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Equity and Efficiency in Service Delivery: Human Resources

Equity and Efficiency in Service Delivery: Human Resources. General Budget Support Annual Review, 2008 Wednesday 26 November. Contents. What is the context? How large is the inequity in human resource distribution? What are the trends? How does it affect welfare?

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Equity and Efficiency in Service Delivery: Human Resources

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  1. Equity and Efficiency in Service Delivery: Human Resources General Budget Support Annual Review, 2008 Wednesday 26 November

  2. Contents • What is the context? • How large is the inequity in human resource distribution? • What are the trends? • How does it affect welfare? • What are the factors that need addressing? • Way forward and detailed proposed measures • What can be done in the next year?

  3. Gains in service delivery • Primary education enrolment up from 59% (2001) to 84% (2007) • Sharp reductions in infant and under 5 mortality - estimated 41% drop over 8 years • But problems persist with… unequal distribution of gains across Tanzania

  4. HBS shows increases in the equality of primary school enrolment… …but inequality remains. The enrolment rate is 78% in the poorest quintile and 91% for the best off quintile.

  5. We will look at health and education because… • MKUKUTA priority • Nearly 30% of total budget • Staffing budget for teachers and health workers is largest part of this • Nearly 350,000 public servants • 55.9% teachers • 6.8% health workers We will use public expenditure on wages as proxy for number of workers in next slides

  6. Workers are inequitably distributed in health sector… IFMS MoFEA Health Staffing Budget 2008/9 per capita

  7. And this is replicated in education IFMS MoFEA Education Staffing Budget 2008/09 per 7-13 aged child Top 10 get 8 x more resources than bottom 10

  8. The pattern persists over past decade Login Tanzania If you received a high level of funding per child in 1999/00 likely to receive a high level in 2007/08

  9. It matters for poverty & welfare outcomes Poorest areas receive lower levels of funding Login Tanzania, 2001 Household Budget Survey and 2002 population census

  10. As can be seen looking at education Login Tanzania, 2001 and EMIS The more that is spent per child, the greater the likelihood of success in examinations

  11. How does recruitment and posting happen?

  12. What about the formula-based block grant allocation system?

  13. Let’s show this visually… EDUCATION STAFFING BUDGET Per 7-13 Year Old LGA = Rungwe (Rank 18) Rungwe’s staffing budget would fall if formula applied RED LINE FORMULA Hold harmless would prevent large immediate staffing cuts & allow gradual smooth transition BLUE LINE 2008/9 BUDGET However, formula cannot be applied because it is hard to attract & retain staff in underserved LGAs

  14. It cannot only be about allocating financial resources on an equitable basis • Need to address the underlying factors that drive the inequity?... • Attraction and retention of staff

  15. Key factors to address • Difficulties in attracting and retaining workers to under-served areas • Continued recruitment in better served areas • 8000 transferred in just over a year to better served districts • Administrative procedures – speed, clarity • Roles and responsibilities, coordination – who does what? • Lack of comprehensive, accessible and regularly updated data on staffing

  16. Way forward • In the long term… • infrastructure • amenities • increased numbers of skilled workers …will make a huge contribution. • But there are tangible things that can be done in the short-medium term...

  17. Twin-track approach • Pull factors - targeted incentives in under-served areas • Push factors - limiting workforce in better served areas

  18. Pull: Provide incentives at central & local levels • Central: • ‘Attraction’ packages - monetary and non-monetary • Local: • Empower local government authorities to create local incentive schemes • Assist in deploying to and within districts • Explore flexible funding for LGAs - existing or new discretionary funding channels • Learn from others

  19. Push: limit workforce expansion • Limit recruitment in and transfers to better served district councils • Centrally managed • Short-term • Using an agreed classification

  20. In order to do this what do we need? • Classification of under-served/better-served in relation to need • Cross-government review of administrative procedures, roles and responsibilities • Continued roll-out of the Human Capital Management Information System across government • Development of Medium-Term Pay Policy

  21. What can be done in the next year? • Key stakeholders agree on a comprehensive roadmap • Clear time frames, • budgetary implications, • and technical and financial support required • Classification of under-served/better-served • Use established inter-ministerial (education) task force • Medium-Term Pay Policy finalised

  22. Summary • Pull factors - targeted incentives in under-served areas • Push factors - limiting workforce in better served areas • Key stakeholders agree on a comprehensive roadmap • Classification of under-served/better-served • Use established inter-ministerial (education) task force • Medium-Term Pay Policy finalised

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