Laid off employees

The striking workers and trade unionists called the hartal to press home their demand for reopening closed state-owned mills and factories that have left thousands without employment. While we do not condone the methods used, it must be conceded that they do have a legitimate grievance which needs to be addressed by the government sooner rather than later.

The closing down of loss-making state-owned enterprises is something that is long overdue, and there can be little argument that the closures are a necessary part of the government's broader plan for economic growth. But it is important that the government does not lose sight of the fact that in consequence of its policies thousands of previously employed workers could find themselves without a livelihood, and that the government has a responsibility towards them. It is not just a question of responsibility -- finding productive use for the thousands of laid-off workers also simply makes sound economic sense.

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The questions we have for the government are whether it has any plans to find alternative employment for those whose jobs are disappearing with the closing down of enterprises, what manner of safety net the government has budgeted for and whether it is sufficient for a crisis of this magnitude, and, finally, whether the government has any plans afoot to retrain the retrenched workers.

It seems to us that these are questions the government must have good answers to. The social and economic costs of adding thousands to the rolls of the unemployed must be factored in when calculating the fiscal benefits of such closures, and it is short-sighted in the extreme for the government to not have in place a serious employment generation plan for the retrenched workers.