Thursday, 18 August 2011

The Current Economic Morass - Could it be avoided? - Part 3

We have touched on subsidies and taxes; now let's talk about productivity.

I talked with a retired Canadian Ambassador the other night at a get together.  I asked him about an issue that recently came to my attention.  Apparently there are tens of diplomats at Foreign Affairs that are on the payroll while they sit at home.  The government calls it "waiting for reassignment".  I asked my colleague about it.  He told me that it was a rare occurrence during his time (he retired in 1992) but it did happen.   Seems that when a diplomat turns 60 he/she is told that their career is dead-ended (ie.  no more postings for you, chum).  The dips return to Ottawa and sit at an empty desk until they decide that they have had enough and retire voluntarily.  (Great way to end your career, eh?)

But he did not stop there.  He went on to tell me that, in his opinion, 30% of people who work at Foreign Affairs are working like they like their jobs while the remainder are coasting towards retirement (some 3-30 years from now).

If we could cull the civil service down towards that 30% who do all the work, we could save a bundle.

Just so you don't think I am singling out civil servants, the same can be said for private industry.  I used to tell people that you can always tell when a company becomes mature.  At that point you can shoot a cannon through the offices and not hit a sole.  Everyone goes home to try to forget their day.  Oh sure there is that core group working hard into the evening - they make up the 30%.

Productivity is not a bad word.

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