Liberia's Officials and Their Jumbo Pay

10 September 2024
opinion

On Spoon Talk, Edwina Crump Zackpah, the suspended Director of LTA, confirmed that she and other Commissioners received a combined salary and benefits package of $15,000 during her tenure at the LTA, which is still ongoing. Liberia's post-conflict reconstruction efforts, spanning over 18 years under the Unity Party (UP) and Congress for Democratic Change (CDC) led governments, have predominantly served the interests of a small political elite at the expense of the nation and its citizens.

The Unity Party and Congress for Democratic Change display similarities in their governance approaches. Recognizing this similarity is essential for the country's development. Notably, both administrations have consistently allocated over 80% of the national budget towards recurrent expenditures, including salaries, debt servicing, transportation, and travel allowances.

The first Unity Party administration, led by Ellen Johnson Sirleaf, established a precedent for high governance costs in Liberia. Despite debt relief through the Heavily Indebted Poor Countries initiative and the Paris Club, as well as increased foreign direct investment and aid, the government prioritized recurrent expenditures over capital investments (construction of roads, bridges, dams, telecommunications, electricity, schools, hospitals, etc). By the end of Sirleaf's tenure in 2018, a staggering 98.4% of the national budget was allocated towards recurrent spending. Notably, under her leadership, legislative expenditures skyrocketed from $9.4 million in 2006 to over $44 million by 2017, while judicial spending rose from $7 million to $16.9 million during the same period.

Upon assuming the presidency, George Weah of the Congress of Democratic Change adhered to Sirleaf's framework. By the time he departed in 2024, a significant 81% of the national budget was allocated towards recurrent expenditures, with a substantial $60 million directed towards the legislative branch.

The second Unity Party administration under President Boakai is exhibiting similar fiscal patterns. His initial budget approval allocates 93% of total expenditures towards recurrent expenses, with a projected $53.3 million for the legislative branch, etc.

Liberian citizens have long demanded a decrease in the salaries and benefits of public officials, claiming that they are excessively high. While some argue that the salaries of these officials are not the primary cause of economic hardship, they are likely contributing to the issues. On the other hand, some Liberians argue that there is a direct relationship between the compensation of public officials and the quality of governance. They assert that higher salaries attract more qualified individuals to public service, ultimately benefiting the system.

Some even point to Singapore as an example, where lawmakers are the highest paid in the world, earning about $900,000 annually (for comparison, US congressmen earn about $178,000). Singaporean ministers earn around $1.1 million, while their president earns about $1.7 million (the US president earns $400,000). Other countries, particularly in the Middle East (such as Saudi Arabia, UAE, and Kuwait) and Europe (Monaco, Norway, and Sweden), also compensate their leaders generously. What do these countries have in common? Good governance, high quality of life, minimal corruption, and leaders who exhibit public accountability.

As any basic analyst knows, correlation does not imply causation. While higher salaries may be associated with better governance in some places, they are not necessarily the sole reason for good leadership in those countries. Liberia is a poignant example of a situation where higher salaries have not translated into better leadership. The argument for paying public officials higher salaries often hinges on the idea that public service should attract the best minds by offering competitive compensation compared to the private sector. Additionally, it is believed that providing a high quality of life for those in power can deter them from engaging in corrupt activities. However, in Liberia, the selection of leaders is predominantly driven by political affiliations rather than merit-based criteria, undermining the effectiveness of these arguments.

It is evident that most political appointees or high public officials do not reflect the intelligence and capabilities of the Liberian people. Despite the brilliance of its citizens, the country's political sphere or public offices often fail to showcase this excellence. Unfortunately, it seems that individuals who are not the best representatives end up holding power. For example, the lawmakers in Liberia, the eighth poorest country in the world, earn salaries comparable to those of some developed countries, but their performance does not measure up. When observing their debates, it becomes clear that their effectiveness is a problem that cannot be solved by simply increasing their pay. For instance, their discussion on budget manipulation lacked depth and preparation, falling short of the expected standards. The elitism that supposedly justifies their high salaries is nowhere to be found.

They dispel the notion that higher salaries for public officials would deter them from accepting bribes.

In Liberia, this theory has consistently been proven wrong. According to the 2023 Corruption Perception Index (CPI), the country is consistently ranked among the most corrupt countries in the world, and the numerous audit reports from the General Auditing Commission bear witness to this corruption. Public officials embezzle funds during their time in office and secure exorbitant pension packages upon leaving. Subsequently, some even transition to the legislature, where their corrupt activities persist. Their insatiable greed remains unyielding, regardless of the wealth amassed through dishonest means.

To be fair, the nature of public office in Liberia often results in corruption, especially for those lacking a strong moral compass. Public officials constantly face requests for financial assistance, which can lead them to engage in corrupt practices. This doesn't change the fact that public officials, regardless of wealth, often exhibit corruption in our society. There is little distinction between them in this regard. Simply increasing the salaries of individuals lacking self-awareness will not elevate their standards; it will only exacerbate the situation.

What Must President Boakai do?

President Boakai must demonstrate the requisite courage to rationalize our budget across the MDA, Judiciary, and Legislature. His subsequent budget should allocate at least 50% towards recurrent expenditures, necessitating a reduction of the Legislature, Judiciary, and MDA budgets by half. If his proposal is rejected, he should refrain from signing any budget presented to him, even if it leads to a government shutdown, which is not inherently detrimental if done in pursuit of fiscal responsibility. He can then appeal directly to the populace, explaining his vision for investing in roads, schools, hospitals, telecommunications, and electricity, as well as providing fair compensation for teachers, nurses, and law enforcement. He can highlight how senators and representatives are impeding progress by prioritizing excessive salaries, vehicle purchases, and other perks, prompting public protest and pressure on politicians to accept the proposed cuts, which should also apply to the Executive Mansion.

President Boakai and his supporters cannot argue that he encountered high wages for politicians or public officials in Liberia and that it is beyond his control. As the elected President, he is mandated to address these issues affecting the country's progress, including revising public officials' wages to reflect Liberia's economic situation. By cutting recurrent expenditure and focusing on capital expenditure in the budget, and holding corrupted public officials accountable, economic growth and development can be fostered. I rest my pen.

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