Merit-Based Pay For Commodities On The Horizon

There is a need for reducing manpower in public enterprises and for introducing performance-related payments. India should adopt the method prevailing worldwide, which is to pay more, but not ensure lifetime employment, said Rajendra Singh, former chairman-cum-managing director of National Thermal Power Corporation. India should adopt the Japanese model of employment which lays more stress on performance-related payments rather than on lifetime employment, Singh said after inaugurating a two-day seminar on 'Managing Contract Labour-Issues and Implications'. organised by Standing Committee of Public Enterprises here. On management of contract labour, Singh said currently managers have to work within the framework of the existing law. However, "the existing law needs to be re-written in the context of global competitive environment, based on facts and experiences", he added. Till that is done, solutions have to be found out by the managers themselves as they cannot depend upon the law and its interpretations, he further stated.