Regulation and Non-Compliance : Magnitudes and Patterns for India's Factories Act
Non-compliance with regulations by enterprises is said to be rife in developing countries. Yet there is limited systematic evidence of the magnitude of non-compliance at the enterprise level. Making innovative use of two complementary data sources,...
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| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2013/12/18741044/regulation-non-compliance-magnitudes-patterns-indias-factories-act http://hdl.handle.net/10986/16717 |
| Summary: | Non-compliance with regulations by
enterprises is said to be rife in developing countries. Yet
there is limited systematic evidence of the magnitude of
non-compliance at the enterprise level. Making innovative
use of two complementary data sources, non-compliance for
India's Factories Act has been quantified without the
question of illegality ever being raised directly with
enterprises. It is found that more than twice as many firms
are not complying as are complying. Further, the number of
non-compliant firms is much larger than the number of firms
adjusting out of the regulation. Thus non-compliance with
the Factories is a key feature of the "missing
middle" in India. The main trends and patterns of
non-compliance are explored herein and key issues for
further analytical and policy research are highlighted. |
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