Monday, 2 August 2021

Control of Public Corporations

1. Judicial Control or Court Order: The court can declare an act made by a corporation illegal or unconstitutional. This is done when the corporation is breaching the Act upon which it was set up.

2. Auditing: The accounts of public corporations are always audited by a body of auditors set up by legislature.

3. Approval of Loans and Expenditure: The minister approves any loan to be taken and also the major expenditures.

4. Acts of Parliament: The powers of the corporations are situated in the Acts passed by legislature.

5. Issuing of Directives: The minister can equally issue directives on matter of any policy in a public corporation.

6. Ministerial Control: A minister whose ministry controls a public corporation can appoint and dissolve the board of directors of such a corporation.

7. Abolition of Unproductive Corporations: The legislature can abolish any unproductive or deficient corporation.

8. Summoning of Officials: The legislature can ask any official to appear before it if there are allegations of wrongdoing

Problems faced by Public Corporations

a.      Political Interference: frequent government or political interference into the administration of public corporation often result to ineffectiveness

b.     Ethnicity: ethnicity and sectionalism also slow down the effective performance public corporations.

c.      Lack of Qualified Personnel: the exodus of professionals to the private sector poses a challenge to the effectiveness of public corporations

d.     Favouratism: favouritism in the appointment of managers and members of board of directors also affect the performance of public corporations.

e.      Political Instability: political instability often leads to frequent change of government which in turn, give rise to irregular change of the officials of public corporations.

f.       Poor Working Condition: the working condition of public corporation is usually poor, and this scare away highly qualified personnel.

Solutions to the Problems faced by Public Corporations

a.      Non Political Interference: politicians should avoid interfering into the administration of public corporation in order to give room effectiveness

b.     Employment of Qualified Personnel: highly qualified and professionals should be employed and to be well catered for, to prevent them from moving to the private sector. This will improve the performance of public corporations.

c.      Appointment by Merit: the appointment of managers and members of board of directors should be by merit in order go improve the performance of public corporations.

d.     Political stability: there should be stable political system that will allow for effectiveness of public corporations.

e.      Creation of Good Working Condition: the working condition of public corporation should be improved in order to attract highly qualified personnel.

 

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GOVERNMENT GRADE 10 2ND TERM

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