President John Magufuli’s vow to slash the salaries of top executives in public institutions and corporations has sparked a passionate debate, with some commentators saying the decision takes us back to the Ujamaa era. The promise drew mixed views yesterday and was the trending subject on social media and radio stations as a cross section of the public offered its views on what would be a first in Tanzania.
The emotive debate was divided between those who felt that the President’s move would hamper the previous government’s vision of attracting Tanzania’s best brains to bring professionalism and efficiency in the public sector and others who were of the view that huge wage disparities were giving rise to classes in Tanzania.
It also thrust to the fore plans for the establishment of a national wage policy to guide the setting of salaries for both the public and private sectors, even as some people felt the government should approach the matter tactfully so as not to alienate the skilled labour force. Addressing a public rally in Chato—his home town—President Magufuli said starting from next financial year, no executive of a public institution or corporation would be paid more than Sh15 million per month. Reports suggest some of the country’s top earners in the public sector are paid up to Sh40 million per month.
Speaking to The Citizen in a personal capacity, the executive secretary of the Association of Tanzania Employers (ATE), Dr Aggrey Mlimuka, said although the President has the mandate to increase or reduce the salary of a public servant, such decision should be made after conducting a thorough research.
According to Dr Mulimuka, a move should be made after finding out what made the wages for executives in public institution sky rocketed in the first place.
He advised Dr Magufuli to form a special commission which will investigate the issue just like what his predecessors did.
Dr Mulimuka expressed pessimism on whether the government will be able to slash wages of executives in public institutions in such a short period.
To bridge the salary gap between the low earners and high earners, Dr Mulimuka advised the government to introduce a national policy on salaries and other remunerations.
“We should have a national wages policy which will prevent the salary gap between lower and higher earners; the policy will prevent top officials in public institutions from increasing their salaries whenever they deem fit,” said Dr Mulimuka.
According to him although labour laws are uniform, they vary depending on employment contracts of individuals.
The secretary-general of the Trade Union Congress of Tanzania (Tucta), Mr Nicholas Mgaya, said Tucta supports President Magufuli’s move because it will help to bridge the salary gaps among public servants.
He said there are some government institutions which have branded themselves “agencies” or “authorities” to use the status to pay themselves unjustifiably high salaries for jobs that are similar to those in other institutions and public corporations.
“Heads of these agencies are accountable to the permanent secretaries in their respective ministries but they are paid up to five times more than their bosses. This is illogical. That is why people are ready to pay huge sums to buy jobs in these agencies,” said Mr Mgaya.
Commenting on the matter, a private consultant in leadership and public service management, Mr Jesse Mashimi, said he understands that the President wants to bridge the wage gaps among public servants.
However, he said he wasn’t sure whether the President is using the proper model.
“I understand that the President is trying to bridge the salary gap between low income and high income earners in public entities just the way it was under Ujamaa,” said Mr Mashimi.
He added, “We are now in the market economy that’s why top officials in public institutions are paid very high salaries.’’
According to Mr Mashimi, salaries for top officials in public sectors started to rocket when the country adopted the Zanzibar Declaration which killed the Arusha declaration, the blueprint of the ujamaa.
For his part, a political science lecturer at the Ruaha Catholic University (Rucu), Prof Gaudence Mpangala, echoed Dr Mulimuka’s call for the establishment of a national remuneration policy, which, according to him, would limit the income gap.
“We don’t have a national vision that stands for equality…everyone is thinking of his own regardless of how it affects others…at the end we have a huge income gap,” he said.
According to Prof Mpangala, President Magufuli is using guidelines from the Arusha Declaration that looked at equal rights, reducing the gap between the have and have not.
Previous administrations increased the salaries for the executives of public institutions and corporation executives in order to attract best brains, who were working in the private sector, to the public sector.
Some fear that President Magufuli’s plans will scare away those brains from the public sector.
Addressing the nation from Chato’s Mazaina grounds yesterday, the President said it was a shame for a poor country like to Tanzania to have people in public institutions pocketing up to Sh40 million while those in junior positions received a mere Sh300, 000 per month.
Dr Magufuli revealed that he had set up a special team that is working to ensure there is equal distribution of the national cake, starting from the public servants’ salaries.
He said a special review had revealed that chief executive officers of several government institutions along with members of boards of directors decided to hike their salaries and allowances to unacceptable rates.
Source: the Citizen
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