Leave politics out of GLCs

AMID the avalanche of news, including fake ones, as the entire world is battling the Covid-19 pandemic, nearer home came a controversial announcement that all members of Parliament of the new Perikatan Nasional government who have not been appointed to government posts would be given positions in government-linked companies (GLCs) and statutory agencies.

It’s not only the timing of what Datuk Takiyuddin Hassan, the de facto law minister, chose to speak on the matter that was considered a misplaced priority, the issue per se was criticised by Malaysians from all walks of life.

In this column, I want to share criticisms posted directly to me by some very prominent people that I deem well-intentioned and made purely in the nation’s best interest.

They might not be music to the ears of the powers that be but citizens expect leaders running the country to be open to criticism no matter how unpalatable they are.

I posted via WhatsApp some of the responses to the announcement to Takiyuddin, who is also PAS secretary-general, but he chose not to respond.

Tan Sri Mohd Sheriff Mohd Kassim, a founder of the Group of 25 ex-top civil servants or G25, has asked Prime Minister Tan Sri Muhyiddin Yassin to clarify what steps the government will take to ensure that the MPs to be appointed as chairmen and board members meet the “fit and proper criteria” as set out in the GLC Transformation Programme (GTP) launched in 2005 to strengthen the governance system in public sector enterprises.

This is particularly vital for those operating in the market economy.

The GTP was launched at a time when there was very low confidence in the government’s management of the economy.

“The GTP remains relevant as a policy tool to ensure that government’s participation in the economy through the GLCs will be guided by a clear clarification as it will determine whether the private sector will continue to be confident about Malaysia after we have successfully got over the coronavirus pandemic,” said Sheriff, a former secretary-general of the Ministry of Finance.

A former top executive of Khazanah Nasional Berhad, our sovereign wealth fund created with the aim to grow long-term wealth of the nation, was more livid in his reaction especially when I asked if a situation would arise where a CEO of a GLC who won’t compromise on corporate governance will have problems with his or her politician chairman.

“I am afraid it’s a collision course. Train wrecks possibly. Not good for anyone and not good for the politician, too,” he told me.

He said during his time at Khazanah, they managed to segregate Khazanah itself as well as Permodalan Nasional Bhd and Employees Provident Fund from politics and these entites all performed very well.

“The ones we could not segregate like Tabung Haji, Mara and Felda were run by politicians, you can see what happened .... We are doomed if we don’t learn from history,” he warned.

Tan Sri Ramon Navaratnam, an illustrious ex-top civil servant and prominent social activist, said it’s a pity that the new government is adopting fully the “ugly ways” of the old Barisan Nasional regime.

“GLCs are exclusive, protected, monopolistic and uncompetitive. With more politicians appointed as chairmen, there will be more cronyism, corruption and wastage of our taxes,” he said.

Another point to take into account is that good professionals will feel embarrassed to serve under a political chairman and standards will fall further, resulting in the loss of public and investor confidence in the GLCs and ultimately, their decline and failure.

“I appeal to the PM and Cabinet to go for meritocracy, integrity, high performance and also inclusivity for Malaysia to move forward and not backward,” said Navaratnam, adding that non-political chairmen who are as multiracial as Malaysia itself should be appointed instead.

And he also longs for the day when more Malay leaders will speak out against politics in business.

Former Cabinet minister Tan Sri Rafidah Aziz said those running the country must go back to the simple basics, especially on how to “govern”, not merely by installing individuals in any vacant, vacated or created post.

“But to govern guided by integrity and honesty, responsibility, accountability and dedicated teamwork to achieve the aspirations of the nation and people, not driven by personal ambitions and goals to the detriment of the nation.

“What about qualifications such as suitability, competence, capability, intelligence and a healthy dose of that rare common sense?” she asked.

Rafidah’s Facebook posting on this received hundreds of comments from netizens, all of whom gave a vote of no-confidence on politicians to helm GLCs.

Two women, who were recently replaced as chairmen of such entities have also spoken out against the move.

Datuk Noripah Kamso, who was removed as chairman of Bank Rakyat, asked: “Do they realise what impact this has on the employees of the GLCs?”

“Pity them. They are now feeling so insecure,” she said.

And she made this interesting observation: “As protection for their insecurity, they created their own survival kit. A survival kit (not to be seen conflicting with previous boss) ....

“We are creating dishonest citizens. It gives me shivers,” said Noripah.

Another founder member of the G25, Datuk Noor Farida Ariffin, who lost her chairmanship of the Human Resource Development Fund with the change of government, said good technocrats who are chairing our GLCs are being replaced by semi-educated ustaz (religious preachers) from PAS.

“Foreign investors will no longer be interested in Malaysia and will go to the other Asean countries. I hope PM Muhyiddin realises the impact this will have on our country’s economy,” she said.

It’s obvious that such spontaneous rejection of Takiyuddin’s announcement is also intended not to further worsen conditions at a time like this when the pandemic is ravaging not only lives but casting a gloom over the economy.

There are certainly other options to incentivise the MPs, who in their very position are already well rewarded.

So the signal is clear – leave politics out of the GLCs.

Comments: letters@thesundaily.com

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