BSP Addresses Service Concerns Revealed in ICCC Examination

 The Papua New Guinea government's payroll system has incurred deductions in the pay of numerous public servants, sparking accusations of corruption within the system and prompting widespread protests among affected workers. In response to the outcry, Sam Koim, the Commission General of the Internal Revenue Commission, swiftly addressed concerns regarding alleged tax increases attributed to the government.

Following a viral video depicting disciplined forces, including the police, correctional services, and defense personnel, marching towards Parliament to demand explanations for substantial pay deductions in January 2024, Koim clarified that the deductions were not the result of intentional tax increments. He attributed the issue to a technical glitch in the Alesco payroll configurations and assured corrective measures were underway.

PNG PM James Marape

Koim disclosed that collaborative efforts involving the Department of Finance, Department of Personal Management, and IRC were actively working towards issuing a joint statement to rectify the situation.

Prime Minister James Marape weighed in, emphasizing that the government had not implemented any tax hikes, especially since offering more relief to wage earners, including exempting personal income tax for those earning under K20,000. Marape instructed the Finance Department to investigate the root cause of the deductions and assured affected public servants that their concerns were being heard, promising a forthcoming resolution.

In light of these developments, the Finance Department is set to release a clarification statement and undertake necessary steps to restore any wrongfully deducted amounts during the first pay of 2024. This ongoing situation underscores the complexity of financial matters and highlights the importance of transparent governance in addressing issues affecting the workforce and public service.

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BSP Addresses Service Concerns Revealed in ICCC Examination