NIS urgently requires a critical review of its management structure and future financial viability

Dear Editor,

It was good to see the Minister responsible for Finance, Dr. Ashni Singh, identifying with the NIS – an organisation deserving of such attention. It was by no means totally irrelevant to recall an internationally funded consultancy project (it might have been the IDB) which aimed at ensuring that Guyana could facilitate the registration of foreign companies at a faster rate than it did. This was some twenty years ago. The agencies involved were GO-INVEST, GRA, Deeds Registry and NIS in that order, with inter-linkages through specially computerized technology of the day.

Basically the idea was that, after clearance by GO-INVEST the applicant company would be vetted by the GRA not only for its financial viability, but the employment levels involved, before being recommended to the then (singular) Deeds Registry for official registration. The follow-up action was that the NIS would be informed of relevant personnel information to enable that agency to initiate appropriate registration of employees indicated. For certain the information technology was installed in the Deeds Registry in an anticipation of implementation of the project, which sadly fell apart before there was any further connectivity.

But then one recalls the very proactive Dr. Roger Luncheon, who, as Chairman of the Board of the NIS, organised a most comprehensive working group which included both public and private sector employers, respective employee representatives, pensioners, and relevant professionals – totalling easily more than twenty persons, who were tasked to review and make recommendations for improving the structure, management and general productivity of the agency. On the recommendation of the group, Dr. Luncheon approved the undersigned being sent on a short attachment to the counterpart NIS in Barbados to study the latter’s operations, and report back on what lessons Guyana could benefit. It is in the context of the current invasion of foreign companies that one recalls that amongst the practices actively pursued in Barbados that was recommended for implementation locally, was the self-registration of persons even before they wore actually employed.

Even in those days of comparably limited technology our counterpart NIS had established a facility which allowed persons anticipating employment to fill in required personal particulars that would be completed when actually having been employ-ed. The obvious intent was not to await the slothful employer forwarding the same information on to the NIS database and incur the applicable expenditure – a delinquency one understands that is prevalent amongst our own local employers, including small businesses with a high proportion of female employees who, through the organization’s default, are particularly deprived of maternity benefits – a pandemic too long suffered. Incidentally, it is an area of employment misbehaviour that deserves more assertive attention by the Ministry of Labour, who presumably operates an Inspectorate Section.

But with respect to the Barbados Office, one could not help but be impressed with the high quality of staff employed – predominantly University graduates, who added expeditious analytical strength to the decision-making process. Outstanding was the fact that more than twenty years ago there was a Legal Department manned by five lawyers, with whom the undersigned interacted. What was encouraging was how unfazed, individually, and as a team, they were of the largest employers in the country. On the contrary, our NIS is by no means structured to portray similar assertive authority towards a range of employers, including too many security services. But again there are more respected organisations who take advantage of predominantly female employees – a matter that should be addressed assertively where there are female managers.

In the end it can be argued with some confidence that local employers cannot be used as exemplars for foreign counterparts who are unaccustomed to providing certain social benefits as part of the employment packages in their home territories. Incidentally the pensionable age in Barbados has long been 60 years. Our NIS continues to suffer a significant revenue gap when retirees of fifty-five years cannot afford to make the full contribution of employer/ employee between fifty-five and sixty years; when that pension becomes due. This revenue gap is compounded by the incidence of increasing thousands of public service employees who are recruited on contract and earn gratuity every six months, instead of pensionable service.

Arguably there is need for a critical review of the management structure, as well as the financial viability of an agency established some half a century ago. One last reflection – ‘on whether or not there are terms of reference written into the plethora of recent contracts across the country for those ‘businessmen’ to ensure health benefits for their male and female employees, through the contributory National Insurance Scheme.’ Respectfully submitted for the attention of Dr. Ashni Singh.

Sincerely,

E.B. John