(This article is a part of a report submitted in Aug 2013, named as "Divestment in PSUs-An Employee’s Perspective". The full report covers the analysis based on various hypothesis and validations of those through primary data analysis.)
The vision of Indian government for
divestment of PSUs is to increase the efficiency of PSUs by bringing better
utilization and allocation of resources. The PSUs are also expected to bring
innovation and produce output at better cost for the public. With the
experience brought in by private players PSUs will be more competitive and will
be aligned to meet the requirements of present day economy. Also, the revenues
of PSUs are expected to have a greater contribution towards the national GDP.
The change in organization structure is expected to bring more transparency,
fast decisions and better management.
On evaluating the survey on
divestment of PSUs on the basis of four parameters mentioned in the analysis
section; we come to the conclusion that divestment does bring about changes
related to employment terms and conditions, work culture, organizational
efficiency, innovation, emphasis on performance etc. As seen from the
divestment of PSUs in recent past, there has been labour unrest. Also,
respondents agrees that divestment will lead to strikes as they feel divestment
is a threat to their job security.
Considering the response of effect
on employees due to divestment, employees agreed that divestment would lead to
increase in job motivation, improvement in employee skills and greater job
involvement. But respondents showed divided opinion about increase in job
satisfaction, organization commitment and job performance caused by divestment.
On aspects of values and
expectations from divestment, the vision of government of India and the
response towards survey matches. The respondents agree that divestment will
bring innovation and efficiency to the organization. It will also bring about
change in work culture.
Due
to positive aspects related to divestment such as organization efficiency and
innovation and negative aspects such as threat to job security, respondents had
mixed opinion about carrying divestment. The percentage of respondents in
favour and against are almost equal.
