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Home News General News

President Mahama Urged to Reduce Waste in SOEs

February 22, 2025
in General News
Reading Time: 5 mins read
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Renowned media practitioner, ClassPee Della Russel, has called on President John Dramani Mahama to demonstrate a strong commitment to efficiency, cost-cutting, and the elimination of duplicative roles as part of his proposed “economic reset.”

In an open letter to the President, she argued that Ghana’s State-Owned Enterprises (SOEs) are plagued by administrative inefficiencies and unnecessary expenditures, which need urgent reform.

Russel underscored that an economic reset, whether for a nation or an institution, requires decisive measures to streamline operations. 

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She identified SOEs as a key area for reform, noting that their administrative processes often lack clarity, leading to excessive spending. She attributed much of this waste to ambiguities in the statutes establishing these enterprises, particularly concerning leadership appointments.

A recurring issue Russel highlighted is the unchecked expansion of leadership roles within SOEs, adding that many of these entities have deputy positions that exist solely due to vague provisions in their governing statutes. 

“While some acts grant the President the authority to appoint necessary officers and employees, this broad language has been frequently abused, leading to the creation of superfluous deputy positions, with some SOEs having two or even three deputies for portfolios that have been split as a way of “job for the boys”.

ClassPee Della Russel, a seasoned media practitioner

These additional positions, she argued often have no clear impact on the functionality of the organizations but add significant financial burdens in the form of salaries, benefits, and travel expenses.

Russel argued that President Mahama, in his bid to rectify Ghana’s economic mismanagement, should focus on eliminating these redundant appointments. She contended that cutting down on such expenditures would free up resources that could be used more productively.

“In your recent meeting with organized labour, you stated that the economy has been ‘criminally mismanaged’ creating a crime scene which demands decisive action to revert.

“In your efforts to rectify past errors and establish a positive legacy, a critical step would be to reconsider the multiple deputy positions within many of the SOEs.”

ClassPee Della Russel, a seasoned media practitioner

She pointed out that the significant compensation packages allocated to deputy positions could be better utilized to employ several junior and senior staff members. This, she emphasized would not only enhance productivity but also create more job opportunities for skilled professionals. 

At a time when many university graduates and young professionals are struggling to secure employment, prioritizing efficiency in SOEs would help address Ghana’s unemployment crisis.

Beyond political considerations, Russel emphasized the need for meritocratic governance, where employment opportunities are extended to capable and talented individuals, rather than being reserved for party loyalists through unnecessary appointments.

ClassPee Della Russel 1
ClassPee Della Russel, a seasoned media practitioner

Redundant Positions and Bureaucratic Overload

A striking example of inefficiency, according to Russel, is the appointment of a Coordinator for the District Roads Improvement Program (DRIP). 

She questioned the necessity of such a role, considering that Ghana already has well-established institutions such as the Urban Roads and Feeder Roads Departments, which operate under Metropolitan, Municipal, and District Assemblies (MMDAs) across the country.

“This role seems redundant, given that existing departments already possess the expertise and infrastructure to oversee such projects.”

ClassPee Della Russel, a seasoned media practitioner

Rather than introducing additional layers of bureaucracy, she advocated for the consolidation of responsibilities within existing structures. This approach, she argued, would eliminate waste, improve operational efficiency, and reduce the pressure on Ghana’s already strained financial resources.

Russel maintained that true reform requires more than rhetoric; it demands tangible action. She warned that President Mahama cannot successfully proclaim a “reset” if he continues to tolerate the very practices that have contributed to Ghana’s economic woes.

She called on him to provide clarity regarding his intentions and ensure that his decisions reflect a commitment to fiscal responsibility.

“If you truly wish to correct past mistakes, your purpose must be clear, and your actions must be beyond reproach. The people of Ghana deserve governance that prioritizes transparency and accountability over political patronage.”

ClassPee Della Russel, a seasoned media practitioner

She believes by eliminating unnecessary appointments, cutting down wasteful spending, and maximizing the efficiency of existing institutions, Mahama can lay the groundwork for sustainable economic growth. 

Russel concluded that only by making these tough but necessary decisions can he build public trust and establish a lasting legacy of responsible governance.

ClassPee Della Russel’s call for efficiency in Ghana’s SOEs is a crucial reminder that an economic reset must be accompanied by genuine reforms. 

Reducing waste, streamlining leadership structures, and prioritizing merit-based appointments are essential steps toward economic recovery.

READ ALSO: Africa’s Energy Market Gains Global Attention at Geneva Summit 

Tags: Administrative ReformsCost-CuttingEconomic ResetFiscal responsibilityghanaGovernment EfficiencyJohn Dramani MahamaPublic expenditurePublic Sector EmploymentSOEs
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