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Monday, February 20, 2006 - Web posted at 6:42:17 GMT

Unions want in on SOEs

* LINDSAY DENTLINGER

GOVERNMENT Ministers have been given a fair opportunity to govern and monitor SOEs, now the role should be extended to include trade unions and community-based organisations, the National Union of Namibian Workers says.

On Friday, the NUNW - the largest union grouping - was the last organisation to make submissions on the State-Owned Enterprises bill to a National Council committee, saying Government had "lost the context and mission for which parastatals were created in the first place".

The composition of the Governance Council would only amount to "recycling" the same portfolio Ministers who had failed to take proper control of SOEs in the first place, said NUNW Acting Secretary General Evilastus Kaaronda.

"This, as history tells us, will create just another club of elites and would therefore not take us to the promised land," said Kaaronda.

"The creation of this council as a new structure, only to be staffed by the same people, some of whom are were line or portfolio ministers of some of the parastatals (ailing or otherwise), is unlikely to render it effective," said Kaaronda.

Kaaronda said "social partners" had to become involved in formulating policies to regulate SOEs, as well as monitor and evaluate their performance and service delivery.

He said affordable service provision was crucial to workers and the unions were worried that the law was meant to lead to the further privatisation of SOEs.

Kaaronda said reforms and efficiencies of the private sector could not be applied to the public sector, if the interests of the majority were to be protected.

"It is indeed disheartening and a shame to note that to date, the Government does not have any clearly defined parameters to provide guidance to these obviously important entities in our country's economy."

The NUNW said the more representative the council was, the better the chance of appointing more competent people.

"Let's broaden the scope so that we have more options."

He said workers were not in favour of political appointments to parastatal boards and that the search had to be broadened to find individuals who possessed the necessary knowledge and skills to direct the enterprise concerned.

Kaaronda said a Governance Council made up of Cabinet ministers would also affect the appointments they made to SOE boards.

He said poor investment decisions parastatals had made recently could be ascribed to incompetent staff.

The NUNW added that CEOs were paid way beyond what they were delivering and told the committee that salary structures at SOEs definitely needed to be reviewed.

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