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Minister Mukasa Muruli

Cabinet Approves New Guidelines on Rationalization of Agencies

posted onFebruary 23, 2021
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Cabinet has approved new guidelines in which Government intends to rationalize its agencies by merging, abolishing or reverting to the mother ministries.

In a cabinet decision taken on Monday, government has approved a Road map for rationalization of Government Agencies, Commissions, Authorities and Public Expenditure where an Inter- Ministerial Technical Committee will be constituted for the same.

In 2018, the Ministry of Public Service released plans to re-align government Ministries, Departments and Agencies to address challenges of duplication of work, overlaps of mandates, conflicts, and wasteful expenditures, among others. The exercise which will affect 121 Agencies is expected to be in a phased manner for 3 years.

To ensure the exercise is effectively executed, cabinet has agreed that the Ministry of Public Service bans the creation of new Agencies, Commissions and Authorities and “provide guidance on the management of transition arrangements for Boards and Staff whose contracts expire in due course of rationalization.”

Cabinet has also agreed to absorb and validate credentials of employees from the affected Agencies in the mainstream Public Service and compensate employees who will laid off as a result of the restructuring.

Among other guidelines as approved by cabinet include;

(i) A change Management and Implementation Strategy will be developed.

(ii) Stakeholder engagement workshops will be conducted to prepare Staff for the new changes.

(iii) The Legal framework of the affected Agencies will be reviewed.

(iv) An Institutional and Structural Framework including Terms and Conditions of Service of employees will be reviewed and financial implications established.

(v) The revised structures of Ministries, Departments and Agencies (MDAs) and financial implications of the rationalization will be presented to Cabinet for approval.

(vi) The salary structures for Agencies will be harmonized and mainstreamed with Public Service in accordance with the approved pay targets.

(vii) A harmonized salary structure for all Public Officers who draw salary from the Consolidated Fund will be issued.

(viii) The Governance structures of the retained Agencies will be reviewed to strengthen the Institutional Framework.

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