Saturday 9 April 2016

The Panama leak and the moral questions.




The panama leak has certainly heralded something new and quite unknown. It has dragged into controversy the known political and business figures across the world. Those who have been accused have shown their reactions in one way or the other. Names of the relatives of  the sitting prime minster of Pakistan have also been included in the list of culprits. The controversy has invited various reactions from the political circles of Pakistan.

The opposition parties have sprung into action and want the government to conduct a fair and transparent inquiry into the matter.PPP and, the arch rival of PML-N, the PTI are more active in this regard.

PTI holds that it is the manifestation of their years long stance about the tax evasion by the sharif family, and the revelations has come by its own without any instigation by the PTI. They demand that the Prime minister should resign and conduct an independent inquiry into the matter. PTI chairman has also shown the intention of making a speech to the public through the state-owned television (PTV) so that he may show the real facts to the nation.

In light of all these developments the question arises whether the Prime minister needs to resign or not. After all it is moral question and not a legal thing which can compel the Prime minister to do so. The prime mister has been made safe from the arbitrary removal under the 18 constitutional amendments to constitution of Pakistan. Prime minster has to complete his constitutionally provided five years tenure. But is only a moral question for him to do so.

The PTI has also demanded his resignation in the near past, alleging the prime minister of rigging the general election of 2013 in his favor. PTI had staged a lengthy sit- in the capital demanding his resignation but the prime minister had been adamant to their demand. He ,however, ordered a judicial inquiry commission for the investigation into the matter. The findings of the commission in its report hardly testified the allegations of the PTI.

The prime minister of Iceland resigned due to the adverse public opinion , making it a precedent the opposition parties of Pakistan demand that the Prime minister  of Pakistan should also resign. But it is totally a moral question to do so, because he is in no way legally bound to do so. If he does so it will be a new addition to the existing political culture of Pakistan, which is by and large so far not known here.



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Friday 8 April 2016

Panama leaks and global tax culture.



      
The panama leak took the world by storm. The main issue is the revelation about the tax evasion by known businessmen and politician around the globe. Among them there are sitting heads of the government and heads of the states as well. Some of them showed reactions such as resignation by the prime minster of Iceland, and the order of investigation into the allegation by the PM of Pakistan.
 The question, however, needs to be viewed form a broader angle. The very basic point is the tax evasion by the key businessmen through offshore companies. This is one of the lacunas in the global tax system. Most of the wealthy people of the developing countries take their capital to other countries to evade taxes and run their business with high margin. Panama leak is just one episode which exposed such practices, whereas there are a number of others which have not been discovered yet.
The situation needs to be tackled systematically and pragmatically rather than point scoring and creating media hypes. The leak reflects tax evasion which needs to be curbed. Instead of making fuss through media and accusing one's opponents it is better to take steps for the promotion of global tax culture. Such mechanism needs to evolve which will check such practices in future and does not let anyone go without paying due taxes.
 
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Thursday 7 April 2016

Private School System in Pakistan




The private system of education in Pakistan has become a huge and lucrative industry. But interestingly government has never paid a serious thought to reform this sector. The system is by and large independent and out of the government control. These schools function as independent units in terms of fee structures and certain other regulations. Human resource management is one of such examples.
        The private schools exploit their employees to the maximum. They engage their teaching staff though a very hectic schedule and demand their full energies, whereas they are paid much more less even than the standard wage rate. Which even cannot serve as sufficient pocket money.  Further they also lack any job security and are totally at the disposal and sweet will of the owner of the school. They could be relieved of their duty at any time, the employees lack the right to sue such arbitrary acts of their employers.
          The private schools charge heavy fees from students but pay a very meager amount to the teachers who build the standard of the school and help repose  confidence of  the parents in the institution.  The schools also have unjustifiable heads such as promotion, maintenance, furniture and others wherein they collect a huge amount from the students.

       The schools owner act as an established mafia which resists advances of change initiated by government or civil society. In the recent past protests were witnessed by parents in some part of the country and made effort to streamline the system, which at the end of the day was of no avail.
Alongside the many other areas in the private system of education which need to be improved, the teachers pay system and job security must given due importance.


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