Cut salaries of Deputy CEOs of SOEs too – Seth Terkper

Former Finance Minister, Seth Terkper, has suggested to President Akufo-Addo to also consider cutting down salaries of the Deputy Chief Executives of the State Owned Enterprises (SOE) as part of a move to cut salaries of the CEOs below the President of Ghana.

His comments come on the heels of the Finance Minister seeking to implement a rationalisation process to cut salaries of CEOs of SOEs whose salaries are higher than the President.

Speaking in an interview with Valentina Ofori Afiryie on the 505 programme on Class 91.3FM on Wednesday, September 20 Mr Terkper said: “We will have to look at some consequences of this decision. First of all we are talking about Chief Executives here so far.

“From what we have heard, you are reducing the salary allowances and compensations for the Chief Executives. Now what about the deputies?

“Just as the Chief Executive is perceived as somebody who shouldn’t earn more than the President, then their deputies should also not earn more than the CEOs and that means that you are talking about qualified persons like accountants , lawyers and others who we are going to be competing with the private sector.

“Are we going to be reducing the salary all the way down for these people as well or we will have the same lopsided situation where those deputies will be earning more than the CEO and the President and Cabinet ministers?

“I think this is where the distinction between the profit-making government entities, often called government business entities, become sharper in the debate. Otherwise we would also likely run mediocre state owned enterprises that are not able to compete.”