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LATEST NEWS UPDATES | Quotas do not hurt efficiency, says study -Rukmini S

Quotas do not hurt efficiency, says study -Rukmini S

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published Published on Feb 5, 2015   modified Modified on Feb 5, 2015
-The Hindu

It measured impact of reservation on productivity in Railways

A first-of-its-kind study of the impact of reservations in public sector jobs on productivity and efficiency has shown that the affirmative action did not reduce productivity in any sector, but had, in fact, raised it in some areas.

In the pioneering study, Ashwini Deshpande, Professor at the Delhi School of Economics, and Thomas Weisskopf, Professor of Economics at the University of Michigan, measured the impact of reservation for Scheduled Castes (SCs) and Scheduled Tribes (STs) on productivity and efficiency in the Indian Railways between 1980 and 2002. The study was published in the World Development journal.

The Indian Railways is the world's largest employer where affirmative action applies, Ms. Deshpande said. It employs between 1.3 and 1.4 million people at four levels of employment - Group A to Group D, with Group A employees being the senior-most. There is 15 per cent reservation for the SCs and 7.5 per cent reservation for the STs at all levels, with additional reservation for Other Backward Classes (OBCs). The study looked at SC and ST employees in Group A and B only, since people from marginalised backgrounds would have been unlikely to reach high levels of employment without reservation.

Since an individual's impact on productivity is impossible to estimate, Ms. Deshpande and Mr. Weisskopf compared zones and periods of time with higher numbers of SC and ST employees with those with lower numbers, keeping other variables constant. They found no negative impact on productivity and efficiency in any area, and some positive effects in some areas of work.


The Hindu, 5 February, 2015, http://www.thehindu.com/news/national/quotas-do-not-hurt-efficiency-says-study/article6857563.ece


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