Dear All Middle Level and above Managers HR/ Personnel
The other day, I was attending a seminar on EPF and MP Act/ Rules.
From the discussion it so transpired that PF dept has three roles to play simultaneously, i.e., Service Provider to those that deposit money to them (Employer and employee), Arbitrator (Essentially to the Employers who are responsible to deposit the contributions), and Policy makers, as far as Social Security is concerned.
I have often wondered, how can a person/ organisation work successfully as owners of all the above mentioned roles/ functions, without being biased. Further from my experience of the efficiency of the Dept on provision of the services in terms of say, PF Drawals, Pension fixation, transfers under Form 13, and EDLI, has lot to be desired.
During the discussion, I threw the dice to propose the possibility of PF Service Providers to be Privatised.
The thought of Privatisation of the PF and ESI Depts has been placed here for discussion amongst Middle and above level Managers in the profession to brainstorm and provide their views and recommendations.
I do apologise to the PF dept officials and request them not to take it personal
Regards,
Pradeep Bajaj
From India, Delhi
The other day, I was attending a seminar on EPF and MP Act/ Rules.
From the discussion it so transpired that PF dept has three roles to play simultaneously, i.e., Service Provider to those that deposit money to them (Employer and employee), Arbitrator (Essentially to the Employers who are responsible to deposit the contributions), and Policy makers, as far as Social Security is concerned.
I have often wondered, how can a person/ organisation work successfully as owners of all the above mentioned roles/ functions, without being biased. Further from my experience of the efficiency of the Dept on provision of the services in terms of say, PF Drawals, Pension fixation, transfers under Form 13, and EDLI, has lot to be desired.
During the discussion, I threw the dice to propose the possibility of PF Service Providers to be Privatised.
The thought of Privatisation of the PF and ESI Depts has been placed here for discussion amongst Middle and above level Managers in the profession to brainstorm and provide their views and recommendations.
I do apologise to the PF dept officials and request them not to take it personal
Regards,
Pradeep Bajaj
From India, Delhi
Dear
Statutory Bodies cannot dilute their powers otherwise enforcement is not possible. Your dream will come true only if the Statute is modified in the manner thought by you.It will be a long way to go.
With Regards
V.Sounder Rajan
From India, Bangalore
50Statutory Bodies cannot dilute their powers otherwise enforcement is not possible. Your dream will come true only if the Statute is modified in the manner thought by you.It will be a long way to go.
With Regards
V.Sounder Rajan
From India, Bangalore
Dear Sounder Rajan and Colleagues in HR/ Personnel,
I understand that this is the legal position. and in all probability comes from position in the profession that you are in. It tends to exercise caution. Your views are still honoured due your professional experience. Views of the users also need to be expressed.
I have no intentions of targeting the statutory provisions, I only address the process for the same. It is the user of the provisions, that needs to be given some manoeuvrability.
It is a foregone conclusion that three different roles that the EPF and ESI Organisations don, all these need three entirely different approaches. The current organisation not only is an arbitrator of the Act and its rules, they also operate the funds and are required to be service providers to its customers (Employees and Employers). See the paradox!
Firstly is that of the Statutory Body. This is very well, as they are responsible to the Ministry/ Law. This can well be accomplished by the current organisation.
Secondly, the Policy Making and Implementation, a quasi govt body/ mix of the Govt/ NGOs/ Industry/ Reps of the employees can best handle this part. We are not quire aware of the Policy Making Machinery, it may well already have all these put together
Thirdly, is the administration/ operation of the fund, for which the contributors are its customers. As such, this org should be responsible to the customer (Employee and the Employer). There are lots of funds and the same also need to be invested like other Financial Institutions to provide the best of returns to its clients, the essential stake holders. Keeping in view the principle of "Customer is the King", it may well be privatised. This shall well achieve the objective of 'social security'.
Does that make discussion a bit forthcoming, and my point better understood? There is a need to be a bit open minded about it. The question has been addressed to the Middle level and above HR/ Personnel Managers. who have had 'on the ground' experience of handling the matters. Of course all the other professionals are also welcome to make their views and recommendations known in a free exchange of ideas. This shall make the discussion topic more fruitful.
My solution is just one suggested solution. The readers may suggest many an other, that may be more workable and smoother than the one suggested.
Regards,
Pradeep
From India, Delhi
I understand that this is the legal position. and in all probability comes from position in the profession that you are in. It tends to exercise caution. Your views are still honoured due your professional experience. Views of the users also need to be expressed.
I have no intentions of targeting the statutory provisions, I only address the process for the same. It is the user of the provisions, that needs to be given some manoeuvrability.
It is a foregone conclusion that three different roles that the EPF and ESI Organisations don, all these need three entirely different approaches. The current organisation not only is an arbitrator of the Act and its rules, they also operate the funds and are required to be service providers to its customers (Employees and Employers). See the paradox!
Firstly is that of the Statutory Body. This is very well, as they are responsible to the Ministry/ Law. This can well be accomplished by the current organisation.
Secondly, the Policy Making and Implementation, a quasi govt body/ mix of the Govt/ NGOs/ Industry/ Reps of the employees can best handle this part. We are not quire aware of the Policy Making Machinery, it may well already have all these put together
Thirdly, is the administration/ operation of the fund, for which the contributors are its customers. As such, this org should be responsible to the customer (Employee and the Employer). There are lots of funds and the same also need to be invested like other Financial Institutions to provide the best of returns to its clients, the essential stake holders. Keeping in view the principle of "Customer is the King", it may well be privatised. This shall well achieve the objective of 'social security'.
Does that make discussion a bit forthcoming, and my point better understood? There is a need to be a bit open minded about it. The question has been addressed to the Middle level and above HR/ Personnel Managers. who have had 'on the ground' experience of handling the matters. Of course all the other professionals are also welcome to make their views and recommendations known in a free exchange of ideas. This shall make the discussion topic more fruitful.
My solution is just one suggested solution. The readers may suggest many an other, that may be more workable and smoother than the one suggested.
Regards,
Pradeep
From India, Delhi
Dear All HR Friends,
I know, what I have suggested is totally out of the way. I guesss it would have raised many an eyebrows, particularly our HR friends in Public Sector/ PF Dept.
I dare say, the thought is rather audacious and beyond the visualisation of the most. Nevertheless, for one moment let us believe that this happens. If so some of the benefits that I see are : -
1 The withdrawals shall be prompt.
2 Temp drawals for marriages and loans for plot and flat etc, shall be processed faster, and be available to the members at r9ight time.
3 The transfer of PF from one account to another shall be assured, today, one sees that this action gets delayed or does not happen.
4 Pension and EDLI payments are done promptly.
5 Interest rates may increase, if the investments are done smartly.
Should any one have any recommendations/ comments/ point for carrying the discussion fwd.
We not foresee any possibility of the change in the texture/ policies on the subject, we may as brainstorm.
Pradeep Bajaj
From India, Delhi
I know, what I have suggested is totally out of the way. I guesss it would have raised many an eyebrows, particularly our HR friends in Public Sector/ PF Dept.
I dare say, the thought is rather audacious and beyond the visualisation of the most. Nevertheless, for one moment let us believe that this happens. If so some of the benefits that I see are : -
1 The withdrawals shall be prompt.
2 Temp drawals for marriages and loans for plot and flat etc, shall be processed faster, and be available to the members at r9ight time.
3 The transfer of PF from one account to another shall be assured, today, one sees that this action gets delayed or does not happen.
4 Pension and EDLI payments are done promptly.
5 Interest rates may increase, if the investments are done smartly.
Should any one have any recommendations/ comments/ point for carrying the discussion fwd.
We not foresee any possibility of the change in the texture/ policies on the subject, we may as brainstorm.
Pradeep Bajaj
From India, Delhi
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Privatisation.p pt4.2_140.ppt