Economists against appointments of MPs as GLC heads
KUALA LUMPUR: The proposal by a Member of Parliament (MP) from Pas for all government backbenchers to be appointed as head of government-linked companies (GLCs) is untimely and goes against good corporate governance, economists said.
They deemed the proposal by Pas secretary-general Datuk Takiyuddin Hassan as more about addressing the needs of MPs from the political party.
Takiyuddin recently proposed that all MPs who had yet to hold positions in government be made heads of GLCs.
Political analyst Associate Professor Dr Jeniri Amir said it was not a time to appease political supporters in light of the public health crisis and a looming economic recession.
“Given the Covid-19 crisis, Takiyuddin’s timing is not proper. I can say that the appointment will only benefit the government of the day. That will not only tarnish the reputation of the government but people will also question such appointments..
“To me, this is a form of reward to consolidate the support to PAS.”
Jeniri said it was crucial for the government to appoint those with the expertise to ensure that the GLCs were on the correct path, and avoid abuse of power.
“I think the Perikatan Nasional government must do better by upholding national interest over political interest,” Jeniri added.
Putra Business School business development manager Associate Professor Dr Ahmed Razman Abdul Latiff said positions in the GLCs, whether at board level or as top executives, should be attained on merit.
Ahmed Razman said government backbenchers should not be appointed as GLC heads because this was against good corporate governance practices.
He said a chairman of such a company must be suitable to hold the position based on character, integrity, experience and skills that he or she can use to contribute towards decision-making by the board.
“The chairman, together with the board, would need to be skilful enough to guide the board in making policy decisions, strategising the company’s mission and its business.
“Having a government backbencher as the chairman will expose a risk of conflict of interest and dominating all-powerful individuals,” he said.
Political analyst Associate Professor Awang Azman Awang Pawi said the appointment of politicians in the GLCs and statutory bodies was not a matter of national law and constitution.
Awang Azman said as long as no special law was made in the people's council, it would not be an anomaly or break the law.
“After all PN has no manifesto on the appointment of MPs to the GLCs and statutory bodies. However, each appointment should be done with transparency, accountability and integrity.
“This means that the person has the right academic qualifications, background and experience to convince the people that the institution will be better than ever,” he said.
Awang Azman said at the same time, the government must careful not to appoint incompetent and corrupt individuals.
“Monitoring is important so that appointments do not lead to abuse of power and corruption. The issue of political reward or exchange of loyalty must be proven by achievement and high performance must be shown in the GLCs or statutory bodies.
He suggested a six to 12-month trial to ensure the merit of such appointments.
“For example, the appointments of chairman for Felda and Tabung Haji should consist of those who are qualified and not just meet the minimum qualifications. Otherwise it will invite public perception and crisis,” he said.
source : nst
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