The Myth of Meritocracy and Caste-Based Disparities in India’s IT Sector

• The IT sector, contributing over 7% to India’s GDP, is often seen as a model of skill-based meritocracy and inclusivity.

• NSSO data reveals stark caste-based disparities in employment probabilities and wage earnings in the IT industry.

• Scheduled Castes and Scheduled Tribes (ST) are only 10% likely to be engaged in the IT sector compared to upper castes (27%).

• The disparity in employment probabilities has increased from 2011-12 to 2020-21, with lower caste groups facing a deficit from 11% in 2011-12 to 17% in 2020-21.

• Lower caste groups face labour segmentation, reflected in caste-based disparities in wage earnings.

• Gender inequality is a significant issue, with female workers in IT earning 26.2% lower than males, irrespective of their caste.

• Policy steps include publicly disclosing workforce diversity matrix, providing greater incentives and training for lower-caste entrepreneurs, and bridging the skill gap among marginalized sections.