LIRNEasia » Centre for Poverty Analysis

Privatization reduces political victimization

Rohan Samarajiva — Mon, 30 Jul 2007 06:54:58 +0000

Privatization is a controversial subject. Proponents claim it will increase efficiency; reduce the stuffing of firms with excess employees, etc. The reduction of political victimization is not a benefit that usually gets addressed.

This study also helps explain the opposition of unions in state-owned firms to privatization. They are not unions in the classic sense, but intermediaries of political victimization and corruption. As political middlemen (I hesitate to use the term, bagmen), they, oppose privatization because it removes their reason for existence and rent-seeking opportunities.

What is less easy to understand is why workers and other people of goodwill continue to have any sympathy for the claims of these political middlemen. One can support the principle of trade unionism in the private sector (where a union collectively bargains on behalf of the workers) while opposing extortion in the name of unionism which is what happens in the state sector.

LANKA BUSINESS ONLINE – LBO

Less political victimization and better benefits have seen workers of privatized Sri Lankan companies opting out of trade unions, a recent survey showed.A study done by the Centre for Poverty Analysis found that trade union influence was significantly reduced in some privatized state enterprises because of the willingness of management to listen to worker issues directly.

The study – ‘Between Theory and Rhetoric: The Workers’ Reality’ looked at three local companies – Puttalam Salt privatized in 1993, Ceylon Steel Corporation privatized in 1996 and Bogala Graphite Lanka privatized in 2000.

LIRNEasia presents BOP study findings at CEPA Poverty Research Forum

Ayesha Zainudeen — Thu, 14 Dec 2006 11:16:22 +0000

Harsha de Silva, LIRNEasia’s Lead Economist presented a few of the preliminary findings of the Teleuse@BOP (Shoestrings:2) study at CEPA’s (Centre for Poverty Analysis) Annual Symposium on Poverty Research in Sri Lanka at the JAIC Hilton on December 6 2007.

The presentation turned around much of the discussion at the Forum, in line with Prahalad’s thinking, taikng a stand that the ‘poor’ should not be seen as a burden to the private sector, but more of a gold mine.

The presentation was based on a paper, co-authored with Ayesha Zainudeen, which will be published by CEPA in the coming months.

View presentation slides

Download paper: Poverty reduction through telecom access at the ‘Bottom of the Pyramid’ – Harsha de Silva & Ayesha Zainudeen

Teleuse and Living Conditions in the North & East (Sri Lanka)

Ayesha Zainudeen — Tue, 10 Oct 2006 05:45:57 +0000

Findings from two surveys

The Centre for Poverty Analysis (CEPA) held its twenty-seventh Open Forum, to discuss “Living Conditions of the North and the East” of Sri Lanka in relation to the rest of the country from the findings of the Consumer Finances and Socio Economic (CFS) survey 2003/2004 conducted by the Central Bank. This is the eighth of a series of CFS surveys conducted by the central bank that dates back to 1953. The survey yielded the first set of household data on the North and the East since 1983. The CFS survey was conducted immediately after the cease fire spanning over 2003/2004.

“Living Conditions of the North and the East” was presented by Dr. Anila Dias Bandaranaike, Director, Department of Statistics, central bank.

The presentation was discussed by Rohan Samarajiva, Executive Director of LIRNEasia, who brought forth findings from LIRNEasia’s Telecom Use on a Shoestring study, which looked at telecom use by the ‘financially contstrained’ of Jaffna, also during the period of the ceasefire. His comments are based on the following Powerpoint slides:RS Jaffna Slides – CEPA OF

The documentation of the Open Forum is available here: CEPA Open Forum Documentation