How Do Workers Sustain COVID-induced Labour Market Shock: Evidence from the Indian State of Kerala

Author:

Refeque Muhammed1,Azad P.2ORCID,Sujathan P. K.3

Affiliation:

1. University of Madras, Chennai, Tamil Nadu, India.

2. Department of Economics, MES Kalladi College, Mannarkkad, Kerala, India.

3. Department of Economics, Government Victoria College, Palakkad, Kerala, India.

Abstract

This article is an empirical analysis of the resilience of workers over the COVID-hit labour market in the Indian state of Kerala. Quantile regression methods are used to ascertain the impact of COVID-19 on the labour market. This method is more advantageous than the traditional OLS method as it does not presume a constant effect of explanatory variables on the distribution of dependent variable. Evidences convey that all the five categories of workers under study were disproportionately buffeted by the pandemic. However, the factors education and experience were found to have a stabilising effect on the rate of labour market participation. The article pitches for a more responsive and responsible role that the State can deliver to embolden and reinforce human capital so that the pandemic like COVID-19 can at best be averted. JEL Codes: E24, H12, I15, J64

Publisher

SAGE Publications

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