By McPherse Thompson, Assistant News Editor
Prime Minister P.J. Patterson answering questions from the media at yesterday's post-Cabinet press briefing at Jamaica House. In the background is Information Minister, Burchell Whiteman. - Rudolph Brown/Staff Photographer
THE GOVERNMENT has appointed a team to examine the merger and closure of some of its existing agencies, as part of a restructuring drive to improve cost efficiency, Prime Minister P. J. Patterson disclosed yesterday.
In addition, the Ministry of Finance and Planning has been asked to present a submission to Cabinet on a programme to lengthen public sector wage and fringe benefits contracts from the current two years to three years or longer.
Speaking at a post-Cabinet retreat press briefing at Jamaica House, the Prime Minister said Cabinet Secretary, Dr. Carlton Davis, and Financial Secretary, Shirley Tyndall, were mandated to lead a team to examine a number of recommendations to restructure the public sector through mergers and closures "by taking others to the final stages of divestment and, wherever possible, for the sharing of services between ministries and departments."
Although he did not elaborate on the move, the Prime Minister said the team is expected to report to Cabinet in time for the presentation of the Throne Speech when Parliament opens for the 2003/2004 Financial Year in April.
Mr. Patterson also announced that the Ministry of Finance would be presenting proposals as to how best to contain wage increases below the level of inflation. "We will be seeing which other bargaining units can move from two years to three years as the period of wage contracts," he said. He also said the Government would be re-examining the pension arrangements of civil servants "in the light of some changes that have taken place for new recruits."
However, he cautioned that all of that would have to be discussed with the Jamaica Civil Service Association (JCSA) and the various unions that represent different groups in the public sector.
The Prime Minister also said the Ministry of Labour reported that applications were now in for a team that would constitute the leadership of a new productivity centre, to be sited in the Ministry of Labour and that would allow for productivity-linked pay increases and production incentive schemes to be encouraged.
Earlier, Mr. Patterson said that in so far as the fiscal budget was concerned, the retreat received proposals as to how best to contain expenditure.
"This would have to be done in respect of the management of debt, in controlling the levels of increases in public sector wages and the proper management of pensions," he said. "We also have to make a determined effort to avoid over-runs in terms of our capital projects."
The Prime Minister, in making reference to the upcoming budget, would not say if there would be increased taxation as that "is something the Ministry of Finance holds close to his chest." However, he said that in order to increase revenues "we have to widen the tax net and we also have to look at the proper charges by way of fees for the services that have to be rendered by the state and its agencies."