Wage Differentials Among Reverse Migrants: Analyzing the Social Reproduction of Inequalities During the Post-COVID Recovery

Abstract

Income inequalities that have traditionally been high in India, witnessed a widening of the wedge as the pandemic struck. Interestingly, this wedge widened further as the recovery began, those in high income groups reverted to their original income levels while those in low income groups were left struggling at decreased wages. This paper is an attempt to examine if the post pandemic economic recovery mirrored the existing pattern of inequalities amongst various social groups. The study is based on a case study of a small town in the Raebareli district of Uttar Pradesh, and the data is collected from a primary survey of the migrants who had returned back to their home town in the aftermath of pandemic. Hypothesis tested is that the rate of recovery from pandemic-induced income loss is consistent among similarly skilled workers, regardless of their social group affiliation.The results indicate that the loss of income is not uniform across categories, and that it is more severe in case of vulnerable groups. We argue that if there is no affirmative action, the inequalities will keep reproducing themselves and become more severe after every shock that the economy faces.