Hoping for a new order

     The pandemic has given us a rare opportunity to reset our ties with the environment and the ways in which governments work. There is a need to revive the economy in a fundamentally different manner so as to cater the fruits of development to a majority of the people.

    Yes, the government needs to take some fiscal action, but not by giving complete freedom to the employers. Presently the government must first ensure the job security of those who are employed to prevent further loss of employment. The government can give some freedom to the private sector in terms of tax payment and minimum basic regulation depending on the number of people employed and the importance of the organisation. The private sector has made huge profits in the recent decade because of liberalisation, privatisation and globalisation. Treating the employees with dignity is the minimum basic requirement to show at-least some gratitude. 

    In the process of economic recovery, as far as private sector is concerned, the government should be careful in not giving too much leeway for exploitation. The recent loosening of the labour reforms has been in such a direction. Too much of freedom to private sector with minimum regulation will lead to a disaster of job market in the economy. One might tell that the IT sector is fundamentally unregulated and yet it is performing better, but at the same time one needs to acknowledge the fact that IT sector doesn't employ majority of the people in the country. It is the primary and to some extent the secondary sector that gives employment to the largest chunk of people. MSME gives employment to almost 70 percent of the population. If these MSME's become unregulated or loosely regulated, then slowly the organised sector will become unorganised taking away the benefits from the employees. Employment will become uncertain and there will be no security of tenure. Slowly, the tendency of the non-permanent, insecure employees towards work will undergo a change. An attitude of non-commitment will start developing and ultimately the efficiency will reduce. All this accumulated over a long period of time will lead to structural unemployment being embedded in the economy. Structural defects in any nation requires time to correct and will become a major problem to development in the long run.

    In the environment sector, the government has to tread with caution so that the policies that are framed to recover from the pandemic are environment sensitive. The old ways of business as usual attitude in dealing with the environment must change. The world is changing in a fast paced manner. Climate change and its impact are real since we are already experiencing it. If the human race has to survive for the next 300 years or so, then it is high time that we recognise the subtleness of the nature, rights of the most vulnerable section and walk the path of development.