Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do.

There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Saturday, 21 February 2015

CREATE SELF EMPLOYMENT

CREATE     SELF - EMPLOYMENT

Dear Shri Jaitleyji :

I know that the Central Budget is already under printing and it is too late for you to make any changes at this stage

But , nothing stops you from making " STRATEGY " announcements in your budget speech , such as :


This government will adopt a strategy of generating Self Employment , to provide meaningful work - and respectable income , to more than ONE MILLION jobseekers every month

To 50 MILLION jobseekers in the next 50 months

By getting banks to advance , small , low-interest loans to those 125 million poor persons , who have opened bank accounts under Jan Dhan Yojana 

And , by abolishing Personal Income Tax altogether , for such Self Employed persons  , for all deposits made into these accounts for next 5 years "


Reason is obvious :

It needs a fraction of the CAPITAL ( fixed + working capital ) to create a Self Employed job as compared to creating a job in Organized Sector ( Public or Private )

As you drive to the Parliament House on 28th morning , you will get to see on the road - or in those shops lining the road - , a lot of Self Employed persons .


What kind of CAPITAL ( in tools / machinery / Office - Factory space ) would be needed create each of those " Jobs " ?


Here are my guesses for investment and space requirement :

( What for ? / Office -Factory - home Space required ) :



*     Domestic Servants / Maids / Cooks........................  Rs ...   NIL
      (  Nothing / Nil )

*     Unskilled Workers...............................................   Rs ...   5,000
      (  Simple Tools / Construction Site / Road-side )

*      Milk Vendors / Delivery Boys..................                 Rs...    5,000
       (  Bycycle  /  operate from home  )

*     Pan-Bidi Gulla Owners..........................................  Rs....    5,000
       (  Stock in Dukaan /  25 Sq Ft footpath  )

*     Roadside Vegetable Vendors..................................  Rs...     2,000
       (  Daily purchase + 25 sq ft of footpath  )


*     Carpenters / Electricians / Plumbers etc................... Rs .....  2,000
      (  Tools of trade / Operate from home  )

*     Tailors / Watch Repairers......................................  Rs ......5,000
      ( Sewing Machine - Tools / Home or 100 sq ft of footpath )

*     Hairdressers........................................................  Rs...... 10,000
      (  Tools  /  100 Sq ft of shop rental )

*     Rickshaw Drivers...................................................Rs......  50,000
      ( Rickshaw / Operate from footpath )


I am sure your Ministry has better figures for 200 similar " Self Employed " categories . Or you may want to ask NCAER / NITI Ayog / HRD Ministry etc

Now , how much CAPITAL will be required to create one " EMPLOYED " job ?

Once again , here are my guesses :

*  In MSME businesses / companies......................... . Rs ... 2 Lakh

*  In large Organized Sector companies...................... Rs... 25 - 100 Lakhs


 Do you see the logic ?


For ONE job in large / organized sector , you can create 5,000 Self - Employed jobs  !


One more thing :


How long does it take to create such jobs ?


>    In large organized companies..................................... 3  / 4  years

>    In MSME companies.................................................  1  /  2  years

>    Self Employed jobs ( Skilling / Training Period )...........   3 / 6  months


Self Employment is the ONLY answer to avoid the fate of PIGS ( Portugal / Italy / Greece / Spain ) and a host of other , " Advanced Economies " - which borrowed BILLIONS of dollars from IMF / World Bank / Others   !


And now cannot pay back those loans  !



Dear Shri Jaitleyji :


We have neither time , nor the money to create ONE MILLION jobs every month in the organized sector

And we have promises to keep  !

I will be keenly listening to your Budget speech



with regards ,

hemen  parekh  /  Mumbai  /  22 Feb , 2015

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Wednesday, 11 February 2015

One Up on Free Wi - Fi ?


AAP won Delhi Elections by offering Free Wi Fi / Water / Electricity etc

Apparently , offering anything " Free " , works like a sure-fire strategy

In the past , various political parties have managed to ride home to power by offering , free,

*     Rice
*     Mangal Sutra
*     Buffalos
*     Laptops / Tablets
*     Mixies / Bycycles.......etc


For the forthcoming elections in Bihar , what freebies  can we expect to be promised ?


>    From  RJD / JDU / Congress  etc :

     *  Free Education / Health Care / Roti - Kapada - Makaan / Transport / LPG ..etc



>   From BJP ( only from BJP - being in power at the Centre ) :

    *   Total abolition of  Personal Income Tax  ?



    Sure , Centre would lose revenue of ( approx ) Rs 3 lakh Crores


    But look at the Up-Side :


    *  Those 8 Crore ( out of 11.5 Crore ) Bank Accounts opened under Jan Dhan Yojana , which have , currently ZERO balance , would suddenly swell with cumulative deposits of , Rs 30 lakh Crores  ! 

Don't ask , where the money came from ! Just let them spend ( or invest ) to expand the economy , by boosting Purchasing Power


    *   Permanent solution to prevention of future generation of Black Money  !
         (   By taking away incentive to hide any income  !  )


    *   Elimination of  " Tax - Terrorism  /  Root of all corruption "


    *   Save crores of Rupees thru dismantling of Personal Income Tax department


    *   Centre will not need to beg Japan / Russia / China etc to bring in dollars to invest in Mega Cities / Rail Corridors / Sagar Mala ports / Highways / Airports / Power projects .. etc


Of course , " Experts of Economy " will advance dozens of reasons , why this is a crazy and  impractical idea

But then , Economy of a country is too serious a matter to be left to the Economists !

A seemingly " impossible " thing gets done , simply because SOMEONE wants it done  !


Shri Jaitley :

It is still not too late to Up the AAP  !

------------------------------------------------------------------------

with regards

hemen  parekh / 12 Feb 2015

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Make    Yourself    Heard

Dear Visitor :

It is time for YOU to speak up - and demand that YOU are heard

By emailing this suggestion - incorporating your OWN improvements - to the following Policy Makers

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