1. International Referred Reseach Journal,February,2011 ISSN-0975-3486 RNI: RAJBIL 2009/300097 VOL-I *ISSUE 17
Research Paper—Economics
IMPACT OF NEP ON SAVING OF SMALL SCALE
INDUSTRIAL WORKERS
February, 2011 * Dr.Nalawade A.S.
* Asst. Prof. Shankarrao Mohite Mahavidyalaya, Akluj (M.S.)
INTRODUCTION expenditure on one hand propensity to save on the
The present research paper “Impact of NEP on saving other hand. The reforms had affected both the income
of small scale Industrial workers” tries to explain the and expenditure pattern during the period under study.
impact of NEP on Saving of small Scale Industrial As consequence of which the saving are also get
workers with special references to Kolhapur M.I. D.C. affected. The impact of reforms on savings of different
The process of economic reforms has created pressure types of workers can be explained as below.
of competition in the industrial sector. The producers Level of skill and Monthly Saving of Sample Workers
and sellers were required to reduce the price. It created Table No. 1 shows the level of skill and monthly saving
pressure on profitability. This has resulted into shifting of the sample workers. We get following conclision
the burden. The large scale industry shifted the burden from the Table No. 1
on small scale sector, which was further shifted on 1. The monthly avarage saving for all workers was Rs.
workers. The policy makers were aware about this 216.25 in 1990-91, which increased Rs.452.40 in
danger. The workers have paid the price of the reforms 1995-96 which implies that the average saving increase
in terms of loss of employment, income and job security. by 109.20 percent in 1990-91 to 1995-96. The average
Therefore in the present paper. I try to measure saving reached to Rs.588.67 in 2000-01, which means it
this impact in terms of Saving of small scale industrial increased by 30.12 percent during the period 1995-96 to
workers. 2000-01. The average saving of sample workers
OBJECTIVE OF THE STUDY increased by 172.21 percent over the period under
The main objective of the present research paper is to study. See table No.1
study the impact of NEP on Saving of small scale 2. In the case of skilled workers the average monthly
industrial workers. saving was Rs.300.51 in 1990-91, which w e n t
METHODOLOGY upto Rs.682.01 in 1995-96 and further to Rs.883.04 in
The present research paper based on the primary data. 2000-01.This shows that for the skilled workers the
The primary data collected from the sample workers increase of monthly average saving was 126.95 percent
by using structural questionnaire. This sample drawn in the first half and 29.47 percent in the second half.,
on the basis of stratified sampling method. which gives overall increase of 193.84 percent over the
METHODOLOGY FOR SAMPLE SELECTION period under study.
First, I have collected data regarding the total number 3.In the case of semi skilled workers the average monthly
of firms in the year 2001. There were 1010 firms. However, saving was Rs.224.84 in 1990-91, which went upto
the total number of workers in all these units was not Rs.488.91 in 1995-96 and Rs.654.12 in 2000-01. This shows
available. Hence, I have selected 10 percent of the firms an increase of 117.44 percent for the period 1990-91 to
for detail study. This makes 101 firms as sample. In the 1995-96 and 33.79 percent for 1995-96 to 2000-01.This
selected sample firms, the number of total workers was shows an increase of 190.92 percent over the period
1009. I have selected 30 per cent of the sample. So the under study.
size of sample workers is On the basis of level of skill 4.In the case of unskilled workers the average monthly
the workers, it was observed that there were 289 skilled saving was Rs.147.64 in 1990-91, Rs.254.78 in 1995-96
workers, 323 semi skilled and 397 unskilled workers. I and Rs.320.12 in 2000-01. the saving of unskilled work-
selected 30 percent from every group, which ers increased by 72.56 percent in the the first half of 25.64
resulted in the selection of 87 skilled workers, 97 semi percent in the second half. This gives a total increase
skilled and 119 unskilled workers. of 116.82 percent over the period under study.
Economic Reforms and its Impact on Monthly Average 5.The trends regrading the monthly average saving
Saving of the Sample Workers shows that saving of the sample workers get affected
The saving of a family depends on the income and the more adversely in the second half as compared to first
4 R E S E A R C H A N A L Y S I S A N D E V A L U A T I O N

2. International Referred Reseach Journal,February,2011 ISSN-0975-3486 RNI: RAJBIL 2009/300097 VOL-I *ISSUE 17
Table No. 1 Skillwise Monthly Average Saving of Sample Workers
1990-91 1995-96 2000-01
Types of Monthly Standard Monthly Standard Monthly Standard
Workers Average deviation Average deviation Average deviation
Saving Saving Saving
Skilled 300.51 131.36 682.36 797.57 883.04 357.36
workers
Semi-skilled 224.84 125.76 488.91 222.93 654.12 349.13
Workers
Unskilled 147.64 119.29 254.78 167.20 320.12 260.88
Workers
Total 216.25 139.37 452.40 488.74 588.67 395.55
Workers
Growth Rate
% change % change % change
in 1990-91 in 1995-96 in 1990-91
to 1995-96 to 2000-01 to 2000-01
126.95 29.47 193.84
117.44 33.79 190.92
72.56 25.64 116.82
109.20 30.12 172.21
Source: Complied from the primary data.
half.
6. Standard deviation for the monthly saving decreased skilled, semi skilled and unskilled workers increased
as the skill of the workers decreases. This implies that during the period under study but it get adversely
the disparity in the saving is higher for the skilled work- affected in the second half as compared to first half. It
ers followed by skilled and unskilled workers. was also observed that saving inequality of skilled,
Conclusion : semi skilled as well as unskilled workers increased over
The trends regrading the monthly average saving for the period under study.
R E S E A R C H A N A L Y S I S A N D E V A L U A T I O N 5