COMPANY (CMED)
Cabinet approved the commercialization of CMED and its transformation into a private limited liability company, wholly owned by government in 1997. Subsequent to this, the Ministry of Transport and Communication commissioned a study to come up with a commercialization strategy, which was implemented in 2001 following the promulgation of the CMED (Commercialization) Act by Parliamen
t in 2000. In August the same year the Minister of Transport and Communication appointed a Board of Directors to oversee the restructuring process and provide policy guidance on the management and running of CMED (Private) Limited along commercial lines. The board’s immediate task following its inauguration was to review CMED’s organization structure and business focus as well as implement the staff and asset transfer as stipulated in the CMED (Commercialization) Act 2000. These activities were a means to achieving Governments stated objectives of streamlining CMED’s operations to improve service delivery and make itself sustainable. The board appointed the Managing Director on 1st June 2002 and the rest of Senior Management thereafter. The Act provided for the transfer of CMED certain employees to the new company. Accordingly, the Public Service Commission abolished all posts in the former Central Mechanical Equipment Department on 31st July 2002 and total of 706 employees were transferred with the consent of CMED ( Private) Limited to the Public Service Commission for either redeployment within the Public Service or abolition of post. In percentage terms 57% of employees in post were transferred compared to 43% who remained with the Public Service Commission. The placement of staff has just been completed but there are still vacant posts to be filled. These posts will be filled by recruiting staff from the open job market. The core business of CMED (Private) Limited is to provide cost effective and affordable transport to government ministries , departments, individuals and the private sector. The company hires out vehicles, heavy equipment motorcycles and vessels to various arms of Government and the general public and repairs and maintains the same. It also sells fuel and does engine component reconditioning, has a new business Easy Go Car hire and travel and Driving School