ABSTRACT

In this chapter, the author examines the impact of flexible production for the global market on the labour market structure in the cotton knitwear industry in Tiruppur. The cotton knitwear cluster in Tiruppur in southern India is one such cluster that has been often highlighted for its remarkable performance on the export front. Clusters of small firms specializing in various stages of production for an industry are seen as possible engines of industrial growth in peripheral economies. The industry in the pre-export phase largely employed labour from Tiruppur and migrants from the neighbouring villages whom we characterize as 'local labour'. The cotton knitwear industry in Tiruppur is held to be an exception wherein workers are believed to enjoy good remuneration and work conditions including use of multiple skills and possibilities of vertical mobility. This study was undertaken to examine these aspects of the labour market in Tiruppur.