Friday, March 29, 2024

Chikwanda defends governments employment freeze till 2015

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Finance Minister Alexander Chikwanda
Finance Minister Alexander ChikwandaFinance Minister Alexander Chikwanda

Government decided to freeze employment in 2014 to ensure that there are sufficient funds for the provision of basic social services and investments in public infrastructure, Finance Minister Alexander Chikwanda has said.

Mr Chikwanda said the move was also meant to reduce the proportion of Government revenues spent on the public service wage bill, which was currently projected at more than 52 per cent in the 2014 budget.

The minister said this in a ministerial statement in Parliament yesterday. He said the employment freeze excluded the posts that fell vacant due to retirement, resignation, death and others.

Below is the Full Ministerial statement

Mr. Speaker, I wish to thank you for according this opportunity to provide a statement in relation to the comments that were made on the floor of this house by my colleague, the Honourable Minister of Community Development, Mother and Child Health.

My statement is on the proposed recruitment deferment in the public sector, which I announced in my budget speech. Mr. Speaker, I wish to reiterate that, in order to ensure that there is sufficient fiscal space for the provision of basic social services and investments in public infrastructure, and reduce the proportion of Government revenues spent on the public services wage bill, which is currently projected at over 52 percent in 2014, Government has proposed a deferment of net recruitments to 2015. By net recruitments, Sir, I mean the creation and filling up of NEW POSTS in the Public Service.

THIS EXCLUDES the replacement of posts that fall vacant due to retirements, resignations, death and dismissal, among other factors. Mr. Speaker, this policy means that all those institutions which will embark on the REPLACEMENT of staff for the reasons I have highlighted above, will be authorized to undertake such recruitments because these positions are already provided for in the 2014 Budget.

Sir, with regard to recruitments under the Ministry of Community Development, Mother and Child Health, I wish to inform this august House that TREASURY AUTHORITY WAS GRANTED IN MAY 2013 TO RECRUIT 952 HEALTH PERSONNEL. It is expected that the Ministry will fill all these posts by the end of 2013. Should the Ministry not complete the recruitment to fill all the posts this year, the Ministry will still be allowed to fill the balance of the posts in 2014 SINCE THE RESOURCES ARE ALREADY PROVIDED IN THE 2014 BUDGET; based on the treasury authority obtained in May, 2013.

25 COMMENTS

  1. That the employment freeze include Chilufya Sata’s addiction to employee deputy ministers and Kabimba’s demanded positions to cadres?

  2. Any way, after examining the rule of KK, Chiluba, Levy, RB and now Sata, I’ve come to the conclusion that it takes a Bemba President to suffocate citizens and devastate our country.

    • It such a disappointment to have Guy Scott as a top govt official leading the cabinet and answering on behalf of the president of Zambia. There isn’t a statement that Mr Scott makes with out involving or passing the excuse to someone else or something else. Every time he is asked questions, challenged about an issue, he always looks for someone else to blame, NEVER himself or collectively never answers with confidence and efficiency. If this is what represents good governance then forget about replacing this government. Zambia will continue to drift into the unknown and became another entity that means nothing or simply not worth paying attention to. Zambians need to crack the whip and stop this show boating in the House that is responsible for making rules that govern the country.

    • I am suffocated by Sata’s Wisdom comment above. Surely can’t we logically debate an issue without bringing in the Bemba tribe. You know very well that since independence Zambia has never been presided over by a president of Bemba by tribe. Three Bemba dialect speaking presidents KK,Chiluba and Sata are not Bembas by tribe. Let us debate peacefully without bringing tribal connotations. KK is Zambian by birth not tribe, Chiluba was of the Kazembe Lunda Kingdom, Sata is of Bisa tribe from Mpika. Actual Bembas are found in Kasama, Chinsali, Mporokoso, and Luwingu. Myself I am Bemba speaking of the Chishinga tribe of Kawambwa. Leave the Bemba tribe alone and debate issues peacefully and reasonably.

  3. Any way, after examining the rule of KK, Chiluba, Levy, RB and now Sata, I’ve come to the conclusion that it takes a Bemba President to suffocate citizens and devastate our country.

  4. Govt will in 2014 implement the new retirement age of 65 years. The freeze and revised minimum wage means youths must endure 12 years of unemployment. It takes a Bemba to torture Zambians without any reactions. Millions of Zambians are happy or coerced to that this is the best solution ever and come 2016, Sata for President, if he’ll still be alive that is.

    • My Bro. Sata’s wisdom, the subject deferment of net recruitment to 2015 is for creation and filling up of completely new posts in the public sector. The already planned replacement of approved vacancies will continue to be filled coupled with my new jobs in private sector. Do not alarm the nation! Unemployment is rife world wide, self-employment skills and entreprenuership and farming are the answers, than inciting people to react anyhow. Jobs would always be there for higher-achievers and innovative hard working individuals and youths. I implore you again let us debate logically and reasonably not for argument’s sake.

  5. Employment like other economics can be catergolised into three common cyclical ,frictional , or structural.

    The minister means well but a review of the practical issues in Phillips curve and the Ricardo Barlo is what seems to be addressed here.Yu simply cannot continue unless you grow your economy to support the numbers.The private sector should take up the initiative and compliment gov efforts

  6. Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!Planing!

  7. On Retirement age its important to understand the trends in labor economics globally and in particular Zambia’s and match our liabilities and assets in pensions for those retiring accordingly avoiding the generation effects and the issues that go with unfunded pension schemes.

    Each economy according to aging and labour population statistics must be aligned accordingingly to match assets in pensions and liabilities as it where.

    Though the current trend in retirement age in developed countries is as well articulated by lab our minister but I think in my own review of napsa and other pension schemes around its important to support well meaning labour and pensions reforms

    j

  8. @ Joanthanmhango Financial Analyst, I reserve most of my opinion. But just to bring you to reality a bit. The construction of 650 health posts across the country is underway, the number of schools, universities, colleges etc is also earmarked to be increased significantly. Must these new infrastructures remain unmanned for two years and remain yawning white elephants during the period. Further, is there a study that can be pointed to the current number of teachers, nurses, doctors etc is commensurate with existing positions. Sometimes its important to swallow one’s pride and admit failure.

  9. @Joanthanmhango Financial Analyst, we are all aware of the fiscal deficit created through wasteful spending but patriotism to our tribes, regions etc will not just allow us concede mistakes. Because truth be told, bye-elections, useless tribunals, unplanned for stadia have fiscal space while some schools in rural areas are manned but just one teacher because there is no fiscal space to recruit. In the case of Zambia and the current job and wage freezes, frictional etc employment do not apply.

  10. its well understood correctly but I bet there was foresight to recruit for the foreseen commissioning of those posts.

    The numbers recruited must be surely been taken care of by the pmd and numbers slotted.If that was not done then its a serious laps.But I think the recruitment was done in anticipation of the commissioning.i have not seen the establishment but will be glad to see it and look at it.

    But then it will be an opportunity to transfer and promote coesion amongst tribes if that was not done Bembas going to mongu and southern then tongas and lozis and lenjes going eastern and northen just like we

    That is why there is the concept of maximization and optimization of…

  11. I donot think its outright freeze there could be structural frictional and cyclical unemployment in government scetors that will require adjustments to restructure and fill those positions as it were without exceeding the numbers.Replacing those retiring leaving and aligning labour to optimize the labour needs at the same time reacting to the needs accordingly

    Where not a private public participation can be encouraged to help supplement Gov efforts some viable boarding schools or hospitals can be given to churches and individuals to run since gov may be constrained.

    Leasing and participation might be an alternative especially in socially viable areas

  12. @ SATA””s WISDOM, NO EMPLOYMENT FREEZE ON PRIVATE SECTOR,THE BUILDING OF CLINIC,NEW DISTRICTS AND UNIVERSITIES WILL BE UNDERTAKEN BY PRIVATE SECTOR BUT FUNDED BY GRZ.SO IT ONLY GRZ JOBS ON FREEZE.

  13. Fine you made your point Hon. chikwanda but please learn to stick to your budget.Down size the deputy ministerial positions to reduce on the wage bill.By elections have also contributed to huge expenditure witnessed in 2013.Own up for once you government leaders.stop cheap politicking when it comes to matters of the economy.Reduce on borrowing but broaden the tax base.

  14. Nama increaments yene just help to devaluate the kwacha how can salary be increased by 10 to 20%!!!!!! in a country where unions bargain every year. ala fimo mulekopako how other countries do it, if you get a 7% increament in this part of the world the agreement is that it is distributed over a period of 3 years (the time it takes for unions to go back for bargaining again) so you get an initial 2%, 2.5% in year 2 and another 2.5 % in year 3 at the end of which bargaining starts again, iam not an economist but i think this way inflation is cushioned. but 20%! no wonder employers fail to pay!

  15. The practical application of the recardian equivalence and simple Financial and security analysis to position revenues and debt accordingly.The intention from people and Minister is well read and should be supported

  16. The practical application of the recardian equivalence and simple Financial and security analysis to position revenues and debt accordingly.The intention from people and Minister is well read and should be supported

    surplus and deficits accordingly

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