This paper contributes to the literature on Global Production Networks (GPN)
and labour in three ways. Firstly, it highlights the role of domestic policy in the
upgrading of different modes of the GPN and the corresponding labour market
outcomes. Secondly, it provides systematic evidence on employment (wages)
outcomes—the first element of decent work. It captures the quality dimension of
employment by estimating the composition of the formal sector workforce and
contract-worker intensity. It also analyses trends in the income share of labour
during the recent years of GPN participation, and addresses the issue of whether
GPN participation has led to a widening of wage disparities between the formal
and informal sector workers. Thirdly, the paper raises questions relating to
‘Worker Status’ in local labour markets in terms of informality, written contracts
and social security benefits. It finds that GPN participation has created substantial
employment opportunities but not necessarily resulted in good quality of employment
or improved income share of labour in the apparel industry.