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Rationalization 
November 9, 2005

National government agencies are currently evaluating their functions, structures, and staffing patterns. This is termed as rationalization. The objectives of this activity are: to avoid overlapping of functions, enable agencies to focus on what they are mandated by law to do, make government more efficient, and therefore better to serve the public.

The objectives are laudable but since this involves employment, problems are cropping up along the way.

One of these is the concern that about a third of the manpower of most agencies may become unemployed because their functions and positions are “redundant”.

 Another concern is whether the separation pay that will be given to those who will be unemployed will be given immediately so that there is no gap between the last salary received and the payments of separation pay.

Still another is whether those who are left in the plantilla can do the task assigned to the agency to the satisfaction of the public.

From an economic standpoint, rationalization can be beneficial both to the government and those who will be separated.

To the government this means there will be an improved delivery of services and avoidance of wasted man-hours.

To the employees adversely affected, they would have funds which they can use to put up their own business or be self-employed. Their business may even result in employment for others.

 The concerns mentioned earlier have to be addressed and the resulting staffing should, in practice, be efficient.

The adjustment process would be suspenseful and tense but if there is proper planning and the required administrative preparation all those concerned, particularly the public, will appreciate the rationalization.