Delusions of income equality.

Saeeda, a part-time maid, never had it easy. It has always been tough for her to sustain the family on her own and the fluctuating meagre earnings of her husband Moin, a self-employed house painter.

Now with steep inflation, the family income falls short to cover their basic needs. She wanted her employer to provide a monthly ration on top of her salary. Their refusal has embittered her sorely.

'We also deserve to live. What did it matter to them when they can spend more on the litter of their pet than what my monthly ration costs? After toiling hard, the thought of children sleeping hungry is horrifying. It is so unfair,' she mumbled talking to the writer.

Sadly, Saeeda's story is not peculiar. There is growing awareness and resentment in the working people towards income disparity.

UNDP estimates that the economic privileges of the elite amount to Rs3.6tr or roughly 6pc of Pakistan's economy

The denial in official quarters, therefore, sounds delusional. Senior tiers in the relevant ministries insisted that the rich-poor gap in Pakistan has been falling gradually since 1998-99.

They did share concerns over salary differentials in their ranks and with their equals in the private sector but had no clue about wage ratios in the public and the corporate sector.

The wage ratio is the ratio of the top to bottom salaries in a company. A high wage ratio is understood to be a factor contributing to rising income gaps in a country. With global concerns rising about inequity and its consequences on growth and political stability, many developed countries are making it mandatory for companies to report pay ratios to better deal with the issue.

Solid data is not available but close observation suggests that wage ratios are steeply higher in the private sector compared to the public sector in Pakistan. The Security Exchange Commission of Pakistan was approached for their input on wage ratios but they did not revert with a response till the filing of this report.

The current economic survey wrapped up comments on inequality in three paras and a table in the chapter on the social security initiatives. It states: 'Over the years, the pattern of income distribution in Pakistan, measured in terms of Gini Coefficient and household income share of the lowest and the highest 20 per cent for rural and urban areas has been mixed and moderate.

'The Gini Coefficient of household income had been around 0.35 or below since the 1960s, reaching 0.407 in 1990-91, 0.410...

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