A COMPARATIVE STUDY ON GOVERNMENT AND PRIVATE SECTOR
HR PRACTICES IN ANDHRA PRADESH.
Dr.Venkateswarlu Barla
B.Tech ; PGDM (IIM-A) ; Ph.D
Director, International Institute of Technology and Management, Hyderabad
ABSTRACT
This Doctoral study examines the HRM differences
of public sector units /Govt depts., as compared with
private sector in A.P. Four major aspects of HR have
been considered in the empirical evaluation viz,
Manpower procurement, Development, Motivation
and Maintenance of human resources.
A Stratified convenient sample of 1000 employees
was selected - 500 from government & 500 from
private sector- wherein 40% were women. Sampling
was done from lower, middle and top levels of the
organizations/department to interview with a
structured questionnaire at Hyderabad, Vijayawada,
Vishakhapatnam, Vijayangaram and Kurnool, in
Andhra Pradesh.
Data Analysis and observations indicate that
manpower procurement was more systematic and
rule based in government departments where as in
private sector it was top down in many cases. All
sections of the society get representation in
government where as in private sector, the concept
of "Inclusive Human Resource Management" is yet
to find place.
Development of Human Resources takes back seat
in many cases of government, once an employee is
inducted, whereas private companies focus on HR
development to extract more work, ensuring
efficiency and effectiveness of an employee on the
job preference for government sector emanated from
permanence of the job, less stringent work, absence
of day to day targets to achieve, retrial benefits like
pension, opportunity for corruption (in many cases,
not all) and cool job. In private sector, the scope for
knowledge acquisition, application, higher salary with
incentives and a dynamic life were seen a prime
motivators for the employees. It was noted that 90%
of younger respondents (Gen - x) preferred private
sector where as 90% of aged people (Above 40 yrs)
preferred government job for all the positive &
negative aspects on either side (Government Vs
private). Motivation levels were very high (9/10) in
private where as real motivation was less (5/10) in
government sector; which "on the job".
Summer Internship Society Volume II Issue-2
Maintenance of man power was found to be far
superior in government in terms of all the amenities,
annual benefits, level rules and retirement benefits,
in case of private sector the 24x7 work culture has
deteriorated quality of life despite the cab facility, A/
C work place , huge pay packages and other benefits.
Employee attention (Job hopping) was high in private
sector where as in government sector people do not
leave jobs. Safety for women was better in
government while it was poor in private sector.
In the final analysis, this study recommends to put in
place modern HRM practices in government i.e.,
wages & salaries linked to performance. In private
sector a new HRM concept is recommended by the
study where employee is seen as human beings, not
machines - his/ her safety, security, earnings and over
all welfare is ensured instead focus on output on the
job alone. Finally Amartyasen's concept of "Welfare
State" was recommended for both private and public
sector policy makers with "Performance" as the key
factor for HR Policies.
KEY WORDS
HR Policy of government of AP,HR policies of
private sector in AP,Man power procurement,
Manpower DEVELOPMENT, Manpower
motivation, Manpower maintenance, All inclusive HR
policy,Top down, Bottom up HR policies,Source of
motivation,Job satisfaction,Women's safety,Women
on top of the organization pyramid,Attrition/ job
hopping, Amartyasen's welfare state.
OBJECTIVES OF THE STUDY
1) To study HR policies of selected companies
in private sector and selected depts. /
organizations / cos in public sector
2) To compare the HR policies of public and
private sectors
3) To identify elements of human concern at the
core of HR policies
4) To make recommendations for making HR
policies , humane
HYPOTHESIS
1) There is a significant difference in HR policies
between public sector and private sectors in
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 AP
2) There would be some elements of human
concern at the core of the HR policies of both
the sectors, which can be identified
3) The current hr policies in both sectors are less
humane
4) It is possible to make recommendations for
making HR policies more humane
INTRODUCTION
Post independence India has witnessed a revolution
in the field of Human Resource (HR). It has evolved
from being just a support function in 1960s, to being
a strategic partner in the growth of businesses now
in the 21st century. It has transformed itself being
merely a domain of industrial relations in 1960s to
Personnel Management 1980s (i.e. to maintain
records and ensure statutory compliances, while doing
the bare minimum to keep employee. Now in 2000s,
the Human Resource function has emerged as the
nerve centre of all the corporate functions and
policies.
The HR of 21st century India has made a transition
from being 'behind-the scenes' support appendage
to becoming the critical differentiator in business.
Rapid globalization has made companies realize people
are the key to growth, the only strategic resource
that any enterprise truly needs. This has led to
companies routinely using their innovative HR policies
and practices as their USP (Unique Selling
Proposition) to keep up with the times in the wake of
a rapidly changing manpower landscape.
Companies now recognize that a 'Highly engaged
employee' is the key to corporate profits, across
business sectors. This could be understood in terms
of four major aspects of HR policy and practice i.e.
Procurement, Development, Motivation and
Maintenance of people in the organizations.
Procurement: It is the basis on which the Human
Resource gets into the organization. HR heads
nowadays resort to head-hunting , adopt the referral
schemes within the company, scout on the world wide
web (www), put in news paper advertisements and
use the recruitment agencies to get quality manpower.
With the opening up of an economy which is not only
expanding at a frenetic pace, but also maturing in
terms of width and depth of options available to
professionals, the war for talent has reached a
crescendo. Talent acquisition is now akin to a battle
where recruitment professionals are now virtual sales
persons selling an alluring employee experience to
prospective candidates. In sectors like IT and BPOs,
as well as financial services, high attrition levels have
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become order of the day.
Development: Quality of manpower is another
issue that needs attention in India. While millions of
graduates and post-graduates pass out of Indian
universities each year, the actual number of
employable talent is severely limited. Employers have
to adopt innovative modes of HR development to
minimize attrition or job hopping especially in the
software sector. As the technology changes at rocket
speeds, the learning needs of the people become
acute and emergent to keep pace with the customer
schedules. This requires state-of-the art development
plans, policies and programmes.
Motivation: In a market which job-hopping has
become the name of the game, keeping the workforce
motivated is one of the key challenges of HR.
Motivation no longer comes from just a lucrative pay
package. Now, companies have to walk that extra
mile to make the employee feel special to ensure
that he doesn't walk out and into the arms of
competition. Talent segmentation and segregation
with performance appraisal and rewards is essential
to a good team of workers. In essence, as industries
evolve, employers have to ensure that apart from
the basics of 'roti, kapda and makaan', employees do
have aspirations of job satisfaction, learning and
development, besides work-life balance.
Maintenence: Winning the hearts and minds of
talent is of prime importance in the current context.
Employees are no longer committed to their
companies. Loyalty is the old concept and out of
fashion with the Gen-Ex. Their dedication is towards
their own professional growth and careers. Employee
engagement means that HR has its eyes and ears
close to the ground realities that an employee faces
in the job. Issues like work-life balance, fun at work
are considered part of the employee experience. And
the day and age of cut-throat competition and lack
of talent - it's HR prime function to ensure that it is
clued in to the needs of employees.
Employee Satisfaction Surveys cannot just remain
an exercise and results cannot simply be ignored.
Specific ATRs (Action Taken Reports) have to be
presented and acted upon as proof of developmental
intentions of HR. Addressing grievances is another
area that has to be robust so that issues do not
escalate.
"Attraction, motivation and retention" define the
essence of HR deliverables. As the economy booms
and industries mature - age old personnel
management fundamentals do not remain applicable.
Creativity and innovation by HR people can make a
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big difference in how an employee can actually be
attracted, motivated and retained.
REVIEW OF LITERATURE
The concept of HR policy difference between public
and private sectors has been studied by many scholars
world over .the HR policy is yet undergoing changes
as per the environmental needs and organizational
goals time to time.
Pawan and Budhwar; George Boyne (2008) made
an empirical comparision of Human resource
management in the Indian public and private sectors.
They identified a number of similarities and
differences in the HRM systems of Indian public-
and private-sector organizations. Against the
established notion, the results of this study reveal that
the gap between Indian private- and public-sector
HRM practices is not very significant. Moreover, in
a few HR functional areas (for example,
compensation and training and development), Indian
private-sector firms have adopted a more rational
approach than their public-sector counterparts.
Anil Kr Singh (2007) explored the Impact of the HRM
practices and organization culture on managerial
effectiveness in public sector organizations in India
This study is in the light of the liberal global Indian
economy that has led to a competitive environment.
In a changing scenario of the global business
environment with a highly competitive market
economy, the HRM practices and organization culture
will provide an edge to an organization. This study is
an attempt to understand the effect of the HRM
practices and organization culture on managerial
effectiveness in public sector organizations in India.
This study revealed that the HRM practices and
organizational culture are strong predictors of the
managerial effectiveness of the public sector
organizations surveyed.
M.E. Sharpe (2005) showed significant similarities
between what motivates the two sectors at the
supervisory level, with dramatic differences evident
at the nonsupervisory level. Interestingly, the ethic
of public service as a motivator ranks much higher
among private sector employees than it does among
public sector ones; analysis suggests a possible
connection between this finding and the prevalence
of "employee as volunteer" programs in the private
sector sample. Sharpe found strong evidence of a
blurring between the two sectors on several key
issues.
D.R. BAINS (2001) studied INTEGRATED HR
DEVELOPMENT SYSTEMS OF PUBLIC AND
PRIVATE SECTOR ORGANISATIONs, which
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showed that the public sector organization have
emphasized on the limitations of the Human Resource
Development Systems and made recommendations
to improve upon them. The private sectors have
revealed that their Human Resource Systems are
more integrated and have greatly contributed towards
overall performance. This is also corroborated but
the studies of Mahadevan & Sundararajan.
Sharma and Arti Devi ( 2005) identified the role of
HR policy in Corporate Social Responsibility for long
term success of the organizations.
CASE STUDY OF ANDHRA PRADESH
In the light of the aforesaid background, a
comparative study has been made in Andhra Pradesh
to uncover the HRM differences, between public
sector and private sector in order to lay foundations
for a new HR policy debate. Following is the
summary of the HR policy and practice guidelines of
various companies and departments studied as part
of the author`s Ph.D work.
HR POLICY SUMMARY OF PUBLIC AND
PRIVATE SECTORS IN AP
 Project Priority: to ensure that the Mission
of the Organization is fulfilled. Therefore, the
need of the Project becomes the key driver of
these policies. In other words, the contract of
an employee is extended till the project exists.
When the project seizes to exist, the positions
created for the purpose of the project
automatically seizes to remain, unless the
organization finds another purpose for the
talent that is available.
 Adherence to the Labour laws: to ensure
that HR policies that are prescribed should be
based on the Laws that are applicable to such
situations. Thus, Compensation, benefits, terms
of engagement, working conditions, leaves and
other facilities are in tandem with the statutory
requirements.
 Rationalization: to achieve rationale by
developing levels, grades and scales with scale
points, which reflect the entitlements based on
qualification, and experience criteria that are
required for the positions.
 Fitment : to ensure that the existing contract
employees fit into appropriate levels and grades
such that those with similar qualification and
experience criteria are fixed equitably.
However, major anomalies shall be taken up
for closer scrutiny, based on employee
representation, at a later stage.
 Rule of reservation: Rule of reservation is
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 and shall be followed for all levels of contract
employees.
HR STRUCTURE FOR IMPLEMENTATION
OF POLICIES
Implementation of HR systems and policies require
a sound HR structure with adequate resources. A
nimble HR structure is put in place to introduce these
policies to make them operative. A nodal HR unit is
put up, for providing policy guidelines and issue
interpretations from time to time. It will also execute
central functions like recruitment, issue of contracts
and other relevant systems.
HR Cells are formulated at State, District and sub-
district levels by the Govt. these cells shall ensure
uniform and transparent implementation of all HR
policies prescribed in the Manual.
SALIENT FEATURES OF HR POLICIES
1. Recruitment Policy- Keeping in view the
implementation of developmental projects in
rural areas, Recruitment Policy is drawn up
for engaging talent for its Human Resources
requirements. This policy is to ensure that the
Human Resources requirement is in
accordance with the Project/Programme in
particular and with the organizational
requirements in general. The human resources
recruitment from sourcing to selection will be
carried out through a Standard Recruitment
Procedure which contains - advertisement for
the post by giving out the criteria for selection,
giving fair opportunity to right candidates to
apply, conducting test and interviews and
recruiting talent in a transparent manner.
Rule of Reservation would apply in selection
process in public sector.
Following the verification of document, a
referral check will be conducted before issue
of contract. Information on the positions
available will be placed on the web site of the
Department on a regular basis.
2. Remuneration System: A rationalized
remuneration system is worked out with a
structure that tries to a) fit the existing positions
in to various levels, grades and scales and b)
provide clear idea on the pay scales being
offered for potential future Fixed Tenure
Employee (FTE). As the remuneration system
followed earlier for different programmes was
different, several anomalies are observed in
both policies as well as in practice. A Two-
stage Rationalization and Fitment process
would be used to minimize the variation.
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a. Rationalization Process: The suggestive
Rationalization structure contains 3 levels and
each level has about 4-5 grades. The
remuneration for each grade is defined and
fixed in accordance with educational
qualification and relevant experience.
b. Fitment Exercise: For the purpose of fitment
of existing staff in these rationalized grades,
current gross salary becomes the reckoning
point. This exercise will also take into
consideration the increments that are due to
any FTE. While great care will be taken in
making the right fitment, it is not uncommon
to observe certain anomalies between FTEs.
Such of those discrepancies can be
represented by the aggrieved FTE for due
consideration.
Such abnormalities raised in fixation, if found
genuine, will be ironed out during settlement
of anomalies.
Note: The FTEs working in notified Tribal Areas
are additionally remunerated by providing them
with Agency Allowances as per the GoAP
guidelines
3. Contractual employees have organization
specific policies and there is no fixed pattern.
4. Induction Policy: Induction is an activity by
which a new FTE joins the organization into
the new surroundings and is introduced to the
organizational environment, practices, policies
and purposes. The FTEs will undergo induction
for his/her new roles and responsibilities. The
induction programme shall cover the following
components:
 Every FTE will undergo Induction Training
Programme. During this programme, an FTE
will be given inputs on the organization, its
people, the project, about their roles and
responsibilities, the HR systems and policies
they are guided by.
 A systematic immersion programme will be
conducted for FTEs to familiarize them to the
context of Rural Development
 During this process, the FTE is expected to
maintain work dairy and submit immersion
report
5. Training & Development Policy: This
policy is designed for the FTE to meet the
following objectives
 To develop the requisite Knowledge, skills and
attitude of the employees required in
performing their job well.
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 To refresh / update, from time to time, the
knowledge, skills in keeping with the advances
in their field of work
 The policy envisages the following sub-
processes
 A one-time exercise of Competence Mapping
 Annual Participatory Training Needs
assessment for prioritization
 Design and delivery of Training
 Training evaluation and improvement
6. Transfer Policy: Transfer policy is to enable
mobility of the FTEs from one place to another
place of posting and to provide for such
facilities as may enable to affect the transfers
smoothly. FTEs that are transferred purely on
the organization's interest are eligible for
Transfer allowances/benefits against an issue
of transfer order from the competent authority
and without affecting his/her level, scale and
grade (unless specified). Against transfer, the
FTE is eligible for the allowances/benefits as
per the Transfer policy.
However, request transfers through proper
channels shall be accepted based on
completion of stay for more than 3 years in a
particular place of posting and for genuine
purposes. In cases of Request transfer, a
window for 30 days (every July) shall be
opened for acceptance of such requests.
7. Additional Charge Allowances Policy: This
policy provides benefits to those FTEs who
take up full additional work charge of another
FTE in addition to his/her current work charge.
The FTE is eligible for Full Additional Charge
Allowances only if s/he holds full charge of
an equal or higher position against an issue of
order by the competent authority.
The criteria for handling full additional charge
is as given below
8. Leave Policy:
a. Casual Leaves: The FTE is entitled for 30
days of consolidated leave per annum.
b. Maternity Leave: The women FTEs will be
governed under the Maternity Act, 1961 (as
per the latest amendments in the Act). The
maternity leave applies for two live deliveries
only.
c. Paternity Leave: The paternity leave policy
aims to enable the married male FTEs take
paid leave of 15 days for their new born babies.
This leaves is provided for the male FTEs for
two surviving children only.
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These leaves are besides the weekly offs and
Holidays that are announced for the
Government employees.
9. Tour Policy: This policy applies to all the
employees recruited on tenure basis and who
are not entitled for any Fixed Traveling
Allowances. The table below gives an
overview of Travel Allowances (TA), Daily
Allowances (DA) eligibility of FTEs in
different levels.
10. Fixed Traveling Allowances: For the
positions which demand travel for more than
15 days in a month and who are not provided
with an office vehicle, they are entitled for a
certain Fixed Travel Allowances (FTA).
11. Insurance Policy: This policy provides
insurance for an individual to cover possible
risks due to accidents and illness. This policy
covers insurance for all the FTEs for-
Accidental deaths and or disabilities under
Personal Accidental Insurance (PAI) and
Treatment for critical sickness (in case of
hospitalization) under Mediclaim policy for the
family of four (spouse and two children)
12. Reimbursement Policy
a. Cell phone Reimbursement: All the FTEs shall
be covered under Closed User Group (CUG)
which shall facilitate free calls within the
group. For the calls made outside the Group,
FTEs are entitled for communication
reimbursement with the following ceiling
b. Local Transportation
When a FTE travels locally on official purpose,
the amount incurred on such visits can be
claimed subject to the production of actual bills
or a certification of the individual.
13. Guidelines for Grievance Handling: to
encourage open communication and create a
culture of trust, A Grievance Handling system
will be put in place in the shape of Human
Resource Cells.
1. FTE can express a grievance that is related to
the Job through the Grievance procedure.
2. Grievance committee that is pre-appointed will
go through the grievance and resolve the
genuine issues within their purview or reply in
writing where a case does not exist, within
prescribed time period
3. Unresolved issues will be forwarded to higher
authorities who would also follow the above
process in resolving the issues.
14. Exit Policy: The objective of this policy is to
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 ensure a smooth process of exit from the
organization. The objective of this policy is to
make FTE's exit a smooth one while ensuring
that the organization takes relevant steps to
check undesirable attrition. The processes
include:
1. Written acceptance of resignation will be issued
following the notice period norms
2. Ensuring handing over all the records and
resources with FTE to concerned authorities
and properly accounting for any dues.
3. Final settlement shall be done and cheque shall
be issued (in case, if the organization needs to
pay something back to FTE) on the last working
day on completion of all the formalities such
as handing over of job/responsibilities; obtaining
No dues certificate etc.,
4. Provision for issue of Service Certificate/
Relieving letter / Experience Certificate for
FTE by the competent authority
5. An Exit Interview will be conducted at the end
to understand the experience of FTE while
working at the unit, reasons for leaving and
suggestions for improvement.
6. Exit interview inputs shall be consolidated and
the same shall be shared with the seniors for
action
15. Career Advancement Policy:
The objective of this policy is to encourage
the contract employees to continue to work in
the department by providing a clear career
path. The criteria for taking employees from
one level to the next higher level will be both
eligibility and suitability. The eligibility criteria
are laid down in the HR Manual. Suitability
will be tested by means of performance
appraisal scores, skill tests, interviews, etc.
Annual increments are available for every
contract employee based on service.
Consequently, they will move up horizontally
in a given scale. Movement from one scale to
another will be covered under the career
advancement policy. Details of categories of
posts which will be filled up through career
advancement and the feeder categories for
these posts are detailed out in the HR Manual.
The Provident Fund Authority has been
consulted with regard to applicability of PF
rules in case of contract employees working
with RD Department. The PF authority
clarified, in written, that the PF rules do not
apply to this organization. However, contract
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employees will be encouraged to opt for
Personal Provident Fund (PPF).
Besides the above, the following policies are
proposed to be introduced within one year from the
date of issue of the HR Policy:
 Performance Appraisal System
 Code of Conduct guidelines
Fitment and Procedure for representations
As per the Govt GOs, all the FTEs shall be covered
under the new HR Policy Guidelines developed by
CRD. The FTEs in various positions implementing
various schemes have been fitted into the new salary
structure as per the HR policy.
SAMPLING, QUESTIONNAIRE AND
PRIMARY DATA
The primary data was collected by selecting a
stratified random sample of 1000 people from private
sector and public sector employees and policy makers,
to whom a structured questionnaire was
administered. The sample was as tabulated
hereunder. Questions were deliberately kept simple
and multiple choices based with minimum of open
ended type to keep the basic direction of the study
intact. It was the author`s opinion that open ended
questions might lead to diversified and directionless
answers, as seen in many studies.
SAMPLING
The stratified convenient sample used in this empirical
study was designed as under, primarily based on cost
and time constraints, under various circumstances:
All the 1000 respondents were administered the
following questionnaire by personal interviews /
discussions, emails, and postal survey. Responses
received from them have been analyzed and
summarized as under, in the form of pie charts and
bar charts, for ease of quick reading.
QUESTIONNAIRE (20 crucial questions)
I. How is Human Resource Procurement done
in your organization?
a. Through consultants
b. Through press notification
c. Referrals
d. Internal promotions
e. All
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Interpretation: Human resource procurement, as
stated by the respondents, depends on specific policies
of how the workforce is recruited, developed,
organized, enabled to utilize its full potential, and
trained, in alignment w with the organization's mission.
The manner in which the organization strives to build
and maintain an environment conducive to
performance excellence, full participation, and
personal and organizational growth is also the basis
for each recruitment.
According to the survey, the organizations procure
human resources through consultants, press
notifications, referrals, internal promotions and body
shopping. However there seems to be no fixed pattern
on the recruitment in private sector while Govt offices
do go thru press and consultants as per policy.
II. How do you differentiate between
Government and private sector on HR policy in
Andhra Pradesh?
a. Government HR policy is more systematic &
rule based, where as private sector is profit
oriented & mostly top down.
b. Private sector HR is more systematic where
as Government sector is rule based.
c. Government policy is focused on organizations
where as private sector HR is centered on
human being.
d. Not much HR policy is found in AP government
where as Private sector has evolving HR
policy.
Interpretation:
Respondents indicated thathttp://en.wikipedia.org/
wiki/Human_resources HR policies are systems of
codified decisions, established by an organization, to
support administrative personnel functions,
performance management, employee relations and
resource planning. 40% of the respondents feel that
Government HR policy is more systematic & rule
based where as private sector is not practicing fixed
methods of recruitment and selection as it depends
on crisis management in most cases.
III. Your comment on "All inclusive HR policy"
a. HR policy should focused on all sections of
the society
Summer Internship Society Volume II Issue-2
b. HR policy should be focused on organization
goals
c. HR policy is a fine FIT between society and
organization goals
d. HR policy can't be all inclusive.
Interpretation:
Respondants felt that HR policies are the major part
of an organization and they should focus on
organizational goals as well as development of society
because society also plays a major role for the
organizational development and profits maximization
as revealed during our discussions. 35% of the
respondents supported the concept that HR policies
should focus on society and organization goals at large
and be specific to individuals` welfare.
IV. In your organization, HR policies are Top
Down or Bottom up?
a. Top down
b. Bottom Up
c. Can't be labeled as Top down or Bottom up
d. A perfect blend of top down & bottom up.
Interpretation:
The survey reveals mixed feedback but personal
discussions with respondents both in public and private
sectors clearly bringout top down approach in most
organizations, offices and departments. Hence there
is need to convert HR policies into an amlagamation
of bottom up and top down methods so that everyone
is involved and HR becomes alpervasive in the
organization, because HR is not the exclusive domain
of a few people but it is of everybody, although policy
October 2011 95
making is done by few it should be with concerence
and involvemnent of all.
V. HR Procurement should be;
a. Focused on organization goals/ strategies
b. Focused on social inclusiveness
c. There can not be a definite formula
d. A perfect fit between social inclusiveness and
organization goals/ strategies
Interpretation:
Analysis of survey results demonstrates that the HR
policies should be made to address organizational goals
as well as the ever changing cyclic business
environment. HR should not be used at as the
department of salaries, incentives, recruitment and
selection etc. It should be practice as an overall
philosophy of the organization so that financial gains
shift from primary focus, giving way to the hygiene
factors such as job satisfaction and sense of
achievement etc, which drawing the peoples
achievements(Herzberg Theory).
VI. Development of Human Resources in AP
a. Takes back seat in government, once
appointed.
b. Takes back seat in private sector after
appointment
c. Both government & private sector have no
real interest in HR development.
d. Both government & private sector have HR
policies but with in their scope & limitations.
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Interpretation:
Both government & private sector have HR policies
but with in their scope & limitations. In government
sector fixed policies and rigidities do not lend scope
for creation and innovation. Hence the public sector
employee becomes a living machine after few years
and looks at salary and money as the only purpose of
living. He gets salary and money even with bare
minimum work without extra efforts (Of course there
are government employees who do not work but gets
salary by managing through their network, though
there are a few exceptionally hard working people in
government).
In private sector there is reward for creativity and
invention but employers, in their pursuit for higher
production and profits, squeezed in employees with
hardly any concern for human side. Therefore both
in government and private sector there is a need to
build HR policies keeping the human side at the centre
of the policy. Concern for personal life and ambitious
have to be balanced with organizational goals such
away that a person continuously learns, earns and
gives his best to the organization.
VII. Why do people prefer Government jobs?
a. Long term benefits & pension in many cases
b. Comparatively lesser work load
c. No fear of punishment or bossism/ targets
d. Scope for corruption in many cases
e. All
Interpretation:
34% of the respondents feels that government jobs
are long term benefits, pension facility, lesser work
load, no fear of punishments, targets, no harassment
of boss, corruption etc. In private sector we don't
have the job security, more work load, no pension
plans, more stress in the job etc. Because of all this
reasons there is disturbance in routine life of a person.
This outcome from the survey is interesting because
the olden day's trend of total preference for
government jobs appears to be coming down due to
privatization and globalization which brought many
times more financial gains although at the cost of
October 2011 96
domestic life and in some cases values too.
VIII. Why do people prefer private sector jobs?
a. Challenges and opportunities
b. Learning and earning based on merit
c. Not many opportunities in Government sector
d. All
Interpretation:
Respondents preferred private sector jobs due to
better incomes and better facilities though some of
them were interested in government jobs but came
to private due to non-availability of government jobs.
There are instances in Andhra Pradesh were senior
IAS officers resigned their jobs and joined private
sector companies. The only reason seems to be better
financial gains, comforts and scope for intellectual
growth in private sector as revealed during our
interviews with these IAS officers. The olden day's
concept of life time pension is not available in
government jobs now except in few departments
public organizations and the scope for corruption and
extra incomes is being eliminated by the government
and society. Therefore government employment is
becoming unattractive.
IX. Source of Motivation in Government
employment.
a. Permanence
b. Money making
c. Power
d. All
Summer Internship Society Volume II Issue-2
Interpretation:
Government employees command power as they go
up in the organization although it takes time. Further
many respondents scatted that the government job is
"Kanna Talli". It is like a Golden Goose which gives
benefits through out life, whether one works or not.
Fixed salaries and incomes take care of family were
as his / she for official networks create potential for
creation of assets, which is not available in private
sector to the same extent. Even after retirement the
said networks will be useful as reveal by many chief
engineers, secretaries to the government and even
lower level staff.
X. Source of motivation in private sector in Andhra
Pradesh.
a. Power
b. Money
c. Personal growth
d. Challenges and Opportunities
Interpretation:
Particularly in AP the IT and Software revolution
has created wonderful opportunities for earning higher
incomes at younger ages. Not many large scale
private sector enterprises in non-it sector came up in
AP in the last 5 years except GMR group. The state
witness large scale changes in land distribution and
governmental schemes were private contractors and
political bigwigs could garner large scale benefits.
This created enormous interest as government floated
tenders and public private partnerships (PPP). Many
government employees and politicians floated real
estate and infra structure companies could derive
benefits from the government. Therefore their
motivation to be in private sector but operate with
government sector using social and political
connections.
XI. At your age(.......yrs, ) which sector do you
prefer in AP.
a. Government
b. Private
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c. Both
d. No particular choice
Interpretation:
The younger generation, as indicated by the survey
results, seems to be more interested in private sector,
possibly due to higher pay packages and also since
government jobs are not available. Particularly the
IT sector and allied fields have attracted youth in
large numbers followed the banking sector in recent
times.
XII. Can you rate your job satisfaction (Motivation)
on 10 point scale with 10 being the highest?
………………………..
Interpretation:
Public sector employees - 8/10
Private sector employees -- 6/10
Public sector employees were found to have better
job satisfaction (8/10) possibly because of safety and
security, additional income, retiral benefits and
gratuity/ pension in many cases.
On the hand private sector employees' real
coefficient of motivation is relatively low (6/10) due
to frustrated working conditions, ever changing and
unachievable targets distorted timings and shifts
although salary levels are higher.
XIII. Manpower maintenance policy in AP.
a. Superior in Government
b. Superior in private sector
c. Depends on organization & specific work
places.
d. Scope for improvement as compared to
western countries.
Summer Internship Society Volume II Issue-2
Interpretation:
Both private sector and government organizations
have not demonstrated people-centered policies of
HR. Public sector still looks at HR as a department
of salaries and incentives packages. The private
sector with higher pay packages and fabulous
incentives extracts blood out of people in three shift
operations which resulted in destruction of social
values, personal freedom, safety and security, and
even the basic health and biological efficacy of people
particularly in the software sector.
Also in AP similar to other states, the state
government employees seems to be less paid and
less cared compared to central government
employees (Eg. BHEL Vs ECIL and KVB Vs SBI).
Even in private sector the national level organizations
have a better HR climate than local companies.
XIV. Suitable sector for Women in AP.
a. Government
b. Private
c. Both
d. Depends on situation and specific cases
Interpretation:
Survey indicates that there are certain sectors
suitable for women. IT and Banking sectors are
attracting large percentage of women whereas
engineering has been the favorite of men although
there are exceptions. The percentage of working
women as increased and top positions in many
organizations are shifting towards women managers.
XV. Safety for women in AP.
a. Government
b. Private
c. Both
d. Depends on situation & specific cases.
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 Interpretation:
Mixed reaction is received from respondents about
Attrition rates (Job Hopping). However observations
and secondary literature suggest 50-40% attrition
rates in IT sector followed by the insurance and
banking sector (Private). Attrition in public sector is
rare.
XVIII. Your recommendations for Government HR
policy…………………………………..

Interpretation:
General safety is on the decline for women in IT
sector whereas banking and manufacturing do not
have many issues of safety. Private cabs and midnight
travel are contributing to drop in safety besides the
westernized living style and pub culture amongst the
youth.
XVI. Women on top are more in…
a. Government
b. Private Response :
c. Both 60% of the respondents felt that government HR
d. Can't generalize policy as remained to be a statistical exercise only
without any human content, because they are
centered around monitory benefits, schemes etc only.
The public sector employees are turning to the pure
machines which can do routine work only. Because
of long stagnation they search for revenues of making
money by unfair means (corruption) without any other
goals of personal development in life. This is true in
many cases although there are very honest and
genuine employees in government who find it difficult
to operate in a broken atmosphere. Therefore our
Interpretation: respondents during the survey reported that it is not
Private sector has taken initiative for placing women the personnel management but the human resource
for at senior and top positions in IT sector and banking development that should be cultured in many
followed by biotechnology and pharma. There are government organizations. The present image of low
practically no cases of women at top possibly because productive but highly corrupt employees should be
of the fixed HR structures of the government, converted into resources of world class quality that
although few women managers are visible in the would be restless to work like private sector
banking sector (Eg. Andhra Bank and ICICI bank). employees who survive by results and results only.
XVII. Attrition rates (Job Hopping) These calls for a total revamp of HR in government
a. More in government starting with replacement of job security with target
b. More in private oriented performance.
c. More in IT sector XIX. Your recommendations for Private sector
d. Can be any where HR Policy…………………………………

Summer Internship Society Volume II Issue-2 October 2011 99

Response:
80% of the private sector employees opined that the
highly target oriented work culture is squeezing the
blood of them and the resultant stress levels are
adversely affecting their biology. The three shift
operation, 24 x 7 working, the pub culture, safety
issues and ruthless bossism… are all resulting in
destruction in value system, family relations and long
term viability of employment? Therefore private
sector employment should consider human values and
work-life balance of employees even if it calls for
mitigation of pressures of time and work volumes.
XX. General HR Policy should be based on
Amartyasen's concept of "Welfare State" in
Government or private sector.
a. Agree
c) no comment
b. Disagree
d) "welfare state" can not be actualized
Interpretation:
Responses did not indicate any clear idea about
Amartyasen's concept of "Welfare State" in
Government or private sector. However field experts
have opined that the only way to bring about a total
renaissance in HR policy is to inculcate ideas of
welfare state in the organizations where concern for
men overtakes concern for machines. Currently
production and productivity to maximize profits
appears to be the sole criteria of HR whereas the
social welfare of people in the organization takes back
Summer Internship Society Volume II Issue-2
seat. It is recommended that people's welfare should
be at the center of HR policy and anything else must
be around the concern for human welfare, which
should drive policies and profits of both public and
private sectors.
CONCLUSION
The study brings out significant similarities between
HR policies of Public and Private sectors, although
the former operates on fixed top-down HR structures,
while the later, too flexible, is highly profit oriented
and less humane. In both the cases, the concern for
human beings welfare took the back seat, over taken
by policy exuberance and profit motives. The study
recommends a total re-invention of HR policy and
practices keeping the "Human Concern" at the center
of all business activities, where profit becomes the
inference and bye-product of human activity as the
organization becomes the Welfare State.
REFERENCES
BOOKS
Bohlander, 2006, Human Resource Management, 10th
Edition, Thomson.
Dessler Gary, 2006, Human Resource Mgmt, 10th Edn,
Pearson / Prentice Hall-India.
Mondy, 2007, Human Resource Management, 9th Edition,
Pearson Education.
Wayne F. Cascio 2006, Managing Human Resources, TMH.
Aswathappa, 2006, Human Resource Management, 4th
Edition, TMH.
Desimone, 2007, Human Resource Development, 10th
Edition, Thomson.
Noe A.Raymond, John Hollenbeck, Barry Gerhart and
Patrick Wright: Human Resource Management, Tata
McGraw Hill.
Decenzo A.David &Stephen Robbins - Human Resource
Mgmt, John Wiley & Sons.
Jyothi P. and DN Venkatesh 2006, Human Resource Mgmt,
Oxford University Press.
Rao VSP: 2006, Human Resource Management, Text and
Cases, Excel Books.
October 2011 100
 ORGANIZATION Govt. Private TOTAL
Men Men
Women Women
Infosys Hyd. 45 95
50
Wipro Hyd. 45 95
50
AP Dairy 30 35
05
Vishakhapatnam Steel plant 20 25
05
Nagarjuna fertilizers Kakinada 30 40
10
ITC Ltd. Secunderabad - 50 95
- 45
Electricity Department,AP 50 60
10
Rajiv Gandhi Inter Airport, 20 30
Hyd. 10
AP Police academy, HYD v 35 40
05
Revenue Dept, AP. 20 45
25
Banks(PSU) - AP 35 60
25
Banks (Pvt) AP 60 120
60
R & B Department AP 20 30
10
MCH HYDERABAD 20 30
10
Water Works Department 20 30
,HYD 10
Secretariat HYD 30 40
10
VST Industries Ltd. HYD 20 40
20
AP Paper Mills RJY, HYD 20 25
05
IAS, IPS, IRS Officers in AP. 30 50
20
BPOs AT HYDERABAD 05 15
10
TOTAL 360 245 1000
155 240
Summer Internship Society Volume II Issue-2 October 2011 101