PPP (Public Private Partnership) projects are now very much in the news with the role that such projects have in the shaping of future India. Having been grown in the secluded, secured atmosphere of controlled economy and over emphasis on Public Enterprises, it is only understandable that partial governmental partnership, ( I hate to use the term Governmental Interference) cannot be wished away in any Nation-building efforts. I personally feel that such a partnership augers well for the country at large. It may take a few more decades for us to accept the fact that the Government’s job is to govern and not own, manage or run businesses.

But the context of my writing this article is not the Public-Private partnership per se. It is the wide disparity one sees in the Public Enterprises and Private Enterprises. The “Navarthnas” amongst our Public Enterprises did not get that stature because of their immense success amongst competition. These corporations did not grow also on account of their inherent merits. They grew because they had brutal monopoly in their respective fields, their fortunes were decided by Governmental pricing and control and there was little or suppressed competition. But if they continue to thrive even today, when the competition has become tougher, it is because they have established themselves as competent business enterprises themselves. This was possible only because of the storehouse of talent that these corporations had with them. Infact, in many Private corporations today, one finds many professionals who had proved their merit in the Public enterprises. Banking is one area where this is very pronounced, not to talk of Petroleum, Power and Communication sectors. The point I am making is that the talent we have in the Public Sector is as good if not better than that in the Private Sector. If that be the case, why is it that we still are guided by the age-old pattern when it comes to compensating the winners in the Public Enterprises? A review of the salary packages of some Private Sector and somePublic Sector business leaders, reveals this stark anomaly. I wouldn’t like to bring in names and figures here.

When we expect our Public Enterprises to compete with their Private sector peers, when we expect the Public Sector to partner the Private sector in nation building, is it not time that we thought of compensating the executives, at least the CEOs, CFOs and COOs in commensurate terms? If this is not done, I am afraid a time will soon come when the Public Sector will not find talent queuing up outside their doors for employment. This could result in nose-diving of their performance and quality levels and eventually ring the death knells for our Public Enterprises. Before that happens, let’s ensure that the Public Sector is also made equally attractive for the young talent in the country. There is no better place to start than at the top and at the entry levels.

Hope someone listens.

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