Advantages and disadvantages of the private sector
This is the private partnership of the economy. It is usually owned by private groups of people and can either be profitable or non -profit. The difference between private sector and public sector is that in public sector everything is owned by the government.
Here are some of the examples of the private sector: designers, developers, legal services, retails and hospitality.
Private sector can be good and can be bad when compared to public sector thus given the reasons. We will discuss both advantages and disadvantages of the private sector.
Here we will start with the advantages of the private sector compared to the public sector.
- Larger salaries – unlike in the public sector (government organization) people render services or sell a finished product but here in private sector mostly workers are producing a certain product or a services, so it makes their salaries bigger as they are regarded as producer.
- Vacation time –employers in private sector encourages their workers to work hard and in return they award them. For example, hard workers get vacation times with their family as a reward for them to rest after the hard work they did.
- Annual bonuses –here you earn as you work, the bonuses that people get is determined by the work they do throughout the year. If you work hard then the bonus is going to be fat but if you don’t work hard then the bonus will be less. An employee must be dedicated and work extra hours.
Here we will discuss the disadvantages of private sector compared to the public sector.
- Exploitation –workers are exploited their rights in private sector. They are working extra hours and not get paid all in the name of jobs are scarce. Others are working jobs that are not in their job description. For example: when you are an admin clerk of a certain company and they make you clean their offices after work.
- Man dominance – most private sectors are dominated by man and this makes it very hard for women in the sector to grow professionally. Mostly man with big positions undermines women in the private sector. Women end up sleeping with certain man in order to grow and get promotions.
Salaries – when it comes to salaries, it falls under both advantages and disadvantages. In private sector you get paid when you work. If you don’t work then you don’t get paid. Which is why leaves without pay are more active in the private sector.