Re: No Free Lunch: Getting out of the governance trap

Dear Mr. Habito,

I was very happy to read in your article "No Free Lunch: Getting out of the governance trap" (Page B6 of the May 8, 2006 issue of the Philippine Daily Inquirer) that low salaries of government employees is one of the causes of poor public governance. As you mentioned in your article, it is one of several causes that propagates the vicious cycle of weak governance.

I agree with your claim. Low salaries in the public sector do lead to "inadequate quantity and quality of government services, often marked by lack of integrity, professionalism and dedication, and in too many cases, by graft and corruption".

I also agree with you that breaking out from the vicious cycle of weak public governance is a "long and painful process". But I believe we can make a good start by undertaking a slow and gradual increase of public salaries. I propose we start increasing the salaries of policemen and public school teachers first. They are the ones in the forefront of providing the much needed public goods of literacy, peace and order. By so doing, we can gradually improve the quality of our police force and public schools.

Increasing the salaries of policemen and public school teachers would compel them to improve their work. It is a fact of human nature that when one is compensated adequately, one is compelled to reciprocate it with better productivity. How will you explain the high productivity of Filipinos working overseas?

Besides increasing productivity, increasing their salaries is a good means of redistributing wealth to the lower classes and to the rural areas. Since policemen and public school teachers are spread throughout the archipelago, material wealth will be distributed throughout the countryside.

It is alright to allow the inevitable of "rewarding the misfits and the corrupt along with the truly deserving" in the short term. Some of these misfits and corrupt will be forced, out of delicadeza, to improve in their job. When their improved salaries will be known publicly, taxpayers can reprimand them for their sloppy work by pointing out to them the taxes spent for their pay.

Once the salaries of policemen and teachers are raised, there will be a gradual exodus of the best and the brightest among our youth to police work and teaching. The vicious cycle will be converted to a self-reinforcing virtuous cycle, as you mentioned in the article.

Yes, Mr. Habito, there is a way out of the poverty trap or vicious cycle. I suggest we start from the link that directly affect human beings: income. The human component of the poverty issue should be tackled first. I believe we start adopting a mind set that human resources are our best asset. By increasing income, savings will increase. Increased savings will make investments rise. Rising investments will result to rising productivity. Higher productivity will engender higher income!

How will we fund the higher salaries? I suggest we proceed gradually by increasing first policemen's and teachers' salaries of cities other than Metro Manila. Let's start from the countryside.

Your article confirmed my long-held theory: higher salaries of government workers result in better public service.

Thank you for your time reading my comment. I look forward to reading your column in PDI. God bless.

With kind regards,

Manuel Felix G. Abejo Jr.