Cutting down gov’t. expenses

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Posted on Jul 22 1999
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Privatization is perhaps the most feared word among public sector employees who are used to long coffee breaks in and out of the office, lack of training to upgrade their skills, what with perks that are far more attractive than those in the private sector.

In the process, we’ve talked endlessly of bringing some sense of equal footing on perks only to find that we’re quite long on talk, awfully short on resolve. The unfortunate though prevailing mentality is the take for granted attitude that money rains into the local coffers from the blue skies of paradise.

The fact that no one in government is required to turn in a profit at the end of the year only perpetuates the wasteful attitude that the perceptual good times will never end. This is further translated into “no worries”, it’s “the government”. Thus, the ultra-sense of neglect and the trashing of responsibility and accountability in the closest trash bin.

Privatization isn’t a bad word altogether and in no way is the role of government completely halted. It must still be around to ensure that services being provided by the private company are met forthwith. In other words, services and the fate of employees are fully taken into consideration although the process would be a world of difference in the delivery of services.

Employees would have to hone their skills, work efficiency and productivity. You’d have your coffee breaks only this time, it isn’t an all day affair but strictly limited to not more than 15 minutes in the morning and in the afternoon. You’d have to produce so that the company makes money to pay for your salary and those of investors or stockholders. Your effort, assuming you’re a productive and efficient employee, would translate into black ink or profits at the end of the year. And if all goes well that year, you might receive some bonus to spend during the holidays.

One agency that is ripe for such transition is the Commonwealth Utilities Corporation. Imagine the millions of dollars in savings if this profitable agency is turned over to private companies. Services would be prompt and efficient. In other words, new applicants for water, power and sewer need not wait several years for these services. Their emplacement time would be reduced considerably to delight of applicants or consumers for having been rendered efficiency in their need for basic utility services.

We need not take junket trips outside of the NMI to take a glimpse of what happens when government run agencies are privatized. Micronesian TeleCommunications is a sterling example of success in the privatization of the phone system that was once under the former Trust Territory Government. It had a slow start but a sure start that has become a giant in telecommunications in this part of the world. The benefits are better and far more efficient for consumers in a global village that must embrace the information superhighway in the next millennium.

And this is just as good a time to privatize CUC and all government agencies that compete with the private sector to reduce allow private companies to rake-in more money and in the process, reduce the size and cost of a huge bureaucracy that taxpayers have been forced to shoulder unnecessarily. A step in this direction isn’t an option but a must given the substantial slide in revenue generation since two years ago. Now, let’s see some real leadership!

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