MANUFACTURING WAGES MARKET SHARE MARKET SHARES MOTIVATION OCCUPATION OVERTIME OVERTIME WORK PRODUCTIVITY SAFEGUARDS SOCIAL BENEFITS TOTAL EMPLOYMENT TOTAL LABOR FORCE TRADE AGREEMENTS TRADE LIBERALIZATION TRADE UNIONS UNEMPLOYMENT WAGE DIFFERENTIAL WAGE EFFECTS WAGE GAP WAGE INEQUALITY WAGE LEVELS WAGE PREMIUM WAGE PREMIUMS WAGE RATE WAGE STRUCTURE WAGES WOMEN WORKERS WORK ENVIRONMENT WORK IN PROGRESS WORKER WORKING WORKING CONDITION WORKING CONDITIONS WORKING HOURS WORKPLACE WORLD TRADE WORLD TRADE ORGANIZATION The end of the Multi-fiber Arrangement/Agreement on Textiles and Clothing in 2005 was a major policy change that affected the allocation of global apparel productions well as the lives of workers involved in this sector. Since the apparel industry is often the major female employer in developing countries, this policy change was expected to have major implications for women. This paper analyzes the wages and working conditions of women in the apparel sector in Cambodia and Sri Lanka following the phase-out the Multi-fibre Arrangement. In both countries, apparel is a major source of exports, and women constitute 70 to 80 percent of the workers employed in the apparel industry. The paper finds that after the removal of the Multi-fibre Arrangement, apparel prices declined as a result of the increased competition. The theoretical model suggests that a decrease in prices would lead to a decrease in apparel wage premiums relative to other industries in the short run and the widening of the male-female wage gap in the long run. The empirical findings support these theoretical predictions. Wage premiums in the apparel sector relative to other industries went down post-Multi-fibre Arrangement in Cambodia and Sri Lanka and the male-female wage gap increased. The paper finds mixed results in terms of working conditions in Cambodia and Sri Lanka. 2012-06-29T21:29:50Z 2012-06-29T21:29:50Z 2012-05 http://documents.worldbank.org/curated/en/2012/05/16258530/female-wages-apparel-industry-post-mfa-cases-cambodia-sri-lanka http://hdl.handle.net/10986/9343 English Policy Research Working Paper; No. 6061 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research South Asia East Asia and Pacific Cambodia
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English
topic	ACCOUNTING APPAREL APPAREL EXPORT APPAREL EXPORTS APPAREL INDUSTRIES APPAREL INDUSTRY APPAREL MANUFACTURING APPAREL SECTOR APPAREL TRADE AVERAGE WAGES BONUSES CHILD LABOR COLLECTIVE BARGAINING COMPETITIVE PRESSURE CONSTRUCTION ECONOMICS EMPLOYEE EMPLOYMENT EMPLOYMENT LEVELS EMPLOYMENT SHARE EMPLOYMENT STATUS EMPLOYMENT TRENDS EXPORT GROWTH EXPORT VOLUMES EXPORTS FOREIGN INVESTMENT FOREIGN INVESTOR FOREIGN INVESTORS FULL EMPLOYMENT HAZARDOUS WORK HOURS OF WORK HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS IMPORT PRICES INCOME INDUSTRY WAGE INDUSTRY WAGE DIFFERENTIALS INFORMAL LABOR MARKET INSURANCE INTERNATIONAL TRADE JOBS LABOR COSTS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR STANDARDS LABOUR LONG-RUN EFFECT MALE WORKERS MANUFACTURING INDUSTRY MANUFACTURING WAGES MARKET SHARE MARKET SHARES MOTIVATION OCCUPATION OVERTIME OVERTIME WORK PRODUCTIVITY SAFEGUARDS SOCIAL BENEFITS TOTAL EMPLOYMENT TOTAL LABOR FORCE TRADE AGREEMENTS TRADE LIBERALIZATION TRADE UNIONS UNEMPLOYMENT WAGE DIFFERENTIAL WAGE EFFECTS WAGE GAP WAGE INEQUALITY WAGE LEVELS WAGE PREMIUM WAGE PREMIUMS WAGE RATE WAGE STRUCTURE WAGES WOMEN WORKERS WORK ENVIRONMENT WORK IN PROGRESS WORKER WORKING WORKING CONDITION WORKING CONDITIONS WORKING HOURS WORKPLACE WORLD TRADE WORLD TRADE ORGANIZATION
spellingShingle	ACCOUNTING APPAREL APPAREL EXPORT APPAREL EXPORTS APPAREL INDUSTRIES APPAREL INDUSTRY APPAREL MANUFACTURING APPAREL SECTOR APPAREL TRADE AVERAGE WAGES BONUSES CHILD LABOR COLLECTIVE BARGAINING COMPETITIVE PRESSURE CONSTRUCTION ECONOMICS EMPLOYEE EMPLOYMENT EMPLOYMENT LEVELS EMPLOYMENT SHARE EMPLOYMENT STATUS EMPLOYMENT TRENDS EXPORT GROWTH EXPORT VOLUMES EXPORTS FOREIGN INVESTMENT FOREIGN INVESTOR FOREIGN INVESTORS FULL EMPLOYMENT HAZARDOUS WORK HOURS OF WORK HOUSEHOLD CHARACTERISTICS HOUSEHOLD INCOME HOUSEHOLD SURVEY HOUSEHOLD SURVEYS IMPORT PRICES INCOME INDUSTRY WAGE INDUSTRY WAGE DIFFERENTIALS INFORMAL LABOR MARKET INSURANCE INTERNATIONAL TRADE JOBS LABOR COSTS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR STANDARDS LABOUR LONG-RUN EFFECT MALE WORKERS MANUFACTURING INDUSTRY MANUFACTURING WAGES MARKET SHARE MARKET SHARES MOTIVATION OCCUPATION OVERTIME OVERTIME WORK PRODUCTIVITY SAFEGUARDS SOCIAL BENEFITS TOTAL EMPLOYMENT TOTAL LABOR FORCE TRADE AGREEMENTS TRADE LIBERALIZATION TRADE UNIONS UNEMPLOYMENT WAGE DIFFERENTIAL WAGE EFFECTS WAGE GAP WAGE INEQUALITY WAGE LEVELS WAGE PREMIUM WAGE PREMIUMS WAGE RATE WAGE STRUCTURE WAGES WOMEN WORKERS WORK ENVIRONMENT WORK IN PROGRESS WORKER WORKING WORKING CONDITION WORKING CONDITIONS WORKING HOURS WORKPLACE WORLD TRADE WORLD TRADE ORGANIZATION Savchenko, Yevgeniya Lopez Acevedo, Gladys Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
geographic_facet	South Asia East Asia and Pacific Cambodia
relation	Policy Research Working Paper; No. 6061
description	The end of the Multi-fiber Arrangement/Agreement on Textiles and Clothing in 2005 was a major policy change that affected the allocation of global apparel productions well as the lives of workers involved in this sector. Since the apparel industry is often the major female employer in developing countries, this policy change was expected to have major implications for women. This paper analyzes the wages and working conditions of women in the apparel sector in Cambodia and Sri Lanka following the phase-out the Multi-fibre Arrangement. In both countries, apparel is a major source of exports, and women constitute 70 to 80 percent of the workers employed in the apparel industry. The paper finds that after the removal of the Multi-fibre Arrangement, apparel prices declined as a result of the increased competition. The theoretical model suggests that a decrease in prices would lead to a decrease in apparel wage premiums relative to other industries in the short run and the widening of the male-female wage gap in the long run. The empirical findings support these theoretical predictions. Wage premiums in the apparel sector relative to other industries went down post-Multi-fibre Arrangement in Cambodia and Sri Lanka and the male-female wage gap increased. The paper finds mixed results in terms of working conditions in Cambodia and Sri Lanka.
format	Publications & Research :: Policy Research Working Paper
author	Savchenko, Yevgeniya Lopez Acevedo, Gladys
author_facet	Savchenko, Yevgeniya Lopez Acevedo, Gladys
author_sort	Savchenko, Yevgeniya
title	Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
title_short	Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
title_full	Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
title_fullStr	Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
title_full_unstemmed	Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka
title_sort	female wages in the apparel industry post-mfa : the cases of cambodia and sri lanka
publisher	World Bank, Washington, DC
publishDate	2012
url	http://documents.worldbank.org/curated/en/2012/05/16258530/female-wages-apparel-industry-post-mfa-cases-cambodia-sri-lanka http://hdl.handle.net/10986/9343
_version_	1764409205667659776

Female Wages in the Apparel Industry Post-MFA : The Cases of Cambodia and Sri Lanka

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