Safeguarding Existing Jobs ?
====================
It is understandable that Labour Unions are worried
about safeguarding the existing jobs of their member workers
But political parties have to repeatedly approach
citizens for votes and answer : When do we get jobs ?
But it is a rare case when a political leader musters
courage to say :
“ There are no new jobs in Public Sector / Government
Departments – Agencies . Nor are we in a position to dictate Private Sector to
hire more people “
It is also a rare case when an Industry
Association ( eg ; ASSOCHAM – FICCI – CII – SIAM etc ) , tells the public :
“ With ever-increasing competition ( locally and
from abroad ) and ever-increasing Labour Costs ( - what with DA rising every
month , linked with CPI rise ) , we have no choice but to automate our
operations ( in office or on shop-floor ) and introduce robots . Sorry !
But , if we do not automate , we may have to shut shop and even the existing
workers will lose their jobs “
It is in light of this stark reality of “ globalized
world trade “ , that I request all the parties to read – and debate – following
news ( Economic Times / 25 Jan 2018 ) :
Should the parties concerned [ Labour Unions –
Employers – Politicians – Governments ], want a “ Compromise Formula “ , they
should consider my following suggestion :
Saving
Jobs : Creating Jobs [ 19 Dec 2017 ]
WHAT WOULD BE THE
RIGHT APPROACH ?
* Right approach would be : "
Do not give fish to a hungry man / teach him how to
fish "
In short , empower them to earn
their own living by teaching them " Skills "
and by
gaining " Experience " in use of those skills
Entire cost of this " Skilling " and " Experiencing "
to be borne by the Government , till
each targeted poor / unemployed person ,
either gets gainfully employed or becomes
self-employed
Should he choose to become Self-Employed ( by registering as a " Start Up " ),
exempt him from paying Personal Income Tax for next 10 years
------------------------------------------------------------------------------------------------
HOW TO TRANSLATE THIS
" SELF HELP " CONCEPT INTO PRACTICE ?
Divide the implementation in
following 3
phases
* Empowering - 3 years ( Imparting Skills in Industrial Training
Institutes )
* Experiencing - 3 years ( Providing experience in Ind / Commercial
Establishments )
* Self-dependence Phase ( Working
in a gainful job or as Self Employed )
-------------------------------------------------------------------------------------------------
WHAT SKILLS WILL GET
PROVIDED IN ITI ?
Entire range of Manufacturing Industry
related skills being currently imparted plus a
whole host of commercial skills required
by E Commerce / Fintech / Agriculture
Processing / Payment Banks / Service
Sector / BPO / Telecom and emerging sectors
------------------------------------------------------------------------------------------------
HOW SHALL WE MOTIVATE
UNEMPLOYED YOUTH TO JOIN ITIs ?
* Each trainee will receive Rs 1000 pm ( for course duration of 3 years )
This amount will get deposited in Jan
Dhan bank account of trainee ( DBT )
HOW CAN WE GET PRIVATE
SECTOR PARTICIPATION IN THIS PHASE ?
* If a Private firm or individual
comes forward to set up such a Training Institute ,
# Treat it as an Infrastructure SPV
# No questions asked as to the source of funds for setting up such ITI
{ a kind of Amnesty Scheme to
convert Black Money into White Money
}
# A government grant of
Rs 1,000 pm per trainee to
such SPV ( DBT in Bank A/C )
If this is done , expect 10,000 SPVs to come up within one year
and 10 million youth
to get trained each year !
HOW CAN WE GET
INDUSTRIAL AND COMMERCIAL ESTABLISHMENTS TO PROVIDE
EXPERIENCE TO TRAINEES
PASSING OUT OF ITIs ?
* Amend Apprenticeship Act
* Allow all Industrial and Commercial Establishments to
engage ANY NUMBER of
apprentices ( without upper
limit ) , for a period of 3 years
* Starting stipend = Min of Semi-Skilled wages (
currently , approx Rs 6,000 pm )
* Annual Increment = 5
%
* Establishment to pay 75 % of stipend
* Government to pay 25 % of stipend ( DBT into Jan Dhan account of the
Apprentice )
-------------------------------------------------------------------------------------------------
HOW CAN WE ENSURE A
" LEAKAGE PROOF " DISBURSEMENTS OF DBT AMOUNTS ?
* Through implementation of Mobile based
Attendance System , outlined in my blog,
" From BAD to MAD "
[ 01 Jan 2016
]
HOW WILL MY SUGGESTION
HELP ?
* It will solve the problem of
poverty organically / permanently
* It will prevent " Dependency Culture " ( looking up to
Sarkar Maa Baap for
everything )
* It will enable poor to retain
their " Self Respect / Dignity "
* The money spent by government
will create highly productive " Human
Assets "
* It will overcome the
" Skills Shortages "
experienced by the Economy
* It will create gainful
" Self Employment "
for millions of poor
* It will make India , a
" Low Cost Economy "
, able to export its goods and services
* It will channelize Black Money
into a " Nation Building "
exercise
25 Jan 2018
www.hemenparekh.in
/ blogs
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