Often, colleagues and students I work with point out that my professional journey has been counter what many in public policy experience—most start out working for the public sector and transfer their expertise from that environment, including the valuable relationships they have developed, to the private sector. While this may be the “typical” process, I certainly think there is great value for those in the private sector to consider taking their skills to the public sector particularly by providing diversity of thought, ideas, strategies, and process improvement.
There are tradeoffs, however. The most discussed is the impact on compensation. Moving from the private sector to the public sector will often have an impact on an individual’s income. While public sector benefits (such as health insurance, retirement, time off, etc.) are usually far more generous than those in the private sector, the salaries are usually less generous. And, of course, there are no stock options when one works for the government.
There is also a difference of culture and pace, depending. For me, coming from a large corporation, where there was a great deal of bureaucracy, to working for the state of California, I found there to be more bureaucracy. This is not without good reason, however. The level of culpability required in the use of public dollars is extremely high. Whether the government is issuing a contract to a business for a particular service or needing to purchase office supplies, there is an expectation that state dollars are treated extremely judiciously. For me, it took some adjusting to, but these are small hurdles for enjoying the benefits of public service. (I am not sure this would apply to a smaller government, but the need for additional scrutiny on resource use, remain.)
Finally, accountability in general is higher. As a government employee, there is an expectation, from the top leaders to civil servants, that the voice we speak with and the actions we take are with a commitment and respect for the people we represent. In the private sector, this is not much different, depending on the population being served by one’s employer (i.e., customers, stockholders, etc.). But when in the public sector, we represent everyone—those we agree with and those we do not because everyone benefits from the services provided through government. Even as a private citizen, entitled to opinions of my own, I have had to appreciate these sensitivities out of respect to the public I serve.
But private sector experience, I would argue, is necessary for diversity of thought and process improvement in the public sector. The same challenges that exist in how governments operate, can truly benefit from private sector practices. Efficiency, in particular, is an area of private sector expertise that can be (and has been) modeled in government with successful results. Additionally, thought leaders in the private sector need to be more directly tied to public interests, absent conflicts of interest, to ensure that ideas that are being generated reflect market trends and the latest research.
These tradeoffs, while challenging, are worth the benefit of working on issues that help better California for all. Moreover, for me personally, I am able to trust and stand behind leadership that understands these issues and fights for betterment every day.
For anyone considering making a transition from the private sector to the public sector, I would highly encourage it—if not as a permanent shift, at least to bring the great insights from the private sector to improve government. There will always be an opportunity to leave, but I hope you will not pass on the chance to serve the public if offered.
Maral Farsi spent over a decade working in the private sector before being appointed to the California Governor’s Office of Business and Economic Development in 2018 by Governor Jerry Brown. She previously worked for Fortune 10 companies focusing on health care policy and management. She has a Bachelor of Science from California State University, Northridge, a Master in Public Health from the UCLA School of Public Health, and a Master of Science in Law from the University of Pacific’s McGeorge School of Law. She is currently the Deputy Director of Legislative and Intergovernmental Affairs working on business and economic development issues. She now serves at the pleasure of Governor Gavin Newsom supporting his goals for economic equity and a California for All.
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