Government to Move Forward with Pay-for-Performance System to Boost Public Sector Efficiency

“For the public sector, the focus should now be on pay-for-performance, efficiency in service delivery, and productivity gains.”
– Minister Fayval Williams
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The Government on Tuesday (March 11) opened the 2025/26 Budget Debate, with a historic presentation by the country’s first female Minister of Finance, Hon. Fayval Williams.
Minister Williams outlined a raft of benefits to Jamaicans, including no new taxes.
The Finance Minister announced the government’s continued efforts to enhance public sector efficiency through the implementation of a pay-for-performance system.
The initiative forms part of the broader Public Sector Transformation programme aimed at improving productivity and service delivery.
Minister Williams underscored the importance of fiscal discipline and sustainable financial management in achieving long-term economic stability.
The Minister reiterated the government’s commitment to ensuring fiscal responsibility, citing adherence to the Fiscal Balance Rule and the Debt-to-GDP target as key measures in maintaining economic resilience.
“For the public sector, the focus should now be on pay-for-performance, efficiency in service delivery, and productivity gains,” Minister Williams stated.
As the government prepares for the new fiscal year, Minister Williams highlighted that progress is already underway in the implementation of the pay-for-performance element within the new compensation framework. She noted that the government has initiated discussions with union partners to ensure a collaborative and structured approach to the system’s rollout.
“We have begun the conversations with our union partners because we must continue to transform to provide the framework and tools to improve productivity in the public sector. The pay-for-performance system is a key component in incentivizing performance in the public sector,” added Minister Williams.
The pay-for-performance model is expected to drive greater accountability and efficiency, aligning compensation with measurable outcomes and service excellence.
Minister Williams said this initiative builds on gains made in efficiency and productivity throughout the 2024/25 fiscal year, reinforcing the government’s commitment to a modern and results-driven public administration.
“We are ending Financial Year 2024/25 with gains in efficiency and productivity in government!” Minister Williams affirmed.
The government remains steadfast in its vision to create a high-performing public sector that meets the evolving needs of citizens while ensuring fiscal prudence and economic sustainability.