Chamber calls for government action to eradicate public service abuse, rackets

The Malta Chamber in its pre-budget document 2024 is insisting on full digitalisation of government services with real-time applications’ tracking to eradicate clientelism and abuse

The Chamber of Commerce has released its pre-budget proposals focussing on good governance and positing digitalisation as a solution to eradicate abuse in the public service
The Chamber of Commerce has released its pre-budget proposals focussing on good governance and positing digitalisation as a solution to eradicate abuse in the public service

The full digitalisation of government services with real-time applications’ tracking could help stamp out systemic abuse and eradicate rackets, the Chamber of Commerce said.

The proposal is made in the Chamber’s pre-budget document and comes in the wake of the latest social benefits scandal involving former Labour MP Silvio Grixti.

“The monies being squandered through such rackets could be better used to support those who really need help and to address issues which are leading to the country’s deterioration such as the traffic situation, the lack of investment in utility infrastructure, the shabbiness and proper waste management,” the Chamber said on Monday.

The business lobby group said practices that propagate “a culture of abuse of power and clientelism” put a heavy onus on government to urgently implement digital systems that increase efficiency, provide full transparency and ensure fairness.

“The longer we allow things to slip, the worse the repercussions and the cost of repairing them will be. Lack of appropriate enforcement, investigation and subsequent prosecution as well as failure to act on findings highlighted by the NAO and the Ombudsman are costing the country dearly and are reflecting very badly on the country’s governance,” the Chamber said.

It added that government's strong electoral mandate should be reflected in more decisive action and a “zero-tolerance policy for any kind of abuse by everyone, particularly that facilitated by those entrusted with political or administrative responsibility.”

The Chamber said politicians and public officials who make headlines for the wrong reasons, are putting in disrepute the entire political class and the public service, including those who are doing a good job in their areas of responsibility.

“When the personal conduct of individuals who abuse of their power deviates from what is rightfully expected by the law-abiding, hard-working and tax-paying citizen, it has far-reaching effects on everyone, including businesses,” it said.

“Practices that encourage people to opt out of productive employment, either by taking up public sector jobs requiring minimal effort, or by applying for benefits under false pretences, have a destabilising effect on our labour market. At a time when everyone is concerned about persistent inflation, it is opportune to point out that such abusive practices ultimately have an inflationary effect on the whole economy, because they exert even more pressure on a very tight labour market.”

The Chamber appealed to all politicians and policymakers to cut down on clientelism and think about the repercussions of their actions.

Chamber’s pre-budget 2024 proposals:

1. Fully digitalise government services with real-time tracking.

2. Regularly rotate staff involved in the processing of sensitive applications to reduce the possibility of tempering with systems.

3. Automate various customer care and verification processes to improve efficiency, transparency and consistency. 

4. Maintain accurate records on the provision of public services and reform the public procurement processes to ensure a level playing field.

5. Draw a clear demarcation between political responsibility at the ministerial level and the administrative and executive responsibility of the civil service.

6. Allow the National Audit Office to scrutinise all public contracts above a certain value without requiring a formal request and outrightly prohibit the use of side letters which significantly modify key provisions of an agreement, like offsetting financial risks.

7. Cap the number of people holding a position of trust and limit positions of trust to those of high political sensitivity or carrying specific security risks. Compensation and benefits received by people in positions of trust need to be fully disclosed and independent audits carried out regularly against stipulated compensation criteria.