On an average , Minimum Wages for unskilled workers all
over America , are,
* $ 7.50 / hour
President Barack Obama has been trying for some time
now , to raise that to
* $ 10 / hour
In the meantime , Mumbai born and educated engineer ,
Kshama Sawant , has persuaded State Legislators of Washington State , to raise
this to ,
* $ 15 / hour
Bravo , Kshama !
The Unskilled of Washington State will , no doubt
praise you for now
But what happens if other US States do not follow
suit ?
All over the World , jobs have a tendency to migrate to
places where these can be performed cheapest
Of course , that may not happen to " UN-SKILLED "
physical effort jobs of Washington
If you want to dig a trench in Seattle , it has got to
be dug in Seattle !
But there is a real possibility that the excavator
digging the trench was made elsewhere !
And , it is a different matter when it comes to SKILLED
MENTAL jobs , which can be performed remotely , with help of Internet
Successive American Presidents have tried their best to
stop out-sourcing of such jobs to India - but , in vain
Simple enough reason :
* Indian
Software companies pay fresh software engineers , between $ 500 / month to $
1,000/month
* American
companies pay 10 to 20 times , as much !
As long as ,
* Quality and
Delivery ( of outsourced software projects ) are satisfactory
* Cost
difference remains attractive ( even as
Indian salaries rise ),
American companies will find ways and means to
outsource to India
India does not have much advantage over Western Nations
when it comes to factory-based manufacturing jobs because of our low labour-productivity
Although , may be 10 times more expensive , Western
countries employ 20 times less workers ( for manufacturing same product ) -
using better / faster / automated machinery
And Western Manufacturers borrow funds at 1% - 2%
interest rates , as compared to 15% - 20 % in India
In these matters ( of highly automated machinery and
low interest rates ), it is not possible to catch-up with the developed
countries , overnight
In long term , these factors are important for raising
the contribution of Manufacturing in our GDP, from current 12 %-15 % to 25 %
But , in the meantime our State Policy ( - as will get
manifested in Central Budget , very soon ) , must focus on exporting our BRAIN
power
To do that , we need :
* Computers -
and related hardware
* Country-wide
Optical Fibre based / Wireless-based , internet broadband
* Free tablet
for every child ( approx 400 million )
* E-learning of
Software Technology
I hope, Mr Arun Jaitley is listening !
* hemen parekh
( 07 June 2014 / Mumbai )
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Make
Yourself Heard
Dear Visitor :
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