Minister of Agriculture Lobin Lowe on Wednesday suspended all services which Agriculture Development and Marketing Company provides.
Government has also with immediate effect, suspended all the employees in order to pave way for a functional review.
Addressing a press conference in Lilongwe, Lowe said ADMARC needs a turnaround strategy and that cannot happen while the employees are there.
Lowe said this government led by His Excellency Dr. Lazarus Chakwera remains committed to turn the fortunes of ADMARC by implementing a number of reforms aimed at bringing ADMARC’s lost glory.
Lowe said for over two years, Government, along other ADMARC shareholders, has been analyzing best ways of restructuring the institution and has concluded that ADMARC’s failure to tick and bring the desired results is attributed to a number of issues.
The challenges include prolonged conflicts between ADMARC Board of Directors and Management leading to poor governance, abuse of company finances and theft by some employees, low productivity contributed to laziness of some Company employees and suspected corrupt practices perpetrated by some employees of the Company.
Lowe also said there has been unprocedural recruitment of some employees
leading to excess workforce in the Company.
“The Malawi Nation is hereby informed that the Shareholders of ADMARC Limited, through my Ministry, have decided to re-define the functions of this Company with the view of serving Malawians better in line with its three mandates,” he said.
Lowe said as one way of bringing back ADMARC, the following measures have been put in place: “Re-define the functions of the company, suspend all the services except social services until further notice, send all members of staff on paid leave except those that will be communicated to.”
ADMARC has since cautioned all members of staff for ADMARC that any member of staff who will report to the office without being communicated to will be considered as a trespasser and necessary action will be taken.