Common economics: Letter to BS on Narendra Modi's pakora statement

Govt cannot get away from the responsibility of putting in place transparent and enforceable prices

This is with reference to “The pakora metaphor” (February 10). The simple language in which the whole concept of employment in the 21st century has been explained in the article by the veteran columnist needs no further elucidation. The Form 16- Form 16A comparison for ‘salaried’ and ‘remuneration-in return’ for work done or service provided is superb.

When Raghuram Rajan, sometime in 2013/14 said that “a time has come when prospective employees should not think beyond a horizon of a tenure beyond 10 years”, I, a Form 16 person for three decades, couldn’t grasp the implications. After reading this article, I am enlightened. Of course, Rajan was speaking the language familiar to his audience then, just as the Prime Minister Narendra Modi (pictured) used the pakora metaphor, not in a speech abroad.

Having said that, the government cannot get away from the responsibility of putting in place transparent and enforceable prices, wages and income policy across geographies and sectors. The policy should aim at minimising mutual exploitation between employers and the employed by providing guidance on earning realistic returns on capital employed and output-based remuneration for employees. 

M G Warrier, Mumbai

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