A Case For Retirement Benefits (1): Populism Exposes Its Evil Intents

Hon. Daniel Dugan

Many events took place immediately after the handing-over on January 7; three of them need mentioning here. A top member of the NDC took it upon himself to endorse the extension of the state of emergency in the conflict zone of Bawku in the Upper East Region. That responsibility is solely for the President or his/her minister.

A clear violation of the Constitution. Secondly, it came up that the Northern Regional Chairman of NDC assumed the responsibilities of the Regional Minister and among others demanded VVIP treatment at the Tamale Airport. A clear violation of the Constitution.

Thirdly, another top member of the NDC endorsed the payment of retirement benefits for the Article 71 Constitutional Office Holders under the past administration. He only endorsed what the Constitution required. Of the three personalities, those who violated the Constitution were let off; in fact one was awarded the position of a cabinet minister.

The personality who was penciled for a cabinet position and who endorsed the payments lost that privilege and was haunted about for committing a treasonable offence.

Why is the President made to see things that way and only to part pay retirement benefits for the Legislative Arm of the past administration and leave out twelve other components of the Article 71 Constitutional Office Holders. Populism was effectively introduced into a plan of action as an excuse to conspicuously leave out the Executive Arm, even if temporary.

The Committee Report made the following recommendations for the ex-Presidents:

Two fully furnished residences befitting an ex-President, one in the capital and the other out-of-capital (both of which will revert to his family upon his demise); adequate residential facilities for his support staff; fully equipped office accommodation to be provided in consultation with the ex-President; police escort in and out of traffic; adequate security considerations; once a year overseas travel for a maximum of sixty days; three professional and personal assistants and adequate security are to accompany the ex-President during his travels and medical and dental services to be borne by the State. Other benefits are:

Entitlement to Ghana Diplomatic Passport and diplomatic courtesies for the ex-President and spouse and entertainment to be provided by State Protocol.

The rest are: a non taxable ex-gratia award equivalent to twelve months consolidated salary for each full year of service plus non taxable resettlement grant of six months of consolidated salary for each full year of service; a non-taxable pension based on the prevailing consolidated salary of the sitting President and six fully maintained, comprehensive insured, fully fueled and chauffeur-driven vehicles, to be replaced every four years.

The vehicles comprise three saloon cars for town rides (one for the ex-President, one for his security details and one for the former First Lady), two cross-country vehicles for traveling out of town (one for the ex-President and one for his security details) and one all-purpose vehicle (a pick-up).

The ex-President was to receive pension equal to the consolidated salary of the sitting President and upon his demise, the spouse was to receive emoluments equal to that of a sitting minister.

Finally, in order to put the ex-President's experience into use and mitigate the withdrawal pangs after a life of prominence and importance, the State shall establish an independent institution or foundation with a seed money equivalent to $1,000,000.00. It might be associated with one of the tertiary institutions or a think tank.

This institute under the ex-President is also to mobilize funds from international development partners who have expressed the willingness to support good governance.

The Ex-Veep shall benefit from free medical and dental care; adequate security at all times; three fully maintained, comprehensively insured, fuelled and chauffeur-driven vehicles (two saloon and one all-purpose) to be replaced every four years, a facility to be withdrawn after his demise; a non-taxable ex-gratia equivalent to 12 months consolidated salary; a resettlement grant equivalent to 6 months of consolidated salary for each year served; provision of a free out-of-capital chalet at a place of his choice and a pension equivalent to 80 percent of the consolidated salary of a sitting vice president; upon his demise, his spouse shall receive emoluments equivalent to consolidated salary of a deputy minister.

The ministers and deputy ministers of state shall benefit from a non taxable ex-gratia equivalent to 6 months consolidated salary for each full year of service; non-taxable resettlement grant equivalent to 4 months non-taxable consolidated salary; the right to purchase one duty post vehicle and a pension of 20 percent of the consolidated salary of a sitting office holder, for two consecutive four-year term in office or 40 percent of the consolidated salary of a sitting office holder, for three or more consecutive four-year term in office.

The clause here is that the beneficiary can draw this pension on condition that he or she have reached the official pensionable age of 60 years and do not hold any appointment remunerated from the Consolidated Fund.

Good people of Ghana, this is what is in it for the immediate-past Executive Arm of Government. The members of the Committee must have very good reasons to arrive at their recommendations. The membership was made up very distinguished persons who had the nation at heart.

Headed by Dr. (Mrs.) Mary Chinery-Hesse, a former Deputy Director-General of ILO, the Committee had Mr. Fred Oware, a Financial Consultant and Alhassan Andani, Managing Director of Stanbic Bank, Ghana, as members. With support from UNDP, the Committee engaged the services of some of the most prominent consultants in Ghana in fashioning out the report.

They are:  Prof. Ato Ghartey, an International Consultant and former Controller and Accountant-General of Ghana and former UNDP Principal Regional Adviser; Prof. Osbone Jackson, a former Governor of Bank of Ghana; Mr. Austin Gamey, a former MP and Deputy Minister; Mr. Sylvester Zigah, former Advisor to the Director and Vice President of IBRD; Mr. Cornelius Dzakpasu, a former Director of ILO; Mrs. Eudora Koranteng, a Legal Consultant and Corporate Lawyer; Mr. Daniel Domelevu, Director, Controller and Accountant-General; Mr. Samuel Sarpong, CEO, OXIA (Ghana) Ltd; Mr. Sylvester Acquah, a Principal Accountant and Ms. Grace Adzroe, Deputy Controller and Accountant-General. With such caliber of persons, one may ask how could they go wrong and how could they be insensitive to the plight of the nation? Some other top personnel came up to form an Advisory Board to bring in valuable inputs.

They are: Mr. Andy Asamoah, Member of the Pension Commission and former Director of Human Resources, WHO; Prof, Stephen Adei, Rector of GIMPA; Mr. Kwasi Adu-Amankwah, Secretary General of the TUC; Dr. Kenneth Andoh, former Regional Representative of ILO and Nana Oye Mansa Yeboah, Dompiahene of Akwapim and former Deputy Governor of Bank of Ghana and former Deputy Minister for Finance and Economic Planning.

Those who were bent on ill-advising the President on the subject matter of the ex-gratia had to adopt a populist approach.

They cleverly hammered on the quantum of vehicles and the two furnished houses recommended for the ex-Presidents; emphasized on the unconstitutional method used to sail the bill through Parliament on the last day of sitting, the lump sum of $400,000.00 to be cleanly wrapped in take-away packs for the ex-Presidents; then to top it all, there was a comparison between ex-President Kufuor and ex-President Bush of the USA on what each was entitled to take home. With Ghana's per capita income of $1,400.00, H.E. (ex) President Kufuor was to take home a lump sum of $400,000.00 among others as listed above.

Meanwhile, with a per capital income of $46,000.00, the USA is giving ex-President George Bush, $191,000.00 pension, life time security protection, official travel expense with two members of staff, no cars, no houses and no end-of-service benefits, private fund for presidential library and presidential widows to receive lifetime pension of $20,000.00.

Certainly when such information is served on your plate, you will have good reasons to cry foul. Even though the populists are now not too sure about the size of the lump sum, the Article 68 of the Constitution allowed the ex-President to take a lump sum home.

However there is the need to examine the report before making judgments and there is evidence that the story on George Bush was a deliberate fraction of a truth to deceive the masses. Populism has explored its evil intent and only fair-mindedness can bring out the truth. The fact is that democracy is expensive but as said earlier, we need to try dictatorship if we feel bad about democracy.

Surprisingly enough, some of these populists who are crying foul have been reported to have failed to pay corporate tax for their businesses. A populist will cry foul over poor salaries and wages for workers, but will attempt to stop privatization of an SOE which could finally address these issues for the benefit of the poor worker.

The fact is, put a populist there and he or she will think differently.This is quite obvious in the way some populists reacted to fuel price increments during the last administration and their reactions now. So where did the populist go wrong in this ex-gratia saga….?

(To be continued…)
By Hon. Daniel Dugan