Corporate salaries – part 2

So the government cannot dictate the salaries of DHI employees. But what about the other corporations – those that are owned by the government, but are not part of DHI? Can the government set their salaries? Technically, yes. The government can dictate the salaries of these employees. This, in fact, was precisely what our previous governments did. But they always defined them in favour of corporate employees. The logic was simple: these corporations (BBS, Bhutan Post, FCB, BDFC, and others) were considered less attractive than the civil service. Yet they delivered important, sometimes vital, services for the nation. So previous governments ensured that corporate employees enjoyed relatively higher wages.

Has the situation today changed? No. The civil service is still considered much more attractive than corporations. And corporations continue to provide crucial services for the nation. So our government should continue to provide higher incentives in terms of wages for employees of these corporations.

Otherwise, the government should make these corporations fully autonomous. And let them determine their own salaries. But many of them provide services that may be unprofitable, even though they are crucial for our nation. The government must be prepared to pay for these services.