Ethical Issues In Public Sector

 Introduction:

Public Sector companies are part of the economy which provides government services. These companies

are owned by the federal Government of India, or one of the many state or territorial governments, or

both. In India the sectors in which Public enterprises have a majority stake are:

 Transportation

 Power production, transmission and distribution

 Defense

 Railways

 Natural Resources Extraction

Ethical issues mainly related to corruption have always been at the forefront in regard to Public Sector

Companies. Right from the time of freedom, Indian Public Sector has seen ugly incidents of unethical

behavior. From unproductive assets to illegal contracts, these companies have had a fair share of it all.

There

Everyone, therefore, should strive to achieve the highest quality, effectiveness and dignity in

their professional work.

-All are expected to participate in setting standards for 7 appropriate levels of competence, and strive to

achieve those standards.

-Compliance with Laws:- The Board Members and Senior Management of the CPSE shall comply with all

the applicable provisions of existing local, state, national, and international laws. They should also follow

and obey the policies, procedures, rules and regulations relating to business of the CPSE.

-Manage personnel and resources to enhance the quality of working life:- Organizational leaders are

responsible for ensuring that a conducive working and business environment is created for fellow

employees to enable them delivering their best. The Board Members and Senior Management would be

responsible for ensuring human dignity of all employees, would encourage and support the professional

development of the employees of the CPSE by providing them all necessary assistance and

Alstom Transport had signed the contract worth Rupees

255crore from Delhi metro rail corporation in 2007. The contract involved the designing, manufacturing,

supply, installation and control & train system for DMRC's Metro phase-1 and phase-2. Refusing to the

comment on the issue, The DMRC spokesperson Anuj Dayal said that he has no knowledge regarding

that. Alstom currently has operation in Delhi, a manufacturing facility at Coimbatore and a software

facility in Bangalore in association with Infotech. It also set up a plant in Chennai to export coaches. The

SFO said that in 2011 it suspected that Alstom gave money to companies that bribe.

The above case is still pending it is assured that if allegation is proved true appropriate action will be

taken.

 Conclusionary Note

PSU`s constitute of complex responsibility and commitments as they have to serve both public as well as

the political leaders who are the heads of the departments. These multiple responsibilities create

situations in which the ethical dilemmas come. These ethical issues are such as:

 Conflicts of interest – Under this situation the person is in a position to derive personal