"We have commitment to merit. We should also have commitment to affirmative action. Corporates can recruit people on the basis on potential and not necessarily on the basis of actual accomplishments in some tests," he said while addressing CII's 2nd National Seminar on CSR.

Parikh's comments assume significance in view of the efforts being undertaken by the government to persuade corporates to take affirmative action voluntarily by providing jobs to people belonging to scheduled castes and scheduled tribes.

The Planning Commission Member further suggested that corporates can devise methods for measuring the potential of a candidate and then provide necessary training to him to enhance his skills.

"Poor will have all the incentives to work hard," he said, adding that by adopting such methods corporates can take affirmative action without compromising on merit.

The industry associations, he added, can play a role in promoting affirmative action as it would not be possible for specific companies to take on the burden in view of increasing competition.

Pointing out the profit was an important motive for a company, Parikh said corporates should also adopt CSR as part of the business philosophy.