DECREASE STAFFING COST BY ELIMINATING AGENCY PERSONNEL USE.

Decrease Staffing Cost by Eliminating Agency Personnel Use

Decrease Staffing Cost by Eliminating Agency Personnel Use

Chapter 1: Introduction

Personnel costs are usually a major cost factor in the state budget. Effective budgeting and monitoring of personnel, therefore, has a significant impact on the ability of governments to control their costs, while at the same time fulfilling its mission (in accordance with the requirements of the state) with a limited budget. At a time when governments are struggling, in connection with the general economic situation, with the same or even decrease government revenues, improve budget management becomes even more important. Pressing question of how to allocate scarce budget resources for core programs and staffing to ensure the most efficient and effective use of resources, while at the same time meet the growing demands of citizens. Indeed, in the current economic situation, unemployment and hazardous working conditions can be observed.

This not only reduces the available budget funds in connection with the reduction in land revenue, but at the same time, raises public spending commitments because of the growing demand for public services, in particular, unemployment benefits and social assistance. Governments face an enormous challenge, which may be perceived as a vicious circle: they are forced to cut overall government spending, and the easiest and most effective way to do this seems to reduce staff costs. However, the provision of public services (and thus of public service staff) are most needed in times of economic difficulty. To solve this problem, the prevailing trend in governments around the world to do more with less, ie to achieve efficiency in order to make ends meet. There are different ways to do it, but they are all based on the reform of public administration, including budget management.

Chapter 2: Literature Review

Recent developments and additional reasons for the personnel management costs are very difficult to draw any general conclusions from a comparative analysis of public expenditure on personnel in different countries. This is because the historical background, defense considerations, the degree of private sector participation in providing certain goods or services, as well as social and employment policies have contributed to the scope of government and, accordingly, the number of their employees and their pay structure.

Budget preparation and management policies

It is now widely accepted that the most successful and least harmful way of controlling the government wage bill is a meaningful policy analysis at the stage of budget preparation, budget cycle. This requires a comprehensive analysis of the necessity and extent of government involvement in economic and social sectors. This approach addresses the heart of the problem, in which the current sectoral and operational policies are analyzed to identify the marginal tasks performed by line ministries. As a result of exercise, the number of unnecessary materials for operations, including idle workers who are identified and removed from public services.

The utmost advantage of this approach is to minimize the possible compromise of reduced staff through an analytical approach to the implementation against accidental ...