Analysis of Current Managerial Problems on the Example of a Distinctive Organisational Unit of Public Administration

Summary

Abstract

The problem of managing public administration units has continued to increase for many years. These units often cannot offer proper conditions and lose the fight for the most valuable employees with enterprises operating in the private sector. From the point of view of the state's strategic interest, such a situation should be considered a threat to the stability of functioning of public administration entities. For the needs of the present article, the author focused on the Social Insurance Institution (Zakład Ubezpieczeń Społecznych, ZUS), whose employees have been threatening to go on strikes for several years, in an attempt to improve their financial situation. This paper will analyse generally accessible materials as well as results and conclusions of conversations conducted with the employees of the Institution. The purpose of the conducted study was to explore and specify the remuneration structure of the Institution and identify factors with the greatest impact on the current situation of the entity. The conducted study will allow for determining which elements of the remuneration system are the least effective and indicate the key areas requiring quick intervention.

Keywords: public administration, wages, competences, working conditions, perception of the institutions

Characteristics of the analysed entity

The Social Insurance Institution is an element of the public administration system, which is defined as fulfilment of collective and individual needs of the citizens resulting from the coexistence of people in communities, taken over by the state and performed by its dependent bodies and local government bodies. It constitutes all organisational structures in the state and people employed in these structures who fulfil public, collective and individual, regulatory and provisory, as well as organisational tasks of managerial and decision-making entities. The Social Insurance Institution is a state organisational unit and has its own legal personality. The seat of the Institution is the Capital City of Warsaw (Journal of Laws OJ of 2015, item 121). The Institution provides services for approximately 16.5 million insured people, keeping accounts constituting records of individual insurance history of each person. It serves 7.7 million retirees and pensioners, as well as 2.5 million premium payers who are entrepreneurs. Until 2017, the Institution received 127.8 million documents and sent 74.4 million documents to insured people.