Future of public sectors undertakings in India.

Public sector undertakings are running with heavy overheads. None of the senior employees also feel the ownership of the organisation. Many of them will go for corrupt practices for their self benefit and forget about the organisation. So many organisation in public sector are making losses. So every time government has to pump in money. Hence the governments are trying to close down loss making PSUs. But some companies are running well and such companies are not going to be privatised.
But it is a fact that the jobs in PSUs will reduce and those jobs will get into private sector. So we should not wait for a job in public sector and for a hard working qualified person there is no problem of security of job in private sector also. We will have better chances to go up in the ladder without any recommendations or corrupt practices if we work hard.We can shift jobs from one company to other if we have the required skills and working abilities. While working in private companies one can try or a job in PSUs.There are many MNCs which pays excellent salaries and perks. Once we quite good experience and if we have the zeal we can become entrepreneurs. So we should not wait for a job in PSUs.
PSU management should work like an independent unit. The senior persons should be given powers to take quick decisions and implement. The senior employees should not indulge in corrupt practices and work for the company. Then only we will see good future for the PSUs. Otherwise they can't compete with private organisation and will face the closure. All depends on how well the unit works.

If we analyse the working of a Govt in any country it is like an enterprise and is just like another business house and it has to see whether its constituents are working properly making revenue for the country or are only a loss making proposition. If the Govt views the things from that perspective than it is natural that it would like to close loss making units and give them in private hands.

The idea of making Public Undertakings at the time of independence was a very good idea and had done an immense contribution to the country and much development can be attributable to it. But we cannot sing the songs of past glory and will have to review the situation after certain time to find out whether in the present context these units are meeting the purpose for which they were formed decades ago. When situations and scenarios change then it is natural to review it and if the Govt finds that these units are not a viable option today then it would take decision to close them and give them in the hands of the private players if someone is really interested in them.

There are repercussions no doubt on that. When Govt stopped the pension scheme and only kept it for the defence people then there was a big hue and cry but Govt had no other alternative as the heavy payment load month after month was unbearable. You cannot print currency notes just to pay a fat pension to the employees. So, consequently the NPS was introduced where employees own money is given to them as pension which is of course a safety measure in old age.

Today we are in a business environment and we have to stress more in manufacturing and production for which the private sector is to be strengthened and slowly they are to be given all the functions which many PSUs are today performing. It would curtail the Govt jobs but jobs in private sector would emerge and increase proportionately. Frankly speaking Govt employees are a burden on the Govt as they have to be given so many facilities and fat pay packets that they simply become fat and lazy. It is said that Govt should keep only defence, judiciary, administration, and police under it and all other functions are to be given in private sector if it is interested in the real development of the country and emerge as winner in the world market.

No Govt employee would like this proposition but the facts and realities of the practical world are to be understood clearly. Today what we need in our country is not the hi-fi Govt jobs or PSU jobs but we require a number of small jobs in factories and manufacturing unit where once the worker is in he cannot go out till the duty end time approaches. We have a large number of unemployed people and we have to engage them in small to medium jobs and give them opportunity to contribute in the development of the nation. If we do not engage them they will be a perpetual source of nuisance to the society.

In view of above reasonings the closure of the PSUs, especially the loss making and unviable, does not appear a wrong decision on the part of the Govt.

Nowadays many public sectors undertakings are in huge loss. It is going to be difficult for the govt to run these sectors. So, govt is taking the decision to privatise many companies. Not all company but many of them could be privatised in future like HAL, CEL, BPCL, NDMC etc.
It is true that the number of job opportunities would be less in future in the public sector organisation. Even after being privatized, hard-working and qualified people would get a chance in the private company. So, people should be qualified and hard working so as to they could get a job in any adverse condition. If we have the chance to get a job in another field then we should try for that because of the insecurity of job in these sectors. So, we should be alert while choosing a job in the public sector.

The public sector is an asset of the country. Public sector units are established by the government to earn the profit, provide employment to people, improve the economy of the country and bring overall development. It is a fact that some public sector units are not running in profit and they are becoming a burden on the economy of the country. When any such entity does not run in profit the government decides to disinvestment in that particular unit and invite private players to buy its share but generally, the government keeps its share more than the private players, however, in some cases, government transfers ownership rights of public sector unit to private industrialist also. It improves the efficiency of employees, production and economy of the country as well.
Several public units have already been privatised and some others are in pipeline.

However, privatisation has negative aspect also. Employees have no more job security, The salary structure is also decided by the management of the company. It may change the country into a capitalist state where rich people can exploit the labour class at large.
Government establish a public sector unit to help people and bring welfare schemes for people. Like Indian railways is still a government entity but most likely it is going to be privatised too. Poor people could travel by Indian railways on cheap fare but when it will be given to private players, railway fare will certainly be increased because corporate aims to earn more and more money. They don't overtake public units for doing charity but flourish their business. In this situation, the government has to see this aspect of privatisation also.

It was a dream concept of Mr. Nehru to provide employment opportunity to the unemployed classes having requisite qualifications and experience in some lines. In the earlier times supported by many Indian Leaders, it was not the concept of earning profit from the public undertaking units but it was a plateform where the youths could be absorbed providing them fat salaries so that their standards could be raised. The kids of such employees would receive better quality of education and upbringings due to their engagements in public sector units. Then the philosophy of running a public undertaking was to generate employment for the prospective candidates thus upliftment of standard of the people.
While following the same trend, we could see a lot of demerits developed within the systems and a few affecting the performance of such units were as follows -
1) Multiple hands to carry out a specific job resulting in massive expenditure by way of emoluments.
2) Recruitment process became erratic with the induction of less competent employees by the interview team as a result of interference of ministers/ leaders.
3) No clear cut accountability of most of the employees.
4) Emoluments pattern remained the same despite the fact that some were incompetent and inefficient in their jobs.
5) Fearness did not prevail among the incompetent workforce since they were proteacted by the political bosses.
However, the old concepts relating to public undertakings have now changed emphasing the needs of restructuring of manpower and enhancing the productivity with the quality output. The following parameters have now been included to make the units more competitive-
1) Less absorption of regular employees thus curtailing the wage bill in terms of the emoluments to be paid to workforce.
2) A thorough study of the market demand and stepping up production for the same.
3) Outsourcing of the contractor's labours in the different units in lieu of regular employees thus saving revenue in terms of wage bill.
4) Production to be geared up for the finished products matching the demand of customers thus maximising revenue and profit.
5) Inventory Cost to be reduced restricting to production of unwanted items.
Hence we can see a positive change in the restructuring of public sector undertakings and sustaining this practice in the years ahead will make the public undertaking units more profitable and revenue generating units.