Government inspectors and ‘ethical’ buyers: regulating labour in Moradabad's metalware industry

Abstract

This paper is based on fieldwork for a doctoral thesis on the metalware cluster of Moradabad, Uttar Pradesh. I present two different ways by which labour standards are regulated in the city: first by the state labour administration and second, by the market of global buyers implementing codes of conduct. In the context of debate over state versus market-based and voluntary regulation, I discuss the text of each regulatory regime and how this is interpreted, used, subverted and applied in the city's export firms. I show how enforcement of laws and corporate ‘ethical’ codes is undermined not only by limited capacity to survey units deep inside the city, but also by the incentives of enforcement agents. The regulatory regime of the state is revealed to be morally ambivalent, where justice for workers depends on patronage inside the labour department, and on an opaque and complex legal code which keeps employers vulnerable to inspector harassment. By contrast, the regulatory regime of the market is shown to be morally incoherent, where code compliance officers are sidelined by their commercial colleagues and efforts to establish ‘ethical’ purchasing practices are routinely undermined by the imperative to fast-feed goods onto the shelves of retail giants.