IF MOHAMED CANNOT GO TO MOUNTAIN

amitabh.kant@nic.in

amitabhk87@yahoo.com

Dear Amitabh  ,

I know - and appreciate - your concern to raise the share of " Manufacturing Sector " in India's GDP , from current 16 % to 25% or more

But having spent 25 ( out of my 31 ) years with L&T , in Manufacturing ( starting as a Shop-floor Inspector, despite an MS - Eng from USA ! ) , I know too well , how difficult this is

On the other hand , internet-based " New Economy " has facilitated flow of " Service Sector " jobs across international boundaries

No need for passports / visas / work-permits / permissions to take spouses to visiting countries / impossibly expensive health insurance .. etc  !

And , allow me to add :

No graduate ( whether Arts / Science / Commerce / even fresh engineers ) , wants to work on shop floor today  !

No graduate wants to " suffer " the dust / grime / grease / smell of a Machine Shop  !

They all , want to sit behind a computer screen in an air-conditioned office  !

Our so called " Demographic Dividend " ( 50 % of our population below the age of 30 ? ) only wants a " White Collar " job !

Pl read my today's blog in this context

regards,

hemen

(M) 0 - 98,67,55,08,08

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If   Mohamed   cannot   go   to   Mountain..............

There is an old saying:

" If Mohamed cannot go to Mountain , let Mountain go to Mohamed "

In today's internet era , an equivalent would be :

" If people cannot go to where jobs are , let jobs go to where people live "

Remember , in 2015 , it is much easier / cheaper to import " digital service " based jobs into India , then to export people to foreign countries , where they will face a lot of resistance / animosity from local citizens

Examples :

Call Canters  /  BPO  /  RPO  / LPO  /  KPO ....any PO ( Process Outsourcing )

May be this is what was in the mind of Shri Ravi Shankar Prasad ( Minister for Communication and Information Technology ) , when he proposed setting up of 480 Call Centers ( @ 100 seats each )

As per Minister ,

>  These will be set up in smaller towns

>  These will be distributed State-Population wise

>  Union Government will give Rs 1 lakh subsidy per seat

>  Established Company will hand-hold a local entrepreneur for setting up

    the Call Center

>  Local entity can be an agency ,society ,individual ,partnership ,Company

>  State Governments will need to provide electricity / security

>  Center will soon issue call for expression of interest

But with 100 persons working in each shift , that would generate employment for only ,

480*100*3 = 1,44,000  youth

 

And we have 12 million people joining our work force every year  !

Can we find ways to generate in small towns , millions of jobs for 3.5 million students graduating from our colleges , each year ?

It is possible , with following " OUT OF THE BOX " thinking :

#   SPACE

India boasts of over 1.3 million schools . These school buildings are occupied for only 8/10 hours per day

Let Government frame rules which encourage these school-buildings to turn into Call Centers after 5 pm

For a 100 seat Center , Government is planning to give a subsidy of Rs 100 lakhs

If 25 % of this subsidy is passed onto a school , it will be happy to lease out its premises to a Call Center

#   BROAD-BAND

Under " Digital India " program , let Union Government provide a 100 Mb broadband connection to each such " School-cum- Call Center " , free of cost

That will also help the students to freely access digital education content throughout the day

#   BLACK  MONEY

Launch an Amnesty Scheme under which black money is permitted to be invested into setting up such Call Centers

No questions asked as to the source . No penalty to be paid . No income tax on earnings for 10 years

There can be no better way to put these money to a mainstream and productive use !

All that debate of " Rewarding " the tax-evaders while " Penalizing " the honest tax payers , is merely academic

India's problems are unlikely to be solved by academicians !

These can be solved , only by pragmatists  !

Luck happens when " preparedness " meets " opportunity "

My suggestions will prepare us to make 21st Century , an Indian Century !

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hemen  parekh

27  July  2015

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