The announcement by the government to scrap fuel allowances for government appointees has received mixed reactions among scholars and other stakeholders.
Reacting to the decision on the GIFTs FM morning show, Professor Isaac Dasmani, from the Department of Economic Studies at the School of Economics, University of Cape Coast, observed that it would be prudent for the government to reconsider and rescind the decision to cancel the allowances. Instead, he suggested a reduction in the salaries of the appointees, which he said would also significantly contribute to the government’s efforts to cut costs and protect the public purse.
He recalled a decision made by the previous government during the COVID-19 era, which involved a 30% reduction in the salaries of its appointees.
He emphasized that reducing salaries would not directly affect the operations and activities of the appointees as much as scrapping the fuel allowance would since all their movements are conducted in their vehicles, which require fuel, he stressed that the decision might also lead to corruption, as appointees might find ways to secure funds for their fuel, potentially increasing costs instead of reducing them.
Professor Isaac Dasmani lauded the government’s decision to reduce expenses, which has led to the cancellation of fuel allowances for government appointees. However, he urged for clarification on the specific “Type of Appointees” impacted by the President’s decision, emphasizing that this decision could negatively influence the productivity and operations of those affected.
