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Govt bids to contain wage bill

Home National Govt bids to contain wage bill

Windhoek

Prime Minister Saara Kuugongelwa-Amadhila will soon reveal the contents of a report that the government commissioned to study measures to contain remunerative costs in the public sector – which currently stand at about N$22.9 billion annually.

The PM announced this in parliament on Wednesday after a storm of criticism from particularly opposition benches about the perceived bloated wage bill in the public sector.

Kuugongelwa-Amadhila said that she would soon submit a report to Cabinet which is premised on personnel related costs within the public service.

The PM afterwards told New Era that a study was conducted on the causes of the continued rise in personnel related expenditures in the public service and ways to address them.

“The report has now been finalised and has been under review by the OPM,” she said.

“This review was concluded and the report will be submitted to Cabinet, along with the recommendations for addressing the issue,” the PM told New Era.

MPs on Wednesday called on government to come up with interventions that would help reduce staff numbers in the public service.

DTA president McHenry Venaani said government should strive for a leaner and more efficient public service.
“The numbers within the public service are exploding and continues to rise to a point that it challenges developmental programmes, since resources have to settle the wage bill,” said a concerned Venaani.

Swapo backbencher Veikko Nekundi wanted to know why entry level positions require experience, adding that the arrangement sidelines many young jobseekers. Currently, the over 100 000 public servants cost taxpayers N$22.9 billion in wages annually.

The public service has seen a drastic increase since the new government was sworn in earlier this year. Chief among the increase is the expansion of the National Assembly from 78 to 104 members, the appointment of presidential advisors and two deputy ministers at some ministries.

This week the presidency announced two special advisors to the governor of Kunene Region.
“There are ongoing initiatives aimed at addressing growth in the public service, especially costs related to personnel maintenance,” Kuugongelwa-Amadhila said.

“A study was carried out to look at personnel associated costs, the report is with my office. The recommendations were scrutinised to agree on the recommendations on the proposed measures that can be taken to curb the continued escalation in costs in the public service,” she added.
She did not say when the report would be submitted to Cabinet.

She also mentioned that government was busy promoting innovation within the public service to streamline procedures.

“Ministries are required to have service charters on how to improve service delivery by looking at innovative ways. This will form part of the performance management agreements, which have already been concluded with permanent secretaries, while that of the ministers will be finalised by month-end so that they can come into effect at the start of October,” she said.

She also outlined remuneration package benefits as some of the measures taken to decrease numbers in the public service.

Having served as finance minister in the past, Kuugongelwa-Amadhila has on several occasions expressed concern about the increasing wage bill of government.

Concerns were also expressed about the low-income groups in the public service, with many struggling to keep up with the increased cost of living.

“The salaries of those who form part of the low-income groups were regraded and their positions were subsequently upgraded. You should remember that we provide better subsidy for those at the lower end of the public service income range. In some cases they can have up to 60 percent of their house subsidised by government,” she explained.

As for concerns about experience requirements for jobs at entry level in the public service, she made it clear that entry level positions do not require any experience, only qualifications.

“Only the positions that require managerial skills need experience. If you put them [entrants] in managerial positions with only academic skills but no experience, they may not be adequately armed to discharge their responsibilities,” she said.

According to Kuugongelwa-Amadhila: “When you penalise them for non-performance you destroy their lives, since you did not allow them to grow because you threw them in at the deep end.”

“It is important to help people grow and for them to have a meaningful income, but we have to be mindful of the fact that we have a responsibility to deliver quality service in an expedient manner to our people,” she stressed.