Mgt Consultant advocates monthly remuneration for Co. Directors
7/3/2012 2:06:42 PM -
Management Consultant, Charles Mensah is advocating a paradigm shift to monthly remuneration of Directors of Public. While some directors receive monthly allowances, others are paid per diem or per daily meeting.
Some directors are however said to be abusing especially the per diem compensation package. Mr. Mensah is therefore a arguing for the per diem compensation to be scrapped.
'Because they call it sitting allowance, each time they sit, they get paid and this is being abused. All they have to do is to increase the frequency of sitting and therefore if you take some companies profit and loss accounts, you'll notice that the sitting allowance takes a lot of it'
He further argues the per diem is unduly taking a negative toll on the implementation of policies by management teams.
'They are supposed to give policy direction which is a periodic activity. So sometimes it doesn't allow the managers to measure the policy direction that they have given them because they have to come back after 3 or so days to report. So the ideal thing to do is to rather reduce the sittings and strengthen the management so that they can report to the board on monthly basis' he noted.
Story by Emmanuel Agyei / Nana Agyei Essuman - Joy Business