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Statement Should the salary and perquisites of public sector undertaking employees be made equivalent to those in the private sector? Arguments I. Yes, this will help the public sector undertaking to attract and retain competent workforce. II. No, public sector undertakings cannot afford to pay salaries to the level of private sector. III. Yes, otherwise the public sector undertaking will not be able to compete with the private sector organization.

Correct Answer: I and III are strong

Explanation:

Competent work force is desirable. Hence, Argument I is strong. Argument II does not appear to be true for all PSUs. And even it is true, an argument that takes recourse in helplessness seems to fall short on merit. Argument III is strong as competition is desirable.


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