BAM, MCCI wants Performance Contracts in Public Service

BAM, MCCI wants Performance Contracts in Public Service

The business community has asked President Professor Peter Mutharika to add to public sector reforms a term ‘Performance Contract’ to enable government track performance of every person working in public service and hold accountable to every state enterprise and parastatals.

The call was made on Wednesday evening at Kamuzu Palace in Lilongwe during the launch of Projects Compendium and National Dialogue on Private Sector Development a business community interface with the president where they discussed in camera with the President several challenges they are facing as well as outline ways to enhance good business environment.

Speaking before the meeting was held in camera, Bankers Association of Malawi (BAM) President Mishek Esau said lack of provisions that force state enterprises and Parastatals to periodically publish their performance, is a big challenge that is encouraging poor governance of such institutions and its employees.

He cited the Judiciary as one of the public service which is affecting Banks and other institutions when they try to access justice.

“We are facing slow justice system” he said “We need to improve the court system to make the work of courts more transparent.”

Esau said their proposed reforms on access to finance can see success if justice system is efficient “We would like to emphasise that the success of all these reforms also depends on the speed with which the justice system delivers judgments. We have the problem with this area your Excellency.”

If this is not dealt with he warned, “Our world rankings on doing business will not move because there is logjam in the courts. Nothing is happening. And the statistics on court cases that companies are waiting for is alarming.”

He therefore said Banks are proposing that President Mutharika should direct that there should be publication of judgments & injunctions delivered per judge and proposed that this could be done per half year. He added that, there could also be introduction of Performance contracts for judges just to ensure that judges are working hard.

BAM president also raised concern of poor governance in state enterprises and parastatal, “We believe this retard public and private sector development, lack of accountability is a major issue the result is everyone is a looser.”

“We reiterate the introduction of performance contracts for all state enterprises and parastatals and the publication of performance by state companies. One of the good example is what MRA (Malawi Revenue Authority) does. MRA publishes how well it has done in a month. So MRA is one such parastatal that is accountable to all of us. Is it because it deals with money? We are proposing that all the parastatals should account to all of us.” He said

“We need to introduce service charter for ministries. Ministries should account what they have done. We need to improve the work ethics in this country. Currently people don’t want to work, they want money” said Essau

Speaking on challenges affecting Private Sector by Malawi Confederation of Chambers of Commerce and Industry (MCCCI) Chief Executive Officer Mr. Chancellor Kaferapanjira also bemoaned on the same but dwelled much on administrative delays and said must be dealt with.

“I think every worker must be given targets and must be monitored in terms of achievement and must deliver. For whatever they paid, there must be a value for that kind of money. You cannot just keep people idle just coming to work without necessarily earning the money. Whatever some of us earn we actually proven that we have delivered the service in exchange.” said Kaferapanjira

“Thank you your Excellency for the public sector commission and we hope that after some time we will start seeing the results. But holding people and parastatals accountable, I think this is extremely important. Set targets and everyone must deliver!” he said