Resolution on Efficiency in Public Administration
21. March 2025Resolution of the Executive Board on the Proposals of the Working Group on Efficiency in Public Administration
The Executive Board of the Confederation of Icelandic Labour (ASÍ) supports the newly elected government's policy of managing public funds responsibly, but emphasizes in this context the importance of ensuring that proposals for efficiency measures in public administration are discussed responsibly and in alignment with overall fiscal policy, taking into account both the revenue and expenditure sides of the public sector.
The working group’s proposals are varied, but among them are suggestions that address highly political issues, some of which originate from interest groups and are unlikely to serve their stated purpose. Many of the proposals are underdeveloped, poorly justified, and based on unclear assumptions regarding potential savings.
Among the suggestions made by the working group are ideas to change the legislative framework of the labor market, the role of the State Conciliation and Mediation Officer, and the rights of public employees—proposals directly drawn from employer organizations. The Executive Board strongly opposes such proposals, which undermine the interests and bargaining rights of wage earners and conflict with the prevailing labor market model, being put forward under the guise of improving efficiency in public administration.
The Executive Board also expresses serious concern over proposals to unilaterally dismantle statutory boards and councils within institutions that safeguard important rights and oversee the interests of wage earners—such as the Directorate of Labour and the Administration of Occupational Safety and Health—as well as proposals to privatize public oversight functions. The importance of oversight concerning the safety and working conditions of employees has repeatedly proven vital in recent years.
The Executive Board strongly protests the practice of submitting proposals that have major implications for the public interest without any accompanying analysis or stakeholder assessment.
It is also troubling that the proposals make no attempt to consider regional development perspectives or how the changes would differently impact rural and remote areas.
The Executive Board calls for more thorough and responsible policymaking on the part of the government and demands that political accountability be taken for protecting the public interest in these crucial matters.