Abstract
Through the use of decomposition exercises, this paper estimates the relative contributions of different factors to inequality amongst Indian regular wage employees between 1993-94 to 2011-12. This paper also estimates the contributions of returns to factors and shares of factors determining inequality. The single largest contributor to inequality amongst the regular wage workforce in India is access to higher education. However, institutional factors such as union membership and the public sector also play important roles in determining inequality, indicating that inequality cannot be simply reduced to demographic or technical factors, but must also take into account the institutional structure of an economy.