Imported Bureaucrats’ In Government Salaries X-rayed

What seems to be the stage upon which ‘morale stigma’ will take center-stage has hit the Executive Branch of Government following the declaration by the Ellen Johnson Sirleaf administration of those to benefit from the highly debatable public concern.

According to the new salary structure one sees a huge compensation for what observers viewed as the untouchables comfortably seated in the Cabinet realm while heads of public corporations are caught between the scissors with their fabulous and exorbitant salaries forced to be decapitated.

As the debate heats up with mixed-signals all those in the cabinet wing including the President and Vice President, head the untouchables regarding the new salary structure as announced and bulletined by the Ministry of Finance, Development and Planning (MFDP).

Liberia’s Minister of Finance, Development and Planning, Mr. Amara Konneh’s latest decision to reduce the excessive and lucrative salaries of senior public officials has been welcomed by the some ordinary people reservation.

However, in a brief chat with some citizens carious to know the driving force that prompted the creation of the controversial new salary scheme, some were quick to wonder about just why are those picked to benefit from the highest incensement in the Sirleaf administration most especially amidst the appalling and abject poverty wrecking the hope and aspirations of thousands of hunger-stricken Liberians nationwide gravely struggling to make ends meet.

Some of them told this paper that the excessive salaries are paid to some alleged corrupt, misplaced or recycled officials who according to them, reportedly were unemployed, or occupying bordering positions in the United States and Europe. Some of these officials they said, now were earning monthly salaries ranked between US$9,000 to US$20,000 before the ushering of the new salary scheme at the upmost disregard of a civil servant (genitor) who keeps public offices hygienically up-to-date yet is paid a monthly salary of US$125.00.

They connected the argument to the huge disparity in the payment system weighing the lucrative and excessive monthly salaries and other benefits to public officials including cabinet ministers, deputies, heads of Public Corporations, Commissioners, autonomous agencies and specialized agencies, something they say has drawn the attention of President Sirleaf.

The disparity they continue reflected morale problem in the wake of these excessive and lucrative salaries; as other cabinet ministers, deputy ministers and other senior officials received below what some of their colleagues on the same cabinet ministers and deputy ministers’ levels received monthly.

The payment of excessive salaries continues to create concern especially among the senior public officials. In spite of the lucrative salaries and other incentives, many of these officials have boasted of providing sacrificial services to Liberia, some of those talked to asserted.

The excessive lucrative salaries have shown in the draft national budget for 2015-2016, as budgetary appropriation for wages and salary related expenditure is now 69% (US$363.5 million) of the totaled expenditure of US$517 million.

Among the highest paid public officials includes Liberian Maritime Authority Commissioner, Mr. Binyah Kesselly, who earned a monthly salary of US$20,000; National oil Company of Liberia (NOCAL) Chief Executive Officer, Dr. Rudolph McClain, earned about US$30,000; Auditor General Madam Yusador Gaye is paid more than US$17,000 salary; Angele Weeks of the Liberia Telecommunication Authority (LTA) earned about US$15,000 monthly while the suspended Managing Director of the National Port Authority (NPA), Matilda Parker earned similar amount monthly.

On the other hand, it is appalling and mind boggling that Liberia, a destitute nation is paying huge salaries in excess of $15,000 a month to its lawmakers. The Chief Justice and Associate Justices make $9,000 to $12,000 a month. Ministers and public corporation heads are paid excessive salaries as well while the masses or the people, at times, go to bed hungry without a meal.

What is the rationale for such huge salaries to elected and nonelected officials of the Liberian Government? Do such high salaries help the officials receiving them from engaging in corruption? It seems that the huge salaries, especially paid to the legislators are encouraging some of them to continue to allegedly engage in more acts of corruption with impunity, noted the some of the people.

The excessive lucrative monthly salary is compounded at the national legislature with each member of the House of Representative and Senate earning over US$15,000 and US$17,000 plus scratch cards, gas slips, vehicle repairs, maintenance of offices, medical, insurance, laundry, and travel allowances, among others.

According to statistics, the legislature each budget year, the national legislature has the highest percent of increment.

On the list of highest paid officials includes the Minister of Finance, Development and Planning, Amara Konneh who sources about US$20,000 monthly including other benefits; while the Speaker of the House of Representative, Mr. Alex Tyler and the President Pro-Tempore of the Senate, Mr. Amah each received a monthly salary more than US$20,000 including huge excessive benefits.

The Chairman of the Liberia Anti-corruption Commission (LACC), Cllr. James Verdier earned about US$12,000 monthly with similarly earning to Managing Director of Liberia Petroleum Refining Company (LPRC), Mr. Sumo Kupee.

Also on the lucrative paid salaries include Chairman of the National Elections Commission, Cllr. Jerome kokoya who earned over US$10,000 monthly while the deputies at the General Auditing Commission (GAC), Finance, Development and Planning Ministry, NPA, and LACC are paid around US$9,000, while the Heads of Commissions such as the Internal Audit Agency (IAA), Lands Commission, Governor Commission, Roberts International Airport, Vice presidents of NOCAL , and National Human Rights Independent Commission earned around US$10,000 monthly until the new salary axe dropped.

The payment of excessive salaries excludes scratch cards, gas slips and vehicle repairs and maintenance of offices, medical benefits and travel allowances, among other benefits.

President Sirleaf recently called on the Board of Directors of both NOCAL and NPA to with immediate effect; nullify all resolutions passed approving excessive benefits for departing senior managers and board members. The Executive Mansion stated that the Liberian leader has already mandated the respective boards to scrupulously implement the decision.

The Board of Directors of the two companies passed resolutions granting huge benefits to retiring members when these two Boards have not been able to help the entities make sound decisions. The NPA Board took part in approving an agreement that led to the entity paying more than US$800,000 to a bogus contractor while the NOCAL board could not help safe the entity from wasteful spending which has pushed the company into an financial quandary.

In 2013, Cabinet endorsed a payment scheme that saw pay increases more than double their salaries at the time. At the time, the government explained that the move was aimed at a Civil Service reform intended to reduce government's recurrent cost.

Prior to that announcement, senior ministers earned a gross salary of US$2400, with a net pay of US$1800 after tax. This does not include their per-diems and other allowances and benefits.

The 2013 scheme which took effect January 2014 saw senior cabinet ministers earning US$6,000 monthly, while their deputies and ambassadors earn US$4,500; and assistant ministers, US$3,000. Under that pay scheme, officials were tasked with paying directly for their scratch cards, gas slips and vehicle repairs and maintenance.

Few months after the pronouncement by the Minister, President Sirleaf in a presidential directive issued June 29 ordered reduction in the income of government employees mainly from the top while at the same time mandating heads of ministries, agencies, autonomous Commissions to ensure appropriate adjustments at the lower level within their institutions.

As a follow-up to the presidential directive, Acting Minister of Finance and Development Planning, Mr. James F. Kollie in a memorandum issued to heads of agencies and other institutions under the Executive Branch of Government communicated the new measures. Minister Kollie indicated strict instructions to ensure that the spirit and intent of the memo are fully executed effective July 1, 2015.

Stated the memo from Acting Minister Kollie “According to the Presidential Directive, you are to ensure beginning July 2015 pay period that your gross monthly salary inclusive of all compensatory allowances shall not exceed US$7,000.00 and that of your deputy (ies) as the case may be, shall not exceed US$5,500.00.

Based on the above, your management team should then institute broader pay adjustments to those of lower ranking within your organization”. Before the presidential directive, there was no coherence in salaries across government until the cabinet approved a salary structure in 2014 which did not affect autonomous commissions and other agencies of Government.

The cabinet approved salary structure which took effect in January 2014 increased the salaries of senior ministers who earned gross salary of US$2400, with a net pay of US$1800 after tax. Under the new payment scheme which took effect January 2014, senior cabinet ministers have been earning US$6,000 monthly, while their deputies and ambassadors earn US$4,500; and assistant ministers, US$3,000.

The scheme was also explained at the time as a means of bringing to an end the disparities in the disbursements of general allowances and was reportedly tied to the scrupulous implementation of the performance contracts signed between political appointees and the President.

In recent weeks, members of boards of public corporations have been formulating packages for retirement to the detriment of their respective agencies prompting President Sirleaf to order the nullification of these resolutions.

Of late, Liberia’s Finance and Development Planning Minister Amara Konneh declared that the Government of Liberia is spending bulk of the revenue generated about 60% on administration which includes salaries and other incentives to government employees.

Minister Konneh speaking in the United States disclosed that under his watch as Minister, the Ministry has collected US$3.1 billion in revenue but 60% of this amount has been spent on government administration which represents just 40,000 people of the total population of Liberia.

When the Sirleaf-led government assumed power in January 2006, a lot was made about officials returning from the Diaspora and other parts of the world making the ultimate sacrifices to return home and contribute to the resurgence of a post-war nation emerging from war.

In a bid to woo qualified Liberians both at home and abroad to lucrative but important positions, the government and some international partners came up with multiple proposals aimed at making offers to potential appointees appealing. Thus, many were paid between US$10,000 to $US15,000 and appointed to boards of several public corporations with board fees in a bid to enhance the monetary package.

Amid the disparity, there were other ministers who did not have that arrangement but were supplemented through either the Senior Executive Services (SES) or the Token Program (TP). Both the TP and SES came about after some ministers raised concerns about the disparities to Cabinet. However, it was left to the discretion of the President to decide which ministers received supplement to their salaries.

The presidential directive will be a big dip in income for some autonomous commissions with high payroll where heads of these commissions are among the highest paid in Liberia. Some officials will have their salaries cut by more than 50% to fall in line with the directive that no official should have their gross monthly salary exceeding US$7,000.

As per the new directive, the Deputy of the IAA is expected to earn around US$3,500 far below the current earning of Directors at the agency. The agency which was created through the Public Financial management Act was established in December 2011 as the Internal Audit Secretariat mandated to submit its report to the Auditor General.

Since the entity gained agency status, it has been carrying out its own recruitment and adopted the process of awarding renewable yearly contracts to workers, paying salaries far above other similar commissions and agencies of government. Entities such as the LPRC, NEC and others also pay high salaries, will be affected by the presidential directive.