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1403 Ceilings on Salary [9 DEC. 1960] (In Private Sec.Or) Bill 1404

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1403 Ceilings on Salary [9 DEC. 1960] (In Private Sec.Or) Bill 1404 1403 Ceilings on Salary [9 DEC. 1960] (In Private Sec.or) Bill 1404 -12 NOON I want to put a ceiling on salaries in the private sector. Some restrictions have to be REFERENCE TO THE INDIAN there also. I will read briefly the Statement of MARINE INSURANCE BILL, 1959 Objects and Reasons: SHRI M. P. BHARGAVA (Uttar Pradesh): "There are many private concerns which Sir, at the outset I must say that I do not want pay exorbitantly high salaries to certain to move the motion for reference to Select categories of their managerial personnel. Committee, but I want to make a few These high salaries not only tend to widen remarks. I will take you to the historical the disparities in income and run counter to background of this Bill. In 1956 I came to the Directive Principles of the State policy this House, and immediately afterwards in as embodied in our Constitution but are 1957 I wrote . also a corrupting influence and they stand [MR. DEPUTY CHAIRMAN in the Chair] in the way of availability of competent persons for public undertakings where the MR. DEPUTY CHAIRMAN: You cannot salaries are comparatively less. The Bill make any remarks without moving. seeks to remedy this situation with a view to attracting talents to the public sector and SHRI M. P. BHARGAVA: I can state the reasons for not moving it. promoting social justice". I think this should be enough, if you-are so MR. DEPUTY CHAIRMAN: Are you minded because anyone should support this withdrawing the Bill? because what I have stated in the Statement of SHRI M. P. BHARGAVA: I am not moving Objects and Reasons is from the Directive it and so there is no question of withdrawing Principles of the Constitution which are to be it. displayed but not to be implemented as far as they are concerned. I have taken it from some MR. DEPUTY CHAIRMAN: There is no of the guiding policies, at least professions, of motion before the House for you to make a the Second and Third Five Year Plans where speech. it is said that there should always be efforts to reduce the income disparities. Here again is a SHRI BHUPESH GUPTA: The hon. Member should move it, make a speech and big social question. It is not merely a social then withdraw it. question but it is an economic question. It also sets in political implications from the SHRI M. P. BHARGAVA: The Bill has democratic point of view. Therefore, it is at been referred to the Law Commission and so once a question of social justice, of I am not moving it. democracy, of fair-play in our public life. Here I have got certain materials which would MR. DEPUTY CHAIRMAN: So the motion is not moved. The next is that of Dr. be of interest to the hon. Members because Seeta Parmanand—The Hindu Minority and these things are not much talked about and we Guardianship (Amendment) Bill, 1960. She do not get a chance. has written a letter saying that she is not First of all, I might point out to the House moving it. that we have got salaried officials and employees in two sectors. One group is in the Government undertakings or in the THE CEILINGS ON SALARY (IN Governments and anotheT is in the private PRIVATE SECTOR) BILL, 1960 sector SHRI BHUPESH GUPTA (West Bengal): Sir, I move: "That the Bill to provide for ceilings on salaries in private employment, be taken into consideration." 1405 Ceilings on Salary [ RAJYA SABHA ] (.Ira Private Sec.or) Bill 1406 [Shri Bhupesh Gupta.] as employees of sometimes it is very bad. We have the business-houses. Again among the discussed this question when we dis- business-houses there are big and small. I cussed the Pay Commission's Report. am not concerned with the small ones be- cause they are not in a position to pay Let us come to the private sector. I high salaries and they would not be would only remind the House that we are affected by this Bill at all in their opera committed by our Constitution to making ions. Somehow or other they would carry efforts for the reduction ol income on and in fact as a result of the disparities. This has been stated clearly in. monopolistic growth in our economy very the Directive Principles of the many small and Medium business-houses Constitution. It stands to reason therefore and industrial undertakings in the country that we should guide our economic, fiscal are in a bad shape and some of them at and other policies in such a way that least are going out of existence. Such is constantly we bring down the salaries of the position. Therefore, actually the Bill very high salaried officials in the public as refers to a small number of monopolistic well as in the private sector. For the or big business-houses where you have present, I am concerned with the private high-salaried people whose salaries sector. Secondly, this kind of reduction, should be reduced in the public interest this objective of reduction of salaries of and for the sake of social justice. high-salaried people and removal of incom^ disparities was also featured very As far as Government is concerned, let much in the Second Plan and indeed it us deal with the Gove nment so that the was stated as one of the four principal contrast slands out. In reply to a question objectives of the Second Plan. Today we in the Lok Sabha on 5th August, 1957 the are nearly at the end of the Second Plan hen. Home Minister, Shri Pant, gave and I can tell you from what has happened certain figures. He said that there were 17 that the income disparities in the country lakh civil Government employees under have grown and more specially in the pri- the Central Government. Out of them vate sector. It is clear that the Government only 2,341 receive salaries above Rs. policies have failed to retard the process, 1,000. Therefore, you see that in the let alone reduce the income disparities. It Government services very few people get does not speak well of the Government. such high salaries like Rs. 2,000 or so. Therefore, we need measures not only of Very few get, comparatively speaking. this type, but fiscal measures, taxation We want reduction of salaries of the measures, economic policies, etc ould be high-salaried Government officers also adjusted to this main 0' ctive. All these are but this is the position. I am not necessary. Not'- ng has been done. On the concerned in this Bill with the Gov- contrary, the Government by its economic ernment services. I am concerned with policy has helped the growth of income the private sector but the contrast is disparities and the concentration of wealth important. Of course, in the States also, in the hands of a few, and that of course, similar is the position. Perhaps, there will relates to the private sector. And let us be much less people as the States are remember, Sir, that the private sector functioning within a smaller area and the today does not consist merely of some scope is also less. Therefore, there will be proprietors or big persons at the top. They a smaller number of people under the consist cf some very large number of State Governments who receive salaries high-salaried executive officers. It seems of Rs. 1,000 or more. What the total that somehow or other, we are more or would be I cannot say, taking the Centre less developing a kind of economy where and the States together but the number you have a type of oligarchy, a big will not be very high. There also the oligarchy of business men, of executives disparities exist and who are getting economic 1407 Ceilings on Salary [ 9 DEC 1960 ] (In Private Sector) Bill 1408 power and who bring about social injustice to Indians, the number is only 218. But when and become inflated all the time. That has it comes to non-Indians— and they are been the result of the Government's policy. In mainly British—the number is 2,017. In the this connection naturally one cannot but recall case of Indians it is only 9-8 per cent, of the the ideas contained in the Karachi Resolution total number of employees in these concerns, of the Congress passed in 1931. Here We are but in the case of the other category, I mean a poor people, a count, y where the non-Indians, the percentage is as much as 90- overwhelming majority of the people do not 2. So this is the position. have even enough to live on. But at the same time, here we have at the top some high SHHI SUDHIR GHOSH (West Bengal): Is executive officials who earn very high the hon. Member trying to make out that salaries, who throw their weight about and more Indians should get these high salaries, who spend exorbit-an.iy the money that they or that salaries m general, should be lowered? get by way of allowances, salaries and so on. Thb is the position we have come to. SHRI BHUPESH GUPTA: I am coming to that. It is not merely a question of social injustice, Let me now start first with the British but some part of it is also international, that concerns in this country and show how they way. I would like salaries to be brought down, pay these high salaries.
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