Sweatshops, Opportunity Costs, and Non-Monetary Compensation

Evidence from El Salvador

Using evidence from field interviews, this article examines the alternative employment opportunities of thirty-one sweatshop factory workers in El Salvador and their perceptions about what types of non-monetary benefits they receive in their current employment.

Using evidence from field interviews, this article examines the alternative employment opportunities of thirty-one sweatshop factory workers in El Salvador and their perceptions about what types of non-monetary benefits they receive in their current employment. Interview subjects provide insights into the benefits of their own and peers' employments, their next-best alternative employment, and other aspects of total compensation. We find that workers perceive factory employment to provide more desirable compensation along several margins.

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