New Public Administration & Management in Vietnam's Mining Sector

The public administration reform (PAR) platform in Vietnam was formally propelled in January 1995, concentrating on improvements of organizational establishments, of the government apparatus, and on the expansion and teaching of administrators. By 2003, it is familiar that total the transformation development has been sluggish and that envisioned results have not been accomplished. Nevertheless, Ho Chi Minh City (HCMC), a regionalized level of the Government of Vietnam, stands out as a ground-breaking and comparatively efficacious restructuring local authority. Public Administration Reform (PAR) in Vietnam is a determined platform that seeks to apply ‘rule by law’ within a consolidated, state controlling structure. It is a political policy by the key party and state representatives with the aim of institutionalizing and legitimizing the evolution to the ‘socialist market economy’ through making a reliable system of rule‐bound public administration. This platform has received wide-ranging donor backing. In the content and course of PAR, outer models and technical aid are powerful but the political skirmish over control of state capitals shapes the procedure. This is seen in the efforts to constitutionalize the commands of state structures and to differentiate them from the party; to distinct owner and manager characters and to substitute political with commercial criteria in the operation of state owned enterprises; to combat corruption in ‘street level’ decision making; to justify the machinery of government; to create a centrally managed, professional civil service; and to reform the system of public finances. In each of these areas, there is confrontation to reform proposals and evidence of application gaps. In these conditions, focus of donor support on the centrally managed PAR platform is a high risk approach. Continued support for local, ‘bottom‐up’ reform ingenuities could help sustain the demand for reform.
 

According to scholars, local administration is a contraption exercising state influence at provincial, district and commune levels; a local administration consists of a People’s Council and a People’s Committee. It is a complex system because of not only the intricacy of organizational-provincial structures but also its assorted procedures under different historic circumstances and within dissimilar possibilities of capability. The 2013 Constitution clearly states that the local administration has two types of responsibilities and authorities, namely establishing and guaranteeing application of the Constitution and laws in their neighborhoods and deciding on local issues. This expresses the underpinning view that policies and laws are to be issued by competent central bodies, while local administrations at all levels are responsible for organizing the implementation under the supervision by superior state bodies. In addition, tasks and powers of local administration are determined based on the division of competence between state bodies at central and local levels and among different levels of local administration. This determination is aimed at guaranteeing the initiative and self-responsibility of each level of administration as well as the effective control of power.

Public Administration in Vietnam with a close analysis of the Mining Sector

 Vietnam’s mining industry remains largely undeveloped with most operations being insufficient and causing harm to the environment. However, there remains great potential due to the diversity of untouched mineral resources. The discovery and mining of new minerals can be significantly facilitated with foreign direct investment (FDI). This provides the opportunity to use international, modern, efficient, sustainable, and secure technologies for the procedure. This would have a huge impact on the nation’s economic growth and would lead to a reduction in public debt. The PAR platform made its headway into the mining industry, very rapidly, as it was a socialist country and the sole organization of mining in Vietnam was VINACOMIN. Here, we have to note that Vietnam is a single-party state with a multi-level partisan and governmental system entailing of the national level at the top, and—with prominence to the case under argument in this article—the provincial, district, and joint levels below. Whereas lawmaking and policymaking powers are well separated, the Communist Party of Vietnam plays a conclusive role on all levels of administration and resolution. With respect to governing mineral extraction, establishments on the national and the regional level, i.e., the Ministry of Natural Resources (MONRE) and the Department of Natural Resources (DONRE), are the most pertinent decision-making bodies. However, there is a noteworthy gap amid ecological policy acceptance at the national level and its operation at the regional and local levels, especially when it alarms stakeholder participation and association.
 

There are three adversities to proper administration of the mining industry in Vietnam:


· Mining policies and issues: First, existing mining legislation could be revised and become more transparent, clearer, with investor-friendly rules created. Second, state co-ordination of law enforcement can be established to ensure a consistent and effective application of the relevant rules. Third, a fair tax system for government and investors likewise should be created.
 

· Work Productivity: The gap between the growth in economy and productivity has led to an increase in wages, faster than the productivity growth. From 2004 to 2015, the average wage increased by 6.67 percent, while labor productivity only grew by 4.96 percent. Historically, increase in minimum wages have led to an increase in average wages, reduced profits, and lower employment, especially for FDI and private firms. Labor-intensive sectors usually move towards automation, while capital-intensive sectors reduce investments in machinery. According to Vietnam’s General Statistics Office, the average monthly salary in 2017 was VND 6.6 million (US$290), up 9.3 percent compared to 2016. This was higher than the growth in the regional minimum wages in 2017, which was 7.3 percent.
 

· Lack of skilled labor: The government has taken steps to increase vocational and technical training in order to meet the requirements of the labor market. In March 2018, the government introduced Decree No. 49/2018/ND-CP that provides for the accreditation of vocational education. As of February 2018, there are more than 1,900 vocational training centers across Vietnam, including 395 colleges and 545 vocational schools, which offer programs in tourism, beauty services, IT, construction, fashion, garment and textiles, pharmaceuticals, precision mechanics and hotel management. The government aims to provide vocational training to 2.2 million people in 2018.

New Public Management and its presence in the Mining Sector of Vietnam

New Public Management depends on two precursor theories:
 

· Public Choice Theory: Flow of the decision of command to the public
 

· Neo-Taylorism: An Offshoot of Taylor’s Scientific Management, According to Vasquez, refers to a number of practices in organizations aiming at the reduction of time and resources in productive processes through maximization of efficiency, the basic principles that constituted the starting point to develop Taylor's postulates”.

Features of New Public Management

· Business model of Market as the right model for Public Administration: According to Frederick Hayek and Milton Friedman, the Market has the final say to manage and control resources to every state.
 

· Economic Rationality: Efficient Public Management based on Economic rationality focused on economic generation, the more the government is earning profit, the more they have the ability to serve the people
 

· Managerial Autonomy: In an establishment, it is imperative that the managers or the middle level administrators should have autonomy to make their own decisions, which could benefit the establishment as a whole.


In Connection to this, to achieve the objectives of NPM, The Government/Administration should be reactive, Community-majority, mass-driven, mission oriented, and Market oriented, to understand the pulse of the polemics.
 

In Vietnam, there are many legal and constitutional hindrances to achieve a fully efficient and open industry of mining, as mentioned before, Vietnam governed by the Communist party, doesn’t facilitate openness of the economy. In my view, Vietnam is not following the tenets of NPM, as there is no Managerial Autonomy as the whole decision making is done by the Ministry of Natural Resources (MONRE) and the Department of Natural Resources (DONRE) which are both National Level Government Agencies of Vietnam. The state-owned mining corporation VIACOMIN, by compulsion is to follow the orders of the agencies, to the letter, which suggests the concepts of hierarchy and appellate authority under the government. As Vietnam hasn’t opened its economy fully to the World, it can be deduced that they are not following the Business Model of Market, thus another proof of Vietnam, not following NPM. In Vietnam there is no competition as the monopoly in Bauxite, Coal and Tungsten mining is held by VIACOMIN. As the tradition of hierarchy, span of control, appellate and supreme authority are followed in Vietnam, it is safe to say that Vietnam is following the Traditional Public Administration.




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References
 

Marston, Hunter. “Bauxite Mining in Vietnam's Central Highlands: An Arena for Expanding Civil Society.” Bauxite Mining in Vietnam's Central Highlands: An Arena for Expanding Civil Society?, JSTOR, 2012, www.jstor.org/stable/41756340.


Schiappacasse, Paulina, et al. “Towards Responsible Aggregate Mining in Vietnam.” Towards Responsible Aggregate Mining in Vietnam, 2 Aug. 2019, doi: 10.3390.
 

Vasquez, Jose Luis, and Garcia Maria Purificacion. “From Taylorism to Neo-Taylorism: A 100-Year Journey in Human Resource Management.” From Taylorism to Neo-Taylorism: A 100-Year Journey in Human Resource Management, University of Szeged.


United, Nations. “Strengthening the Impact of Public Administration Reform in Vietnam in Da Nang City.” UNDP in Vietnam, United Nations Development Programme, www.vn.undp.org/content/vietnam/en/home/operations/projects/democratic_governance/Strengthening-the-impact-of-Public-Administration-Reform.html.


Minogue, et al. “Public Administration Reform in Vietnam: Experiences from Ho Chi Minh City.” AgEcon Search, 1 Jan. 1970, ageconsearch.umn.edu/record/30679/?ln=en.


“Labor Market Trends in Vietnam.” Vietnam Briefing News, 18 July 2019, www.vietnam-briefing.com/news/labor-market-trends-vietnam.html/.


“Current Local Administration System in Vietnam.” Vietnam Law & Legal Forum Magazine Is Your Gateway to the Law of Vietnam, vietnamlawmagazine.vn/current-local-administration-system-in-vietnam-6058.html.

Franda on Electoral Politics in West Bengal

The author, Franda discusses at length about the growth of socialism in West Bengal. It has been described as "an aspect of the complicated political situation obtaining in this small, truncated state". He also discusses at length about the so called politicization of the Bengali Community since the inception of the British Rule, about the questions that forced deliberations of Politics in West Bengal prior to the elections held in 1967, which marked the growth of left politics in Bengal.

The Second split within INC from where most of the Bengali members seceded and formed the Bangla Congress in 1966. This Bangla Congress was party to the UDF Coalition, which occurred in the foreseeable future and will lead to the formation of the United Left in 1967. Similarly due to the ideological and broadly electoral differences, many hardline Marxists left the CPI and formed the CPI(M), which managed to outpoll its parent party by a huge margin in both the 1967 and 1969 elections.

There is a vast difference, where it concerns feudal-oriented Congress and Marxist-oriented United Left (CPI, CPIM, RSP, and FB). The INC has been a staunch supporter of foreign investment, free market and economic liberalization, whereas the left advocated, workers’ rights, Anti-FDI arguments, nationalization of Industries and Banks, redistribution of land. According to Franda, "While these parties don’t measure their success in the terms of vote numbers or the quantity of Seats in Assembly or Parliament, they have nevertheless been able to attain an important position in the electoral politics of the state"**. The umbrella tendency dates back from 1952 to 1957, where ULEC formed by CPI, RSP, PSP, FB and FB(M), this CPI-led ULEC won 80 seats in 1957, this created a pattern by 1962. This showed that CPI, RSP and FB could work in an alliance, and in the process squeeze out smaller left parties from the political pitch, and clearly the strategy worked. Soon after the split of the CPI in 1964, there sprang two fronts, PULF led by CPI and ULF led by CPIM. Bangla Congress showed solidarity towards CPIM and supported the ULF.

The 1967 elections was a benchmark in the electoral politics in India, a non-INC democratic socialist party secured the power in the state, and decided to ally with ULF, which made it possible for the Bangla Congress to come into power. INC West Bengal leader, Atulya Ghosh opined that the PM would’ve wanted to form a coalition with the communists. As a matter of fact the UDF (United Front) Government was formed in 1967 as a coalition of 14 parties including PULF, ULF, PSP and Gurkha League, unfortunately but quite consequentially the UDF Government lasted only for nine months, succeeded by President’s rule in the state. Again the UDF rose in the 1969 elections with a decisive victory.

Franda concludes by writing that if the United Front was truly united there could be a possibility of the two-party system followed in Britain and the US as all the smaller parties were squeezed out of the spectrum.

 

Poromesh Acharya on Panchayats and Left Politics in West Bengal

This article authored by Poromesh Acharya, is an insight on the then upcoming Panchayat Elections in the year 1993. According to Acharya, "Despite the apparent success of the Panchayati Raj in West Bengal under Left Front rule, the overall domination of the privileged classes over the rural power structure remains unchallenged" In this article, Acharya explains about the democratic decentralization through Panchayati means, which has been accepted as a state policy by the Left Front Government for its social upliftment and transforming nature. He also held the view of Promode Dasgupta, the then Chairman of the Left Front, who opined that decentralization will end the concentration of power and authority at the hands of Administrative officers and the Privileged classes.


Although the performances of the Panchayati Raj in West Bengal ushered in a new era of political administration and leadership in the region, the agro-laborers and the poor peasants were greatly under-represented and the rich and the middle-level peasants were actually part of the decision-making. In a mechanism of democratic centralism, it is the secretary of the Party District Committee who wields all the power and the "ultimate authority", CPIM only recruits/nominates people with a labour background into the ranks, having the idea that the person, would come to aid of the people who are economically or socially similar to him, therefore the question is of the class character of the District Committee.

With reference to the Land Grab Movement, the Context of the red flag emerged as a symbol of struggle against oppression from the privileged classes, which distincts itself from INC which "allegedly" represented the rural elites, but even after coming to power, the Left Front Government overlooked the interests of the rural labour community. Operation Borga, one of the flagship policy implementations brought out by the Left Front Government, but was carried out mainly by the Administration and top notch party leadership. The role of the concerned Borgadaars was limited so as their contributions, they were merely recipients of their rights which the Left Front Government promised them.

Acharya writes about the electoral-ideological dilemma of the Left Front and says that the Left Front has won elections at the cost of their ideology, which is true, observing the later events. The inherent populism within a socialist party trying to cling on to power. He finally concludes with mentioning the BJP and how it could be a strong adversary to the CPIM and the Left Front by stating its influence in rural Bengal, how communal politics could possibly take over and caste-class politics could disappear from the spectrum