Thank you, Mr.
Speaker. In
February I asked the Minister of Human Resources some specific questions on bonuses for deputy heads, senior managers and excluded employees of the GNWT.
At that time I was informed that approximately $1.65
million is paid out annually to these
employees. Further, approximately $550,000 is paid out annually to senior managers of the head staff of the NWT Power Corporation. This is around $2 million per year.
Given current fiscal realities, it’s definitely time to reconsider how this government awards bonuses to senior managers. Currently virtually every senior public official gets a bonus. It’s time for senior management to earn their fat bonuses. When bonuses are expected rather than earned, it breeds mediocrity. It even encourages senior managers to keep their mouths shut about problems, and it does not encourage thinking outside the box, which would have been really useful during the budget process that we’re currently going through.
We can’t afford to reward senior managers who happen to have technical skills, or are very gifted technically, but are lousy people-managers or run over their staff in order to get results.
Recently the federal government developed a more rigorous assessment process for their performance pay. With their new plan and process fewer than 20 per cent of their senior executives will receive bonuses. Under the federal program senior managers are assessed based on performance targets and a 360-degree review, which includes input from fellow senior managers, colleagues, ministers and others.
Implementing a process similar to the federal government’s will ensure that when bonuses are earned, they will be paid, and when they aren’t earned, they won’t be paid. This ensures that we can remain competitive with the private sector by providing our high-quality performers with financial incentives, which encourage their continued commitment to the GNWT, as opposed to jumping ship and seeking employment with the private sector.
It’s time to review how bonuses are paid. It’s time to ensure that staff are rewarded for outstanding performance — performance that is above and beyond expectations — for thinking outside the box, for streamlining government through increased efficiencies or better use of resources rather than cutting jobs, which is the easiest solution.
Mr. Speaker, at the appropriate time I’ll be asking the Premier some questions concerning bonuses in the GNWT.