Such decisions, which increase financial burden to the government, have been taken without consulting with the Ministry of Finance (MoF). [break]
An initial study conducted by the MoF shows that the decisions on perk and benefits are targeted directly to benefit old employees, who are soon retiring from the jobs, rather than encouraging younger employees.
“Trade unions are found to have been pressuring the board of directors to increase the post-retirement benefits for employees rather than long term benefits for all the employees and the concerned enterprises,” a senior official at MoF told Republica on Wednesday. “The trend is more common in major PEs such as NT, Nepal Electricity Authority (NEA) and Nepal Airlines Corporation (NAC).”
In a bid to discourage such practices, MoF recently directed the board of directors of Nepal Telecom not to implement the decision to increase pension, medicine allowance, insurance and childcare facility for its employees. “Though the PEs are free to take decisions, they, however, need to consult MoF before taking such crucial decisions which increase financial burden to the government,” said the source.
The officials also said trade unions also use their political influence as well as from their umbrella unions if the government doesn´t accept the decision of the board meeting.
At a meeting held on Wednesday, MoF officials raised serious concerns over the NT board´s unanimous decision to raise perks and benefits of the employees without consulting the ministry. “We have reminded NT officials that they have to make decision as per the direction of MoF,” the source added.
Through the study, MoF officials also found that NT board members were receiving Rs 25,000 to Rs 30,000 per months in the name of meeting allowance. “NEA is creating 900 posts to permanently appoint employees from amongst 1400 daily wage and contract based employees,” the source added.
Most of the Public Enterprises (PEs) have no vision about their future course of action due to appointment of chief executives through political and financial influence, shows initial investigation of the Ministry of Finance (MoF). A highly placed official told myrepublica.com that the PEs are facing lack of concrete policy to strengthen their financial condition as their chief executives -- chairmen or general managers - are frequently changed.
The study also showed that the some of the PEs such as Timber Corporation of Nepal (TCN), Nepal Drugs Ltd (NDL) and National Construction Company of Nepal (NCCN) are facing huge overstaffing and shortage of technical manpower required for them. “We have seen that over 200 staffers of TCN, 200 staffers of NDL and 150 staffers of NCCN can be immediately laid off to lower the huge operating cost,” the source added.
Seven drivers for a minister!
The study also found that seven drivers, who don´t have driving licenses, have been appointed for Minister for Commerce and Supplies Rajendra Mahato. “They are found to have been drawing salary of Rs 11,065 per month without attending the office regularly,” the source said.
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