civil service

CSC bares seemingly contradictory views on NCCA Exec. Dir. post

Former National Commission for Culture and the Arts (NCCA) Executive Director Malou Jacob was removed from her post and replaced by an Officer-in-Charge while she was out of the country on official business, following a Civil Service Commission (CSC) notice that it was disapproving the renewal of her temporary appointment.

Upon being queried via e-mail about this decision, Director Azucena Perez-Esleta of the CSC Personnel Policies and Standards Office explained that the post of NCCA Executive Director is a career service, or tenured, position that requires, among others, a bachelor’s degree, three years of supervisory experience, and eligibility as a career service professional, the last of which Jacob did not have. Her lack of eligibility was the main reason for the disapproval.

When asked why the Executive Director did not have a fixed term, per Section 10 of Republic Act No. 7356, the NCCA charter, which states that “non-ex-officio members of the Commission shall serve for a term of three (3) years, and shall not serve for more than two (2) successive terms”, Perez-Esleta said that “the NCCA Executive Director is an ex-officio member of the Commission” and therefore “does not have a fixed term”.

These responses would seem to indicate contradictory views about the nature of the Executive Director position.

The Supreme Court has defined the meaning of “ex-officio” in the 1991 case Civil Liberties Union v. Executive Secretary: “The term ex-officio means ‘from office; by virtue of office.’ It refers to an ‘authority derived from official character merely, not expressly conferred upon the individual character, but rather annexed to the official position.’ Ex-officio likewise denotes an ‘act done in an official character, or as a consequence of office, and without any other appointment or authority than that conferred by the office.’ An ex-officio member of a board is one who is a member by virtue of his title to a certain office, and without further warrant or appointment.”

Given, however, that the Implementing Rules and Regulations (IRR) of the NCCA provide that the Executive Director is “appointed  by the Commission based on open nominations”, and that any interested party does not appear to be required to hold a different, principal office in order to become Executive Director in the first place, it is not clear how the position has come to be classified as ex-officio.

Civil Service Commission (CSC) Strategy Map. Courtesy of the CSC web site.
Civil Service Commission (CSC) Strategy Map. Courtesy of the CSC web site.

The NCCA had appointed Jacob, a multi-awarded writer and director and veteran administrator, as Executive Director on March 12, 2010 for the period of one year, and had initially sought the renewal of her appointment for another year in spite of her ineligibility. It received notice of the CSC disapproval on September 22, 2011.

Perez-Esleta stated that, as a general rule, “the services of appointees with the disapproved appointment shall be terminated upon disapproval by the [CSC]”, but the appointing authority has a period of 15 days within which to file an appeal. The records of the CSC show that the the NCCA did not submit any appeal regarding Jacob’s case.

Based on materials obtained by The Pro Pinoy Project, the NCCA does not appear to have acted until a special meeting of the Board of Commissioners on October 4, during which the Board dismissed Jacob and designated Adelina Suemith as Officer-in-Charge for the Executive Director post.

Jacob had received her travel kit for the 5th World Summit on Arts and Culture in Australia, which included official travel authority documents signed by Malacañang and NCCA Chairman Felipe de Leon, Jr., on September 30.

Regarding the timing of Jacob’s removal, Suemith said that, “It may appear that there was not enough time given to her since she was abroad, but she was aware of what could possibly happen after the CSC letter [and] was verbally cautioned that her trip abroad might no longer be ‘official’.” Jacob later disputed these claims, and stated that while she respects the decision of the Commissioners, she has “no idea” why they acted the way they did.

Jacob also circulated a statement addressed to her fellow artists online, asserting that the qualifications for Executive Director should not be based on civil service eligibility, but rather on a set of equivalency criteria, and on whether one was an artist and cultural worker respected by one’s peers and rooted in the artistic community.

Perez-Esleta said that, so far, the CSC has received no request for approval from the NCCA regarding their list of equivalency criteria. Suemith said that perhaps the NCCA could begin to attend to this “in the near future, when the new [Executive Director] is in place”.

NCCA cites ‘technicalities’ behind Jacob’s removal as Exec. Director

Former Executive Director of the National Commission for Culture and the Arts (NCCA) Malou Jacob is said to have known that her removal from her post was imminent, in view of the decision of the Civil Service Commission (CSC) to disapprove the renewal of her temporary appointment. Jacob, who lacks civil service eligibility, was notified by the NCCA that she had to clear out at once while she was out of the country, representing the Philippines at the 5th World Summit on Arts and Culture.

Adelina M. Suemith, OIC-Executive Director and Chief of the Program Monitoring and Evaluation Division of the National Commission for Culture and the Arts (NCCA). Courtesy of ConnectCP.org.
Adelina M. Suemith, OIC-Executive Director and Chief of the Program Monitoring and Evaluation Division of the National Commission for Culture and the Arts (NCCA). Courtesy of ConnectCP.org.

In an e-mail interview, Adelina Suemith, whom the agency designated as Officer-in-Charge (OIC) for the position of Executive Director, said, “[Jacob was aware] of the disapproval [of the CSC] and was verbally cautioned that her trip abroad might no longer be ‘official’. She herself said before she left for Australia that she will abide by the Board’s decision.”

Regarding the timing of Jacob’s removal, Suemith said, “It may appear that there was not enough time given to her since she was abroad, but she was aware of what could possibly happen after the CSC letter.” Based on her understanding, the disapproval of Jacob’s renewed appointment, as well as Jacob’s removal, would take effect 15 days after September 22, the date on which the NCCA received the letter. According to Suemith, “This [meant] the position and its responsibilities should be assumed  by a qualified officer by October 5. On October 6, [Jacob] was officially cut off.” The Commissioners then had to fill the vacuum so that the agency could continue its operations.

Jacob has stated that while she respects the decision of the Commissioners, she has “no idea” why they acted the way they did. She said she was informed of her removal on October 4. A document obtained by The Pro Pinoy Project shows that Suemith was made OIC on the same date, after a special meeting of the Board.

‘Caught in technicalities’

The Commission had appointed Jacob, a multi-awarded writer and director and veteran administrator, as Executive Director on March 12, 2010 for the period of one year, and had initially sought the renewal of her appointment for another year in spite of her ineligibility.

“[Jacob] is a very kind and peaceful person. I don’t think there is anyone who cannot work with her. The fact that the Board endorsed her second appointment and was even willing to extend her [term] until her retirement in 2012, is clear indication that she was acceptable to the NCCA,” Suemith said. The issue, she added, was not so much Jacob’s performance as it was accountability over government resources, and the NCCA was just “caught in technicalities”.

Suemith cited some of the consequences of Jacob’s lack of civil service eligibility: “The resident auditor would no longer honor or recognize her authority to disburse agency funds. She could not be bonded (a requirement for disbursement purposes), since the bond requires a CSC-approved appointment.  She could not also appoint another officer to do this function since her authority [was] in question.  Because of [these], the Board had to decide immediately on the matter.”

Suemith, who is identified in the NCCA web site as the Chief of the Program Monitoring and Evaluation Division, said she did not apply to be OIC, and does not receive additional remuneration from acting in this capacity. A Certified Public Accountant (CPA) and a holder of a master’s degree in sociology, Suemith is eligible for civil service and has served the cultural agency for 16 years.

Fraught process

The process of choosing an Executive Director would seem to be deeply fraught one for the NCCA, as revealed in the minutes of the regular commission meeting held on March 30 this year.

Even if it is the Board of Commissioners that appoints the Executive Director, it has apparently become customary for the President to send the Board a desire letter indicating his or her favored candidate. During the March 30 meeting, Deputy Executive Director Marlene Ruth Sanchez recalled that this has been the practice from 1992 to 2010, implying that the Board tended to accede to this expression of presidential desire. This goes against the grain of Republic Act No. 7356, the law that established the NCCA, which provides, in part, that Filipino national culture should be “independent, free of political and economic structures which inhibit cultural sovereignty”.

Chart showing the composition of the NCCA Board of Commissioners. Courtesy of the NCCA web site.
Chart showing the composition of the NCCA Board of Commissioners. Courtesy of the NCCA web site.

Moreover, two unresolved issues surfaced at that meeting: first, whether the position of Executive Director is classified as part of the Career Executive Service (CES); and second, whether the Executive Director has a fixed term of office or serves at the pleasure of the Board of Commissioners.

The term of office was not discussed in detail, but with regard to the classification of the position, Suemith at the time stated that the CES Board (CESB) had declared the position of Executive Director as falling under the CES.  The CSC, on the other hand, did not give a response specific to the NCCA as an institution, and instead provided copies of circulars and resolutions of court cases related to eligibility.

The CESB later adopted Resolution No. 945 on June 14. Hewing to the Supreme Court decision in the case of Civil Service Commission v. Court of Appeals and Philippine Charity Sweepstakes Office, the resolution stated that CES coverage would be limited to positions requiring presidential appointments. This means that the NCCA Executive Director is not covered by the CESB.

In the case of Jacob, Suemith asserted that “the normal selection process was not followed”, as the NCCA had received a desire letter from former President Gloria Macapagal-Arroyo. Precisely what this normal selection process entails is now under review, Suemith acknowledged.

“The criteria and process are being finalized,” she said. “Hopefully, the new [Executive Director] will be announced in January or February of  2012.”

When asked if the NCCA was considering proposing a set of equivalency criteria, a move suggested by Jacob in a statement that she circulated online, Suemith said the CSC had told the NCCA to submit its position for study. “Perhaps in the near future, when the new [Executive Director] is in place, we can begin to attend to [this]. Certainly, this is not something that can be resolved in a short period considering the huge bureaucracy. But Ms. Jacob’s case can be used to convince the CSC  to review its policies.”

Career or non-career?

At present, it seems that the NCCA considers the Executive Director position as falling under the career service, which in Executive Order No. 292, also known as the Administrative Code of 1987, is characterized by the following: “(1) entrance based on merit and fitness to be determined as far as practicable by competitive examination, or based on highly technical qualifications; (2) opportunity for advancement to higher career positions; and (3) security of tenure.” This means, among others, that the holder of the position can stay until retirement, unless removed for just cause.

Why this is so cannot be determined at the moment, especially given that the NCCA charter provides that each non-ex-officio member of the Commission has a three-year term of office, and may not serve more than two consecutive terms.

The headquarters of the NCCA in Intramuros, Manila. Courtesy of wn.com.
The headquarters of the NCCA in Intramuros, Manila. Courtesy of wn.com.

The Supreme Court has defined the meaning of “ex-officio” in the 1991 case Civil Liberties Union v. Executive Secretary: “The term ex-officio means ‘from office; by virtue of office.’ It refers to an ‘authority derived from official character merely, not expressly conferred upon the individual character, but rather annexed to the official position.’ Ex-officio likewise denotes an ‘act done in an official character, or as a consequence of office, and without any other appointment or authority than that conferred by the office.’ An ex-officio member of a board is one who is a member by virtue of his title to a certain office, and without further warrant or appointment.”

The confusion may stem from two possibly conflicting sections of the Implementing Rules and Regulations (IRR) of Republic Act No. 7356. Per Section 38, the position of Executive Director seems to be a career service position, as qualifications are supposed to be set in conjunction with existing civil service regulations. Section 36, however, provides that the Executive Director is appointed by the Board of Commissioners based on open nominations, which would make it a non-career service position, because it has a fixed term.

The position would also be non-career if considered a primarily confidential one, in light of the proximity rule applied by the Supreme Court in Civil Service Commission v. Nita P. Javier.

Legislative solution

A bill now pending in the Senate could prove useful to the NCCA and other national cultural institutions in the event that it is passed into law.

Authored by Sen. Manny Villar, Senate Bill No. 1265 seeks to encourage artists to pursue civil service careers by recognizing, in law, that their talents should be the principal bases for their selection, appointment, and promotion, and by establishing an Artists Career Service (ACS), a closed career system tailored to the special characteristics of the artistic profession. Records indicate that Villar has been filing this bill at least as far back as the 13th Congress, when he first became Senator.

The ACS would cover personnel who have been recognized as having talent in at least one cultural or artistic field, and who occupy government positions directly involved with the creation, performance, presentation, and development of work in music, literature, visual arts, film and media arts, theater, and dance. Among the employees that would be brought into its embrace are those belonging to the NCCA and the Cultural Center of the Philippines (CCP).

Incidentally, Presidential Decree No. 15, which created the CCP, specifically exempts officials and employees of the institution from coverage of civil service rules. Inquiries sent to the CCP and to the CSC regarding how this provision is observed in the current regulatory climate, if at all, have so far met with no response.

Jacob had served in government with the Cultural Center of the Philippines (CCP) for nine years, starting in 1987, as the head of its Visual, Literary, and Media Arts Department, before she joined the NCCA as Deputy Executive Director in 2008.

Information from the Senate web site shows that Villar’s bill was read and referred to the Committee on Civil Service and Government Reorganization, the Committee on Finance, and the Committee on Education, Arts, and Culture on August 31, 2010. The last Committee is headed by Sen. Edgardo J. Angara, one of the authors of the NCCA charter and a member of the NCCA Board of Commissioners.

Neither Villar nor Angara could be reached for comment for this article.

*Editor’s note (December 9, 2011; 9:12 AM GMT +8): This article has been slightly modified to reflect the fact that Adelina Suemith did not apply to be OIC Executive Director.

NCCA Exec. Director replaced while abroad on official business

Multi-awarded playwright, veteran cultural worker, and former National Commission for Culture and the Arts (NCCA) Executive Director Malou Jacob. Courtesy of Jacob's Facebook account.
Multi-awarded playwright, veteran cultural worker, and former National Commission for Culture and the Arts (NCCA) Executive Director Malou Jacob. Courtesy of Jacob's Facebook account.

Former National Commission for Culture and the Arts (NCCA) Executive Director Malou Jacob was officially representing the country at the 5th World Summit on Arts and Culture in Melbourne, Australia, when she learned that the NCCA Commissioners, at a special meeting, had resolved that she be removed from her post immediately. She was told of the decision via e-mail on October 4, the same date that she delivered a paper on Philippine cultural policy before an international audience.

The agency designated Adelina Suemith, head of the Program Monitoring and Evaluation Division, as Officer-in-Charge, and advised Jacob to hand over all pending matters to Suemith at once, although Jacob would be away until October 8. She was also asked to take away her personal belongings and return all government property in her custody as soon as possible.

The replacement of Jacob, a multi-awarded writer and director, as well as a veteran administrator, occurred about a month after the Civil Service Commission (CSC) informed the NCCA that it was disapproving the renewal of her temporary appointment. The CSC pointed out that her lack of civil service eligibility disqualified her from holding the position of Executive Director.

Taken aback

The reason that Jacob was given such short notice to clear out, and while she was abroad at that, is not presently apparent. “Why was the Board’s decision immediate? I have no idea,” she said.

Questions on the matter sent to the Public Affairs and Information Office of the NCCA have so far gone unanswered.

The Commission had appointed Jacob to Executive Director on March 12, 2010 for the period of one year, and had initially approved the renewal of her term for another year in spite of her ineligibility. Jacob succeeded controversial theater stalwart Cecile Guidote-Alvarez, one of four individuals upon whom President Gloria Macapagal-Arroyo, in an unprecedented exercise of presidential prerogative, conferred membership into the Order of National Artists in 2009, setting off a furor that raged all the way to the Supreme Court, where it smolders to this day, awaiting resolution.

While she assured the Commission that she would respect the move, Jacob acknowledged that she was taken aback at its “submission” to the CSC ruling, which was issued in September.

Reacting to the ruling in a letter to the Board that she later disseminated online, including her Facebook account, Jacob said she believed that she was Executive Director because of her vast experience as an artist and as an administrator.  She urged the Commission “to enlighten the CSC” and propose a set of equivalency criteria for the post of Executive Director, asserting that the qualifications for Executive Director should not be based on civil service eligibility, but rather on whether one was a seasoned artist and cultural worker respected by one’s peers and rooted in the artistic community.

In a statement addressed to her fellow artists and cultural workers, which she circulated together with her letter, Jacob said, “This is not about me. This is about the right of the artist to lead the highest culture and arts office of the land.”

[Click through to read Jacob’s statement to her fellow artists and her letter to the NCCA.]

Jacob has been widely recognized for her work, and has numerous honors to her name, including the Gawad CCP Para sa Sining in 2008 and the S.E.A. Write (South East Asian Writers) Award in 2005. Her play Juan Tamban, which was staged in 1978 by the Philippine Educational Theater Association (PETA) Kalinangan Ensemble, and won several awards in the years after, was hailed by critic Doreen Fernandez as a “landmark in Philippine modern theater“.

Prior to joining the NCCA as Deputy Executive Director in 2008, Jacob had served in government with the Cultural Center of the Philippines (CCP) for nine years, starting in 1987, as the head of its Visual, Literary, and Media Arts Department.

Jacob at a protest rally staged on behalf of artist Ericson Acosta, who was arrested without a warrant and has been detained since February this year. Courtesy of Jacob's Facebook account.
Jacob at a protest rally staged on behalf of artist Ericson Acosta, who was arrested without a warrant and has been detained since February this year. Courtesy of Jacob's Facebook account.

Legal issue

Barring the formulation of equivalency criteria by the NCCA and the acceptance of such criteria by the CSC, the case of Jacob points up a legal issue that may have to be resolved in court.

According to Section 38 of the latest Implementing Rules and Regulations (IRR) of Republic Act No. 7356, the law that established the NCCA, “The qualification of the Executive Director shall be set by the Commission in conjunction with existing Civil Service Rules and Regulations”. This would seem to classify the position of Executive Director as a career service position, as well as explain the involvement of the CSC in approving or disapproving appointees.

Section 36 of the same IRR, however, authorizes the Commissioners to appoint the Executive Director, who then becomes part of the Board, by virtue of the provisions of Republic Act No. 7356. The Executive Director, being a non-ex-officio member of the Commission, has a three-year term of office, and may not serve more than two consecutive terms.

Per Executive Order No. 292, also known as the Administrative Code of 1987, a career service position is characterized by the following: “(1) entrance based on merit and fitness to be determined as far as practicable by competitive examination, or based on highly technical qualifications; (2) opportunity for advancement to higher career positions; and (3) security of tenure.”

A non-career service position, on the other hand, is described in this manner: “(1) entrance on bases other than those of the usual tests of merit and fitness utilized for the career service; and (2) tenure which is limited to a period specified by law, or which is coterminous with that of the appointing authority or subject to his pleasure, or which is limited to the duration of a particular project for which purpose employment was made.”

Given the power of the Commission to appoint the Executive Director, the intimacy of the Executive Director to the Commission—the Executive Director, in fact, is himself or herself a Commissioner—and the fixed term of office that the Executive Director has, the nature of the position could allow for the so-called proximity rule to be invoked.

Proximity rule

Derived and developed from De los Santos v. Mallare, the proximity rule is used to determine if a position may be classified as primarily confidential. Because a primarily confidential position is a non-career service position, passing the civil service exam or similar tests need not be required for a person to assume that position.

A recent case that applied of the rule is Civil Service Commission v. Nita P. Javier, which was decided by the Supreme Court en banc on February 22, 2008. In the decision penned by Associate Justice Ma. Alicia Austria-Martinez, a position is considered primarily confidential when “there is a primarily close intimacy between the appointing authority and the appointee”, and when said position is not separated from the appointing authority “by an intervening public officer, or series of public officers, in the bureaucratic hierarchy”.

Meanwhile, the NCCA is still in need of an Executive Director. Interested applicants may visit the NCCA web site for details.

Playwright Jacob on the NCCA, the CSC, and arts and culture in the Philippines

Multi-awarded playwright and veteran cultural worker Malou Jacob was the Executive Director of the National Commission for Culture and the Arts (NCCA) until October 4, 2011, when the Commission decided to remove her from her post while she was officially representing the country at an international summit. Following below are texts that she published via her Facebook account, among other online venues. Slight editing has been undertaken for the sake of clarity.

See the related story on The Pro Pinoy Project, “NCCA Exec. Director replaced while abroad on official business” for more information.

Partial screen shot of Malou Jacob's public statements on the National Commission for Culture and the Arts (NCCA), the Civil Service Commission (CSC), and arts and culture in the Philippines.
Partial screen shot of Malou Jacob's public statements on the National Commission for Culture and the Arts (NCCA), the Civil Service Commission (CSC), and arts and culture in the Philippines.

I did not take the Civil Service Exams in the 1970s and will not take it now in the 21st Century. I refuse to join the league of civil servants that have made my country the most corrupt, the most politically and economically challenged in the world.

After 9 years in CCP and 3 years in the [National Commission for Culture and the Arts (NCCA)], I make the following observations and recommendations:

1. Leave the management of Culture and Arts free of politics.

Let it be managed by the artists and cultural workers themselves. HOW? The Chair and [Executive Director] should always come from their ranks (spirit of the [Presidential Commission for Culture and the Arts]/NCCA Law).

2. There is always a squabble, a tug of war every 6 years when there is a change of political leadership. Culture and Arts should stay far away from political power. Artists get tainted by them. Politicians should not be allowed to aggrandise themselves thru Arts and Culture. Artists should not kowtow to politicians. Politicians think quid pro quo. Artists are spontaneous, open, and intuitive. Unfortunately, there are artists who have become politicians and have ceased to be artists.

3. There should be an Academy of Peers/seasoned artists/cultural workers that chooses the National Artists; not the politically appointed members of the NCCA and CCP Boards; and certainly not the Honors Committee that comes in after the process of selection.

4.The Culture and Arts Industry is the next industry. The country is rich because of multiculturalism. Allow the traditional and contemporary artists to uplift themselves economically by eliminating the loan sharks; and by training marketing people who are sensitive; and will not take advantage of the artists.

5. Demonstrate the important historical role of the artists and cultural workers in times of natural and [man-made] crises. Art Therapy is at its best in the country.

6. Discover and hone the gifted from among the marginalised majority.

***

My Fellow Artists and Cultural Workers:

[Please see below.] This is not about me. This is about the right of the artist to lead the highest culture and arts office of the land. The CCP has been under an equivalency criteria arrangement with the CSC since the late 198O’s. When NCCA was PCCA, the Executive Director had a fixed term which means one cannot be ED for 10 or 20 years until retirement. Inform your [sub-commission] head if you want to pursue this.

FOR THE NCCA BOARD:

I believe that I am Executive Director of the National Commission for Culture and the Arts because I am a seasoned artist and an experienced administrator. I submitted to the CSC my books of plays, my plaques and medals which include the CCP Gawad para sa Sining and the Seawrite Award; a CV that lists my plays produced by the Philippine Educational Theater Association and Tanghalang Pilipino which include Juan Tamban, Macli-ing Dulag and Anatomiya ng Korupsyon.My CV mentions my almost 9 years in CCP, which included the setting up of the Broadcast Arts Department; the running of the entire Visual, Literary, Film and Broadcast Arts Department; the making of modules for outreach workshops in Radio and Television; and the organizing of the nationwide Gawad CCP para sa Telebisyon at Radyo.

The [Civil Service Commission (CSC)] disapproved my temporary appointment by the NCCA Board because I did not take the civil service exam. I did not take the civil service in 1987 when I joined the CCP; and I did not take it now for me to be Executive Director of NCCA.

On behalf of all the seasoned artists and cultural workers, I urge the NCCA Board to enlighten the CSC and submit now a proposal for an Equivalency Qualification Criteria for the position of the Executive Director.

Meanwhile a method/procedure in NCCA must be put in place by Admin. It should begin by informing the entire arts and cultural community through the committees that the position of the Executive Director is open. The seasoned artists/cultural workers should be encouraged to participate in the search of their Executive Director.

I am 63 years old. I will neither gain nor lose from this move. But the next and the next and the next Executive Director and the entire Arts and Cultural community will.

The position of the Executive Director should not be based on Civil Service Eligibility or the [Career Executive Service Eligibility]. It should be a position for the seasoned artist and cultural worker, who is respected by his/her peers and rooted in the artistic/cultural community.

The National Development Project, part 2: Re-defining Good Governance

This is a continuation of Part 1: The National Development Project.

Governance is the cornerstone of the Aquino presidency, and this point is brought out by his development plan. Since Public-Private Partnerships which is the Plan’s centerpiece has been around since the mid-80s under the name Build-Operate-Transfer, better governance of them will provide the only new impetus to growth.

The question now becomes what sort of governance model best suits this strategy?

Peter Evans in an essay entitled Transferrable Lessons? Re-examining Institutional Pre-requisites of East Asian Economic Policies states that there are three alternative models of good governance. He describes them as:

  • The ‘market-friendly model’, best exemplified by the World Bank’s [1993] East Asian Miracle report, which focuses on ‘getting the fundamentals right’. In this model, “government must preserve macroeconomic stability and provide ‘rules of the game’ that are transparent and predictable.”
  • The ‘industrial policy’ model, which is best epitomised by Chalmers Johnson’s classic [1982] study of MITI (Ministry of International Trade and Industry), more demands are placed on economic policy makers…Policies nurturing the general macroeconomic environment must be complemented by “industry-specific policies that push setors most worth pursuing and shift capital out of sectors with declining returns and weak growth prospects.”
  • The ‘profit-investment nexus’ model [Akyuz and Gore, 1996] which shares with the ‘industry policy model’ the idea that policy must do more than simply provide a facilitative macroeconomic environement, but is not as demanding of industry-specific policies. Policies must simply increase the overall level of investment and not necessarily foster certain “sunrise” industries.

The relevant part of the Plan that describes the administration’s governance model is Chapter 7: Good Governance and the Rule of Law. From the elements and the tone of the text, it sounds like that the Plan is using the ‘market-friendly’ model with its four-pronged strategy of eliminating red-tape, pursuing anti-corruption, increasing citizen participation and accountability.

Ensuring a minimum level of probity is consistent with all three models of governance. As Evans states “if developing countries…could achieve the levels of bureaucratic capacity entailed in the ‘market friendly’ model, the additional capacity implied by other models would be institutionally within reach.

That should not be taken to mean though that emulating East Asia requires incorruptible super bureaucrats able to “out-manage their private counterparts from a distance.” As Evans explains,

Minimal norms of probity and competence need to be applied on a general basis, but East Asian reformers did not attempt to transform every ministry. Radical changes were reserved for key economic agancies; routinized behavour and surprisingly high levels of clientelism were allowed to persist in those considered less crucial to the national development project.

If there is any positive thing the economic rationalist theory has contributed to our understanding of governance, it has been the couching of rent-seeking in non-pejorative (or moralistic) terms, according to Evans. Rent-seeking which can take the form of lobbying or corruption is merely a form of profit-maximization on the part of rational agents.

When Mrs Arroyo in an interview at the start of her administration said for instance, that as an economist, she understood that markets did not operate in a ‘frictionless’ environment, she was acknowledging the need for transactions costs. Clientelism is sometimes needed by reformists to ‘payoff’ or compensate those hurt by reforms.

The East Asian countries did not try to reform the entire bureaucracy or weed out rent-seeking in one swoop. They took a different approach:

  • In Japan, the Ministry of International Trade and Industry performed the reformist role, while the Ministry of Agriculture continued to operate along clientelistic lines.
  • In Korea, a bifurcated bureaucracy existed, with the Economic Planning Board taking the helm of development while Construction followed along paternalistic lines.
  • In Taiwan the ruling Kuomintang Party ensured meritocratic appointments to key economic agencies while allowing a “back door” entry for retired military and party members to other parts of the civil service.
  • The pervasiveness of the Confucian ‘super bureaucrats’ in East Asia is a myth save for Singapore where civil servants are paid more than their private sector counterparts.

The Plan seeks to renovate the entire bureaucracy all at the same time. A very noble and ambitious goal, but it is difficult to imagine how this will be achieved given its meager resources and the quality of the civil service pool. This strategy is fraught with risk. Perhaps the biggest risk involves spreading the reform effort too thinly.

Avoiding Capture

A coherent economic bureaucracy was deemed necessary for the state to engage with but avoid capture by increasingly more powerful and wealthy private interests.

Initial conditions fostered the formation of this sort of governance model, namely, an egalitarian society, which was the result of land reform sponsored by the Americans after the War and the external policy environment that allowed market distorting industry and currency policy which was made possible by the US Cold War strategy of propping up capitalist states in the region.

The unlikelihood of duplicating such initial conditions is what causes pessimism with regard to the national development project for late bloomers like the Philippines. Yet, Evans encourages us to resist the fatalism of this view by saying

(w)hat puts East Asian practices out of reach is less likely to be external compulsion than antiipatory acquiescence by developing country governments to perceived constraints.

The rapid growth of China most recently proves that despite its signing up to the World Trade Organization, it has managed to resist measures to prevent it from exercising some of the tools under the industry and profit-nexus models. Singapore demonstrates in fact how the tools have evolved to more sophisticated measures that no longer involve the strong arm tactics applied elsewhere.

The more difficult problem has to do with large inequalities. While concentration of wealth should not necessarily hinder but in fact aid the formation of capital in productive areas, large inequalities have a corrosive function in the policy process.

State capture is what prevented the Philippines in the 1950s and 60s from following a similar path as its neighbors in the region although Malaysia and Singapore managed to avoid this despite having similar disparities among social groups. Here again is what Evans has to say

Entrenched inequality undercuts legitimacy of state autonomy…makes it hard for governments to credibly claim that they represent a national development project. Populist clientelism seems to offer at least a temporary relief to the excluded and close government-business ties which look more like a conspiracy for redistribution upwards than a joint project of national development.

It sounds like he is describing what happened to the country when it opted for a populist clientelist president in the person of Joseph Estrada. The perception was that growth under the elites was only favoring the rich.

Charting a new path

This brings us back to the questions of nepotism and cronyism that have started to emerge even in PNoy’s first year. In a country where only a small group of ruling elites hold much sway over the economy, it becomes difficult to prevent such rumors from floating.

If sanitizing all state agencies from clientelist practices can be ruled out (at least on the ground, despite its being paid lip service), the need to ring fence private rent seeking interest groups from crucial economic policies and infrastructure projects needs to be guaranteed.

That means boosting the capacity of the economic bureaucracy. The Plan which is the first one under the post-IMF oversight period, fails to break out of ‘perceived constraints’ by not examining other more effective governance models.

It remains wedded to the old generic formula of macroeconomic stability, open markets and establishing rule of law which has failed to produce results in places where it has been attempted, namely in Latin America and Sub-Saharan Africa. The challenge now is convincing the policy elite to chart a different path.

To be concluded…go to Part 3: Renovating the Bureaucracy

 

Arroyo spreads news in New York about her admin's feats

Arroyo spreads news in New York about her admin’s feats
AMITA LEGASPI
GMANews.TV

“Start spreading the news…” that’s how Liza Minelli’s 1977 song “New York, New York” goes.

That’s what former President and incumbent Pampanga Rep. Gloria Macapagal Arroyo did. At two recent events in New York in the United States, Arroyo highlighted the achievements of her administration.

Taunted in the Philippines for corruption issues, Arroyo found two international venues — the Clinton Global Initiative (CGI) conference and the Important Dinner for Women — to cite her administration’s achievements, especially for women.

Arroyo attended the two international gatherings from September 20 to 22. Arroyo’s classmate, former US President Bill Clinton, and Queen Rania Al-Abdullah of Jordan invited her to these events.

Both events focused on addressing women issues related to the Millenium Development Goals (MDGs).

The MDGs are eight international development goals that all 192 United Nations member states, and at least 23 international organizations, have agreed to achieve by the year 2015.

These goals include:
(1) Eradicating extreme poverty and hunger;
(2) Achieving universal primary education;
(3) Promoting gender equality and empowering women;
(4) Reducing child mortality rate;
(5) Improving maternal health;
(6) Combating HIV/AIDS, malaria, and other diseases;
(7) Ensuring environmental sustainability, and
(8) Developing a global partnership for development.

Presenter of commitments

In the 5th CGI conference, Arroyo was the “presenter of commitments” on enhanced education for about one million girls.

In a press release, Elena Bautista-Horn, Arroyo’s spokesperson, said the “commitment” was shared by Barclays (a financial services institution), Goldman Sachs (a global investment banking and securities firm) and Room to Read (a non-profit organization based in the US).

Women empowerment

During the 5th Important Dinner for Women, Arroyo was a discussant on the lagging targets on women empowerment and maternal deaths.

The discussion was participated in by Netherlands Prime minister Emily de Jongh-elnage, and Ida Odinga, wife of Kenya’s Prime Minister, among others.

During the event, the former president shared her administration’s accomplishments.

Arroyo said the country was among the world’s top in providing economic opportunities for women. She said the 2006-2007 global entrepreneurship monitor noted that the Philippines was the only in the country in the world where the women are more active in starting business than men.

She added there was a significant increase of women in the labor force, with 49% of all women now working, topping gender equality among managers, professional and technical workers.

Arroyo admin’s achievements

Arroyo also cited that the Philippines has been at the top of the ranking of developing countries in the World Economic Forum’s “global gender gap index” for four consecutive years. She added that the Philippines also has the highest ranking in Asia.

Arroyo further said the government tops in gender equality among legislators and senior officials, adding that women dominate civil service at the technical level.

“The Philippines continues to be the top performer in gender equality in literacy rate and enrollment in primary, secondary and tertiary education. The country also tops gender equality on life expentancy with women outliving men,” the former President said.

She also said that her administration also made landmark legislations for women, such as the enactment of the Magna Carta for Women, a comprehensive women’s human rights law that seeks to eliminate discrimination against women.

The magna carta seeks to recognize, protect, fulfill and promote the rights of Filipino women, particularly those in the marginalized sector.

She also cited the Anti-Violence against Women and the Trafficking Persons Act of 2003, recognizing that women are the number one victims of human trafficking.

Empowerment of women

She said the Philippines is the only country that automatically appropriates 5% of its annual budget for the empowerment of Filipino women.

Yet, like many other countries, the Philippines faces the difficult challenge of reducing maternal mortality from 160/100,000 in 2009 to 55/100,000 in 2015, she said.

Arroyo said maternal deaths affect not only women empowerment but also the promotion of an intact family unit, the breeding ground of an individual’s values and direction for the future.

She said most of maternal deaths are caused by the absence of birth experts and proper birth facilities.

Arroyo said her administration has thus made health care services more available for women. They also made pregnancy quality for public health insurance.

Arroyo also put priority to facility-based, rather than home-based delivery of babies, by upgrading the gynecological, obstetrics, and surgical services of government hospitals.

Aside from attending the two events, Arroyo also held meetings with philanthropists and non government organizations to discuss possible projects addressing the concerns of women and overseas Filipino workers. Arroyo also discussed possible infrastructure, relief, and reconstruction projects. –VVP, GMANews.TV

BSAIII action plan on corruption

A Social Contract with the Filipino People

[scribd id=33543595 key=key-xy1sy29knppf6ju2h99 mode=list]
Action Plan on Corruption

Corruption is the main cause of poverty in the country and the reason why Filipinos have lost trust in government. Noynoy Aquino believes that corruption is not part of our culture and that Filipinos are honest, decent, fair and hardworking. Honest and competent public officers and a professional and accountable civil service supported by active people’s participation will remove corruption and restore trust in government.

As President, Noynoy Aquino will lead the fight against corruption and restore trust in government.

  • Noynoy Aquino will appoint public officials based on their integrity, qualifications and performance record and will hold them accountable to the highest ethical standards of public office.
    • As required by law, all Department Secretaries, Heads of Agencies, and senior officials from Director to Undersecretaries will be required to have their Statement of Assets, Liabilities and Net Worth (SALN) available and accessible to the public.
  • An Aquino Administration will ensure transparency and citizen’s participation in crafting and implementing laws, rules and regulations and in monitoring the programs, projects and transactions of government.
    • Uphold the people’s right to information on matters of public concern and support the enactment of the Freedom of Information Bill in Congress.
    • To enable citizens to help stop corruption, information about the government’s budget shall be organized, packaged and distributed to the media regularly and posted in the internet so the public may know, understand and monitor how their money is spent.
    • Strengthen people’s participation with simple and clear procedures for citizens to monitor all government projects and report their feedback through accessible means.
  • Strengthening the Department of Justice (DOJ) and the Office of the Ombudsman will be a top priority in the campaign against corruption. We will fully implement the recently passed Prosecution Service Act in order to strengthen the national prosecution service, attract qualified lawyers, and institutionalize a more effective witness protection program while improving training and equipment.
  • Ensure the independence of the Office of the Ombudsman by appointing a competent and credible Ombudsman who will be true to the mandate of the office and will pursue unresolved cases of corruption and human rights abuses committed by public officers.
  • An Aquino Administration will put into place a “zero-based” budgeting system to enhance transparency and improve efficiency.
    • Budget allocations for the different agencies of government will be shaped by their performance and their compliance with the reports of the Commission on Audit (COA).
  • Noynoy Aquino respects the professional bureaucracy and will establish ways to motivate and energize the professional bureaucracy.
    • Qualification standards, especially on eligibility, will be strictly followed, and at least half of the positions of Undersecretaries and Assistant Secretaries will be filled by honest and competent career civil servants to ensure continuity and sustainability of effective policies and programs.
    • Government offices will be streamlined and rationalized so that agencies have clear cut and distinct mandates in order to spur greater efficiency and accountability.
    • Performances of government agencies and civil servants will be evaluated rationally and systematically through an effective and measurable performance management system to be approved by the Civil Service Commission (CSC).
    • The Civil Service Commission (CSC) Performance Management System-Office Performance Evaluation System (PMS-OPES) will be linked with the DBM Organizational Performance Indicator Framework (OPIF) to ensure accountability of government agencies and officials.
    • Review the mandates and performance of government agencies and Government Owned or Controlled Corporations (GOCCs).

[Archived from the official campaign web site of President Benigno S. “Noynoy” Aquino III]