Government plans to slash 100,000 jobs
The Government has announced an ambitious plan to slash 100,000 jobs over the next six years until 2020, in an effort to make State organisations more cost-effective.
State organisation downsizing is a controversial issue, and there is growing concern about its efficiency. Some say the number (100,000) is too small; others worry about negative effects arising from staff cuts. They fear those eligible for redundancy will try to lobby to stay in their positions, and those who cannot ask for help will be made redundant.
Realising the plan is going to be a hard nut to crack, because it concerns both personnel and organisation work. When people are recruited, they meet certain requirements of the organisation. Now some of them are confronted with the layoff decision.
It is not difficult when someone’s performance is assessed, but making the process clear and fair is a matter of great concern.
Their concern is not groundless. The staffing law stipulates employees who do not meet their objectives over two years will be sacked. But in reality, the stipulation has in most cases not been enforced since the law was promulgated four years ago.
The Prime Minister has admitted staff cuts have yet to live up to expectations, stating that the number of employees has actually increased since the announcement of redundancy.
Interior Ministry statistics show 56,000 more official staff had been recruited in State organisations between 2007 and 2011 since the Government’s Decree 132 on staff cuts was implemented. The figure excludes those newly employed by the Ministry of Public Security and the Ministry of National Defence.
Staff cuts are a complex issue that cannot be addressed overnight. It’s worth reiterating that more than a decade ago, 13 provinces and cities scaled down 7% of its workforce, saving nearly VND15 billion, and increasing the monthly income of State employees when a Government pilot programme on staff and budget allocation reforms was introduced.
However, shortcomings stemmed from implementing the programme, and the bottom line is how to quantitatively define the number of competent staff required. In addition, the downsizing process created the “give” and “take” mechanism that often leads to corruption.
The Interior Ministry’s draft decree to slash 100,000 State jobs in six years has been publicised for residents’ opinions. To make it realistic, it is imperative to clarify positions in each State organisation, separate State management from public service management, arrange transparent recruitments through exams, and frequently assess staff performance.
Organisation downsizing is effective only when it is applied to the right organisation and people.
