Poor pay forcing PSE staff to join pvt sector
POACHING OF public sector enterprise (PSE) employees by the private sector was cause for concern, said director general of the Standing Conference of Public Enterprises (SCOPE) S M Dewan. ?Many public enterprises have lost their management-level employees to the private sector due to a non-competitive pay scale,? he added.india Updated: Oct 29, 2006 11:10 IST
POACHING OF public sector enterprise (PSE) employees by the private sector was cause for concern, said director general of the Standing Conference of Public Enterprises (SCOPE) S M Dewan. “Many public enterprises have lost their management-level employees to the private sector due to a non-competitive pay scale,” he added.
SCOPE is the professional apex organization of over 200 PSEs with a mission to promote excellence and provide help in developing strategies for improving performance.
Dewan was speaking at a one-day workshop on ‘Managing Change and Improving Performance for Enhancing Competitiveness’ at Hotel Taj Residency on Saturday. Indian Institute of Management-Lucknow director Devi Singh delivered the keynote address.
The DG said SCOPE had urged the government to set up a separate pay panel for employees of public sector enterprises to look into pay and allowances, service conditions and retirement benefits. Salary revision of PSE executives is due with effect from January 2007.
The HR committee of SCOPE decided that the wage related issues should be addressed on a long-term and a short-term basis, he added.
It was also decided that a professional agency should be identified and assigned the job of conducting a study on behalf of PSEs for preparation of a compensation package for presentation before the next wage committee likely to be constituted by the government, shortly. SCOPE has demanded that the emoluments of PSE employees at all levels should be comparable to their private sector counterparts to stop poaching.
As regards the performance of the PSEs in the country, Dewan said there were 235 PSEs in the country, of which one third were earning profit with many inching to become Ratnas. Another third is not making profit, and some of the PSEs are in the restructuring or revival stage with the BIFR (Board of Industrial and Financial Reconstruction). Total loss borne by the PSEs in the country was Rs 8000 crore, while the profit from the PSEs is over Rs 75,000 crore. “The future for the PSEs in the country is good,” claimed the DG.
Prof Devi Singh said PSEs were a great laboratory for premier institutes.
National Handloom Development Corporation Ltd managing director V K gave the welcome address.
First Published: Oct 29, 2006 11:10 IST