Public Sector being a Guarantor of Job Security is a Myth

Hi thing the private is more important for a developing country. Many countries have that urge to reach the climax of development. This makes me think that the only way is the operation and greater participation of the private sector in our economy. I believe in the promise of HIS EXCELLENCY PRESIDENT PAUL BIYA on an emergency by 2035. But I still think that both private and public sector should work hand in in hand for competition hence bringing about emergency.

Public sector companies are basically Government enterprises that are created by Govt to operate independently with a motive of self-reliance, profit generation and job creation. They are not purely government departments even though national engorgement or state government may have control over their performances. But the creation of jobs is not controlled by the government and PSU has to take a call of its own. People try to enter PSU for security and comfort. But getting a job in PSU is very tough as compared to Private Sector. With the concept of globalization and liberalization, private sector contributions is much more than PSU for the growth of the economy, and as such much more jobs are created as compared to PSU. Earlier PSU were having hardly any competition. But post 1991, PSU is facing stiff competition against the Private Sectors, and sustainability through performance and profit making become more important. Therefore we can not say that PSU are meant for job creation. It is only a myth to think so as many PSUs have been closed down prematurely due to poor performance.