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This paper on labour relations in the power-loom industry of the south Indian town Kumarapalayam (Salem district, Tamilnadu) explores the dynamics of this practice of 'ask ing for and giving baki', employers' advances to their labourers, which has now become a widespread custom within this capitalist, industrial and urban setting. The introduction of this practice is related to the manufacturer-employers' search for a stable, skilled and disciplined workforce, the entry of a non-traditional weaving caste (Vellalar Gounder) into this industry, and the exclusion of particular groups on the basis of caste, gender and skill. The effects of giving advances on labour relations and labour turnover, however, reveal the problematic nature of this practice. Although employers have undoubtedly attempted to reintroduce through debt a form of labour attachment within this small-scale power-loom industry, the effectiveness of this …