08-06-2007, 12:22 PM
Monday 06th August, 2007
PSA Office, Nuku’alofa, TONGA
Talks between Government and the PSA started last Thursday and Friday to discuss the grievances of the members of the PSA. Government was represented by the Minister for Public Enterprises and Information, Mr. Afu’alo Matoto. The PSA had the following 4 main concerns that affects their members to discuss:
Lost benefits;
Poor working environment;
Possible future lost benefits and job cuts;
Poor governance.
Only one of the 4 concerns above has been accepted by Government by the end of the discussions last Friday.
The Representative of Government confirmed that all the benefits will be returned. The lost benefits included 5% annual increments; acting allowance and overtime pay lost in during the period February 2006 – June 2007. To solve the insecurity over the uncertainty of the 60%, 70%, 80% pay rise, it was also confirmed that any future reviews of the salaries will not be less than the current pay rise. A Collective Agreement to this effect will be signed later.
The PSA proposed a Partnership for Quality Agreement as an attempt to improve the engagement of Government, employers and the PSA in order to develop a modern, innovative public service that is highly successful both for citizens and for the people who work in the Public Service. The Representative of Government said that it would take sometimes to convince Government to accept this proposal. If Government wants to improve the public service, they should try to accept this Agreement.
Concerns over lost benefits and job cuts in the future due to the proposed $118m from China for the rebuild of Nuku’alofa and have proposed for the cancellation of the loan whilst a “national public fund” to be established for this purpose through investment by the Tongan people in Tonga and overseas. There are concerns that the Public and the Public Servants will end up paying off this $118m loan through increased taxes in the future. These concerns are generated from the following:
Government has already committed Tonga to over $200m in overseas loan and is currently having difficulty in meeting the loan repayments.
There have been loans of public and private companies which involve members of the Royal Family that Government guaranteed and the people and the public servants are currently paying off these loans through increased tax. This included approximately $12m loan of the Tonga Electric Power Board and $3m loan of the Sea Star Fishing Co. in which His Majesty King George V was the major shareholder.
There is also a high possibility that the people of Tonga may have to pay off the $7.9m loan made by the Squash Council in which the Prime Minister is the Chairperson given that the future of squash export will not be recovered again.
There have also been allegations of money laundering by those who will be involved in the soft loans from the loan from China. These allegations have been submitted to the Minister of Police and the Minister of Finances by the Peoples’ Representatives to Parliament to be investigated but nothing has been done to date. There is concern that there is a high possibility of more money laundering activity through these proposed soft loans given that those currently alleged of these unlawful money laundering are amongst those whose businesses have been affected on the 16/11 and are on top of the list to be granted soft loans from this $118m to be guaranteed by Government from China.
Since Government is the major shareholder of two commercial banks in Tonga that may monitor the soft loans and also the National Reserve Bank who authorizes transfer of large amount of money overseas, it would be difficult to monitor the soft loans and the money laundering activities since there are people high up in Government who have businesses that would be granted soft loans from the $118m.
The PSA is also concern over poor governance due to the political instability in Tonga that has caused a lot of problem in Tonga affecting the whole country and also the service delivery of the public servants. The most serious and worst problem that have happened is the burning of Nuku’alofa due to decisions made by the Prime Minister in his attempt to slow down the political reform in Tonga. We have seen a lot of abuse of Government public fund in unnecessary spending of the Prime Minister and Ministers including the prolonged repeated extension of the Emergency Powers in Tonga when the country is already at peace. The PSA has recommended for the political reform to be implemented in the next General Election next year and not 2010 as Cabinet wanted.
For the benefit of the Public Service and the whole country, the PSA will stand firm on its recommendations in the last 3 concerns.
PRESS RELEASE PREPARED BY THE PSA EXECUTIVE BOARD
For more information, please contact the PSA Secretary General at the above-stated address.
P.O. BOX 2005
Fanga
Nuku’alofa
TONGA
Telephone: + (676) 28-838/870-6986
Email: psa_secretary@yahoo.co.nz
PSA Office, Nuku’alofa, TONGA
Talks between Government and the PSA started last Thursday and Friday to discuss the grievances of the members of the PSA. Government was represented by the Minister for Public Enterprises and Information, Mr. Afu’alo Matoto. The PSA had the following 4 main concerns that affects their members to discuss:
Lost benefits;
Poor working environment;
Possible future lost benefits and job cuts;
Poor governance.
Only one of the 4 concerns above has been accepted by Government by the end of the discussions last Friday.
The Representative of Government confirmed that all the benefits will be returned. The lost benefits included 5% annual increments; acting allowance and overtime pay lost in during the period February 2006 – June 2007. To solve the insecurity over the uncertainty of the 60%, 70%, 80% pay rise, it was also confirmed that any future reviews of the salaries will not be less than the current pay rise. A Collective Agreement to this effect will be signed later.
The PSA proposed a Partnership for Quality Agreement as an attempt to improve the engagement of Government, employers and the PSA in order to develop a modern, innovative public service that is highly successful both for citizens and for the people who work in the Public Service. The Representative of Government said that it would take sometimes to convince Government to accept this proposal. If Government wants to improve the public service, they should try to accept this Agreement.
Concerns over lost benefits and job cuts in the future due to the proposed $118m from China for the rebuild of Nuku’alofa and have proposed for the cancellation of the loan whilst a “national public fund” to be established for this purpose through investment by the Tongan people in Tonga and overseas. There are concerns that the Public and the Public Servants will end up paying off this $118m loan through increased taxes in the future. These concerns are generated from the following:
Government has already committed Tonga to over $200m in overseas loan and is currently having difficulty in meeting the loan repayments.
There have been loans of public and private companies which involve members of the Royal Family that Government guaranteed and the people and the public servants are currently paying off these loans through increased tax. This included approximately $12m loan of the Tonga Electric Power Board and $3m loan of the Sea Star Fishing Co. in which His Majesty King George V was the major shareholder.
There is also a high possibility that the people of Tonga may have to pay off the $7.9m loan made by the Squash Council in which the Prime Minister is the Chairperson given that the future of squash export will not be recovered again.
There have also been allegations of money laundering by those who will be involved in the soft loans from the loan from China. These allegations have been submitted to the Minister of Police and the Minister of Finances by the Peoples’ Representatives to Parliament to be investigated but nothing has been done to date. There is concern that there is a high possibility of more money laundering activity through these proposed soft loans given that those currently alleged of these unlawful money laundering are amongst those whose businesses have been affected on the 16/11 and are on top of the list to be granted soft loans from this $118m to be guaranteed by Government from China.
Since Government is the major shareholder of two commercial banks in Tonga that may monitor the soft loans and also the National Reserve Bank who authorizes transfer of large amount of money overseas, it would be difficult to monitor the soft loans and the money laundering activities since there are people high up in Government who have businesses that would be granted soft loans from the $118m.
The PSA is also concern over poor governance due to the political instability in Tonga that has caused a lot of problem in Tonga affecting the whole country and also the service delivery of the public servants. The most serious and worst problem that have happened is the burning of Nuku’alofa due to decisions made by the Prime Minister in his attempt to slow down the political reform in Tonga. We have seen a lot of abuse of Government public fund in unnecessary spending of the Prime Minister and Ministers including the prolonged repeated extension of the Emergency Powers in Tonga when the country is already at peace. The PSA has recommended for the political reform to be implemented in the next General Election next year and not 2010 as Cabinet wanted.
For the benefit of the Public Service and the whole country, the PSA will stand firm on its recommendations in the last 3 concerns.
PRESS RELEASE PREPARED BY THE PSA EXECUTIVE BOARD
For more information, please contact the PSA Secretary General at the above-stated address.
P.O. BOX 2005
Fanga
Nuku’alofa
TONGA
Telephone: + (676) 28-838/870-6986
Email: psa_secretary@yahoo.co.nz
