What does it mean when employers shift from hiring workers on a 'permanent' basis to hiring them on a 'temporary' or 'flexible' basis, and what are two specific consequences this shift has for the workers?
Generated by claude-sonnet-4-6 · 2026-06-26 13:29 · grounding rag
Model Answer
When employers shift from permanent to temporary/flexible hiring, it means workers are employed only for short periods during peak work seasons, rather than throughout the year. This is done to reduce labour costs for the company.
Two consequences for workers:
- No job security or benefits — Workers lose entitlements such as health insurance, provident fund, and paid overtime that permanent employees receive.
- Low wages and long working hours — Workers earn less and are forced to work overtime, including night shifts, just to meet basic needs.
Source: Globalisation and the Indian Economy, Chapter 4 — Competition and Uncertain Employment; Impact of Globalisation in India.
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Explanation
- The question directly maps to the textbook's discussion of garment workers (Sushila's case) and the government's labour law flexibility for attracting foreign investment.
- Examiners expect you to define the shift first (1 mark), then give two distinct, specific consequences (1 mark each).
- Don't write vague points like "workers suffer" — name the actual consequences: loss of benefits, low wages/long hours.
- Sushila's example is perfect supporting detail but keep it brief at 3 marks — one sentence reference is enough.