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Compensating Wages for Occupational Risks of Farm Workers in India

Author

Listed:
  • P. Indira Devi

    () (Department of Agricultural Economics, College of Horticulture. Kerala Agricultural University, Thrissur)

  • K.R. Shanmugam

    () (Madras School of Economics)

  • M.G. Jayasree

    () (Research Associate, Department of Agricultural Economics, Kerala Agricultural University, Thrissur)

Abstract

Farm workers incur various occupational related risks. The question is whether they are adequately compensated for facing these risks? This paper attempts to measure the wage premiums that farm workers in India receive for health risks associated with their jobs, using a primary survey data collected from 282 farm workers who are pesticide applicators and 100 agricultural laborers who do not handle pesticide from Kerala in 2009-10 and the hedonic wage approach. Results indicate that the farm workers in India receive approximately an additional wage premium of Rs. 20 per hour for facing occupational health risks. Interestingly, the use of protecting gadgets reduces the risk of health damages that emphasizes the necessity of ensuring their usages.

Suggested Citation

  • P. Indira Devi & K.R. Shanmugam & M.G. Jayasree, 2012. "Compensating Wages for Occupational Risks of Farm Workers in India," Working Papers 2012-071, Madras School of Economics,Chennai,India.
  • Handle: RePEc:mad:wpaper:2012-071
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    More about this item

    Keywords

    Farm workers; Risk; Morbidity; Hedononic Wage Model;

    JEL classification:

    • J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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