SOME STAFF MEMBERS WHO FACED POSSIBLE INVOLUNTARY SEPARATION REDEPLOYED, FIFTH COMMITTEE TOLD BY ASSISTANT SECRETARY-GENERAL FOR HUMAN RESOURCES
Press Release
GA/AB/3093
SOME STAFF MEMBERS WHO FACED POSSIBLE INVOLUNTARY SEPARATION REDEPLOYED, FIFTH COMMITTEE TOLD BY ASSISTANT SECRETARY-GENERAL FOR HUMAN RESOURCES
19961015 Says Action Followed Committee's Recommendation; ACABQ States Such Separations Should Not be Used Solely to Reduce BudgetThe Assistant Secretary-General for Human Resources Management, Denis Halliday, told the Fifth Committee (Administrative and Budgetary) this morning that the United Nations Secretariat had redeployed 20 of the 37 staff members who, just one month ago, had their possible involuntary separation suspended by Secretary-General Boutros Boutros-Ghali at the Committee's recommendation.
Speaking as the Committee took up the Secretary-General's report on ways to reduce the 1996-1997 budget by $154 million, Mr. Halliday said that eight of the 17 remaining staff members had been placed against extra-budgetary resources. Of the 20 who had been placed as of mid-October, seven were from developed nations, with 13 from developing countries. Of the 17 not yet placed, 10 were from developed nations, with seven from developing countries. The Secretary-General's report was introduced by United Nations Controller, Yukio Takasu.
On the same issue, the Advisory Committee on Administrative and Budgetary Questions (ACABQ) has, in a report submitted today by Chairman C.S.M. Mselle, expressed the view that the Secretary-General should not carry out any involuntary separations solely to cut the budget, since the General Assembly had not decided to abolish posts or considered his budget-cutting proposals.
The Advisory Committee also recommended that Staff Regulation 9.1 be clarified to ensure that "reduction of staff" was used only after a post had been abolished, with the understanding that any changes in the number of regular budget posts required the Assembly's specific approval.
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Apart from the issue of budget reductions, the Committee this morning also discussed the scale of assessments for apportioning United Nations expenses and took up the questions of human resources management and the pattern of conferences.
During the debate on the scale of assessments, the representative of Turkey said his delegation would not accept any resolution that did not correct an action by the Committee on Contributions that had caused an unjustified 40 per cent increase in Turkey's assessment rate for the 1995-1997 scale, compared to the 1992-1994 scale. The Committee, he said, had excluded Turkey from the list of developing countries that would benefit from the placement of a 15 per cent cap on the effect of the phase-out of the scheme of limits.
The representative of Kazakstan said that the current scale methodology should be simplified and should take into account the real economic situation of Member States. It should use gross national product (GNP) as the first approximation of capacity to pay and to establish the scale of assessments, eliminate the scheme of limits, shorten the statistical base period to three years and use market exchange rates to approximate current capacity to pay.
Mozambique's representative said that the current floor rate -- the minimum assessment -- imposed an unjustifiable assessment surcharge on a majority of countries and should be expressed in three decimal places to make it more precise. The scale for developing countries should be based on actual share of adjusted national income, and the debt burden and low per-capita income adjustments should be retained as elements in calculating assessments.
Statements were also made by the representatives of Syria, Cameroon, Republic of Moldova, Lebanon and Côte d'Ivoire.
The Secretary-General's reports on human resources management were introduced by Mr. Halliday, while those on the pattern of conferences were presented by the Chairman of the Committee on Conferences, El Hassane Zahid (Morocco).
The Assistant Secretary-General for Conference and Support Services, Benon Sevan, introduced the Secretary-General's report on respect for the privileges and immunities of officials of the United Nations, its specialized agencies and related organizations, in his capacity as the United Nations Security Coordinator.
The Committee is expected to meet at 10 a.m., Wednesday, 16 October, to continue discussing the scale of assessments and begin debating the proposed budget reductions, human resources management and pattern of conferences.
Committee Work Programme
The Fifth Committee (Administrative and Budgetary) met this morning to continue its general debate on the scale of assessments and to take up the implementation of $154 million in General Assembly-mandated cuts from the 1996-1997 budget, human resources management and pattern of conferences. (For background on the scale of assessments, see Press Release GA/AB/3089 of 7 October.)
Implementation of $154 Million Cuts from 1996-1997 Budget
In an interim report, in March, on measures to save $154 million from the 1996-1997 budget (document A/C.5/50/57), the Secretary-General states that an overall cut of some $140 million, of the $154 million mandated by the General Assembly, seemed feasible then. The cuts are couched in broad and preliminary terms and they would affect staffing and work programmes and services. The amount could change as the budget's implementation proceeds, as managers respond to changing circumstances and as the results of ongoing reviews become known. At the end of the process, the level of mandated cuts seems achievable but with difficulty, he says, adding that any new mandate adopted in the biennium would need new funding or would not be implementable without a commensurate cut elsewhere.
In reviewing the measures needed to achieve the $154 million cuts and cap spending at $2.61 billion, the Secretary-General recalls that he had proposed $98 million reductions when he presented the 1996-1997 budget last year. The vacation of a significant number of posts was required at the beginning of 1996 to attain the 6.4 per cent vacancy rate set by the Assembly for General Service posts. Otherwise, unbudgeted spending of up to $50 million could arise. It is clear that the mandated cuts could not be achieved while implementing the programme of work initially planned or without significantly cutting staff costs.
The Secretary-General anticipates that average biennial vacancy rates of 9.0 per cent for Professional and 7.0 per cent for General Service posts could be realized. They would be achieved through attrition, strict enforcement of retirement age, freeze in recruitment, early separation, lateral staff redeployment and lay-offs. Required lay-offs will be achieved through a mechanism that will ensure that affected staff are considered for available vacancies. Early separation for 1996 has been offered worldwide, with the expectation that voluntary buy-outs will significantly help achieve the reduction target. There is a role for Member States and host countries in helping terminated staff resolve visa difficulties, find other jobs and possibly to resettle. "The human dimension of this process deserves the most serious concern and attention", he writes.
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In its report on the proposed savings of some $154 million from the 19967-1997 budget (document A/50/7/Add.16, of 3 May), the Advisory Committee on Administrative and Budgetary Questions (ACABQ) states that cuts of the required magnitude cannot be achieved without reducing services and delaying and postponing programmes. Services and timeliness of delivery will also deteriorate. The most important fact to be considered is the difficulty in fully implementing Assembly resolution 50/214, on questions related to the proposed programme budget for the biennium 1996-1997, as envisaged. It is also not clear that the projected $140 million in savings forecast by the Secretary-General can actually be achieved. The ACABQ notes that, of the Secretary-General's proposed $140 million cut, $71.5 million will come from staff costs, $19.3 million from staff assessment and $49.2 million from non-staff costs.
Commenting on the Secretary-General's report on the proposed cuts, the ACABQ says that its current presentation does not allow the Assembly to determine whether the proposed savings will not affect the full implementation of mandated work. To enable it to do so, the Secretary-General should submit another report in the normal budgetary format, including expenditures by programmes.
In his August report on the measures to save $154 million from the 1996- 1997 budget (document A/C.5/50/57/Add.1), the Secretary-General identifies, in a budget format, an additional $14.1 million in cuts needed to trim the budget to $2.61 billion, as mandated by the General Assembly. His March report had identified savings of $140 million of the required $154 million. The additional $14.1 million savings identified in the present report are linked to the higher-than-anticipated vacancies of $8.6 million, which will be sustained through the biennium.
The higher vacancy rates experienced by the end of July (900 total, 466 Professional and 434 General Service) reflect the effect of both the 1995 and the 1996 early separation programmes, according to the Secretary-General. Further vacancies would be realized through attrition; strict enforcement of retirement age; recruitment freeze; lateral redeployment of staff; and, if necessary, the lay-off of personnel.
By expenditure items, the largest cuts proposed are from posts ($79.1 million), staff costs ($13.5 million), contractual services ($6.1 million), general operating expenses ($5 million) and travel ($3.8 million).
The largest cuts are proposed in the budget sections for the Department of Administration and Management ($46.4 million), peace-keeping and special missions ($10.8 million), Department of Public Information (DPI) ($8.2 million), United Nations Conference on Trade and Development (UNCTAD) ($7.7 million) and the regular programme of technical cooperation ($7.4 million).
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Meanwhile, says the Secretary-General, the reviews initiated to improve efficiency and performance have identified over 400 initiatives for improving efficiency. Some of them have been implemented and are expected to mitigate the effects of budget cuts.
After approving the 1996-1997 budget, the Assembly adopted resolutions entailing additional mandated activities, according to the Secretary-General. It then asked him in June to submit a report by 1 September with proposals on how to absorb those costs. While there are no signs that the budget is being overspent due to the new mandates, he will be in a better position to make proposals in the context of the first performance report, which is expected towards the end of the year.
Commenting on the Secretary-General's report, the report of the ACABQ (document A/51/7/Add.1) states that the themes of his proposals seem to be that savings can be achieved by changing programmes and cutting staff and that their effect on the delivery of programmes can be mitigated through efficiency gains. But, the ACABQ states, he does not substantiate that view. Moreover, his report has not adequately addressed the question of vacancies, their composition and how they have been achieved; the extent of intergovernmental review; additional mandates and the question of deferred programmes.
Regarding staff cuts, the ACABQ states that vacancy rates were 11.8 for Professional staff and 7.0 per cent for those in the General Service category, as of 30 June. It points out that personnel services are provided by staff occupying approved posts as well as those recruited with funds for temporary assistance and consultancies. Noting that some occupied posts are filled by staff on short- and fixed-term and permanent appointments, it again cautions against the danger of losing institutional memory in some United Nations functions and calls for broader geographical representation in that category of personnel.
Since vacancies are central to the current exercise, the ACABQ says, the Secretary-General should have explained how he would use them to achieve savings. It argues that it is not necessary to maintain a vacancy rate of 11.8 per cent for Professionals for the rest of 1996 to 1997 in order to achieve the average 6.4 per cent rate required by the Assembly. Contrary to the General Service rate, Professional vacancies, it reiterates, are a response by the Secretariat to the requirement to cut $104 million and had not been specifically sought by the Assembly. The Secretary-General should also elaborate on how he is using vacancies to accommodate such additional mandates as those for the United Nations Human Rights Verification Mission in Guatemala (MINUGUA), the International Civilian Mission to Haiti (MICIVIH) and the United Nations presence in El Salvador.
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The ACABQ reiterates its observation that the required vacancy rates can be achieved through attrition, enforcement of the retirement age, freeze on recruitment and staff redeployment. Therefore, the Secretary-General should not carry out any involuntary separations solely to cut the budget, since the Assembly had neither decided to abolish posts nor considered his budget cut proposals, including an increase in the Professional vacancy rate of 6.4 per cent. Staff Regulation 9.1 should be clarified, the ACABQ recommends, to ensure that "reduction of staff" is used only when a post is abolished, with the understanding that any changes in the number of regular budget posts require the Assembly's specific approval. Decisions to effect involuntary separation of staff should be taken with due regard to the accountability of senior officials for the implications -- financial and otherwise -- of their actions, should those actions be subject to judicial or administrative review.
A breakdown, by nationality, of the 37 staff previously identified for involuntary separation is annexed to the report. They come from 26 countries, ranging from the United States, with 12; to the Russian Federation with three; to Ethiopia, France, Lebanon and the Philippines, with two each; and to India and Saint Kitts and Nevis, with one each.
Regarding voluntary separations, the ACABQ says it understands that the "buy-out" programme ended in early 1996 and that the total paid out for 1995-1996 was $40.2 million (425 people), with $14.7 million paid out in 1996.
Commenting on programmes changes and reductions, the ACABQ states that the Secretary-General should justify his proposed cuts in the same way he would justify increases. His report has not clarified how the various deferrals, delays, postponements and cancellations in the approved programmes will affect the United Nations ability to carry out mandates from competent intergovernmental organs. "Moreover, the Secretary-General's report leaves unclear whether the proposed changes in programmes are arbitrary or fortuitous in nature or whether they are the result of a determination based on a qualitative analysis, either by the Secretariat or through intergovernmental review."
For example, the ACABQ says, the Secretary-General does not explain how he decided to cut $7.7 million from the UNCTAD and the action's impact on programmes.
In many areas, the ACABQ adds, the Secretary-General's report is not clear on whether proposals on termination, postponement or modification of approved programmes derive from his initiative or are the results of intergovernmental review. The Secretariat should review programmes to identify the outputs that have originated from within the Secretariat and those that have been sought by intergovernmental bodies.
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Some of the efficiency measures mentioned in the Secretary-General's report are being implemented before the Assembly's approval, according to the ACABQ. His report should have contained more details on how specifically and at what cost those measures would mitigate cuts in mandated programmes.
The Secretary-General should have fully elaborated how he would finance additional mandates -- expected to cost $92 million for 1996-1997, with $37 million for 1996 -- since he seems to be trying to accommodate them through increased vacancies, says the ACABQ. That would mean that approved programmes would have to be adjusted beyond what he has proposed in his second report. By failing to submit an Assembly-requested report on those costs by 1 September and by trying to absorb them through vacancies, the Secretary-General would appear to be precluding discussion by the Assembly on the matter, the ACABQ says.
In conclusion, the ACABQ states that since a first performance report on the budget would change the distribution of appropriations among budget sections reflected in the Secretary-General's report, it is not necessary for the Assembly to take action on revising appropriations at this time. Rather, it recommends that the Secretary-General update those estimates in the context of the first performance report and that the Assembly consider revised appropriations at that time, after it has taken action on the Secretary-General's budget cut proposals.
Annexed to the report are details on vacancy rates by department, staff redeployments, the 21 posts exempted from the recruitment freeze and the early separation programmes.
Human Resources Management
On human resources management, the Committee had before it a number of reports of the Secretary-General. On the reform of the Secretariat's internal justice system, the Committee will consider two reports and two notes from the Secretary-General, as well as the ACABQ report on the system. The Committee was also expected to take up reports by the Secretary-General on the following: two on the costs of staff representation activities; another on reasonable time for such activities; and one on costs and modalities of staff representational activities.
Also before the Committee were the Secretary-General's report on the implementation of the Secretary-General's strategy for the management of the Organization's human resources and other human resource management issues and another on the employment of retirees. It will also take up an ACABQ report on the employment of retirees. Also for the Committee's consideration are three Secretary-General reports on the following issues: the improvement of the status of women in the Secretariat; privileges and immunities of United
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Nations officials, issued on behalf of the Administrative Committee on Coordination (ACC); composition of the Secretariat; and amendments to the staff rules.
One of the Secretary-General's reports and its addenda on the reform of the internal justice system were prepared for the Assembly's forty-ninth session (document A/C.5/49/60 and Add.1 and Add.2/Corr.1 of March and June 1995). The recommendations and their financial implications, contained in the reports, were subsequently amended in the Secretary-General's consolidated report of September 1995 (document A/C.5/50/2). In a subsequent note (document A/C.5/50/2/Add.1) of November 1995, the Secretary-General takes account of the suggestions made by the United Nations Administrative Tribunal on the legal aspects of the reform and incorporates new provisions agreed on after consultation with the staff.
In his consolidated report of September 1995 (document A/C.5/50/2), the Secretary-General states that the proposed reform is an integral part of the vast effort now under way to rationalize the Organization's management and to make it more responsive to the needs of Member States, programme management and staff members. The proposed reform is intended to enhance earlier reconciliation and resolution of disputes before they develop into formal litigation; to professionalize the membership of appeals and disciplinary boards and to provide them with the means to dispose of cases in a more expeditious yet fair manner; and to provide a cost-effective and simple justice system, with the elimination of hidden costs.
In addition to the training of managers in communication skills and dispute resolution, the Secretary-General proposes to set up ombudsman panels at all major duty stations, under the direction of a coordinator, and to deal with disagreements, grievances and discrimination issues raised informally by staff members. Should the Assembly approve the panels, the coordinator would be appointed in early 1996 and would organize and train the members of all ombudsman panels. The coordinator would be appointed at the Principal Officer level (D-1) and an amount of $41,300 would be required in 1996-1997 for his travel costs for the setting up of the panels.
The Secretary-General also proposes the appointment of two administrative review officers at the Senior Officer (P-5) and First Officer (P-4) levels, operating independently within the Office of the Under- Secretary-General for Administration and Management. Those officers will review administrative decisions at an early stage of the appeals process and provide advice on decisions to be taken on recommendations received from advisory bodies in appeals and disciplinary cases. In that connection, Staff Rule 111.2 (a) would have to be amended to provide a two-month review period for cases in New York and a three-month review period for all other cases.
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To professionalize the justice system, the Secretary-General proposes the appointment of a legal officer to the panel of counsel which represents staff members, the report states. In addition, the Secretary-General recommends the replacement of the voluntary Joint Appeals Board by an arbitration board of independent professionals, to gradually introduce optional binding arbitration. The Assembly would have to approve the change and authorize revisions in staff regulation 111.2.
The arbitration board's 10-article draft statute, annexed to the report, allows for two secretariats: in New York and Geneva, each headed by a full- time chairperson and alternate chairperson, respectively. The board will comprise a total of 10 externally recruited arbitrators, no two of whom may be from the same Member State. It will be serviced on a part-time basis by two members and two alternate members, as needed. All appointments will be made by the Secretary-General after consultation with the staff. The Board is expected to hold 10 one-week sessions in New York and six one-week sessions in Geneva. The time allocation is proposed on the basis of an annual workload of more than 100 cases. In 1994, 124 cases were filed.
The Secretary-General also proposes a disciplinary board to replace the present Joint Disciplinary Committee. The 10-article draft statute for the disciplinary board, also annexed to the report, provides for that body to be set up in New York and in Geneva, under the chairmanship of the chairperson and alternate chairperson of the arbitration board. The other members of the board will be staff members. Draft changes are required to Staff Rules 110.4 to 110.7, to replace the relevant provisions on the structure and procedure of the disciplinary body.
Overall, the additional requirements of the Secretary-General's proposals for 1996 and 1997 amount to $1.5 million, $523,700 more than the proposed budget. Of the total revised estimates, $587,900 is for five new posts; $519,700 is for compensation for the chairman and the alternative chairman of the arbitration board and $106,000 for the other board members; and $325,900 for travel and subsistence.
The increase is attributable to the fact that some of the costs included in the proposed programme budget were inadvertently estimated for one year instead of two and that, initially, it was envisaged that the alternate chairperson would serve on a part-time basis rather than on a full-time basis. The increase would be sought from the contingency fund.
In his note (document A/C.5/50/2/Add.1) transmitting the comments of the United Nations Administrative Tribunal and the Staff Union, the Secretary- General says he regrets that the Secretariat Staff Union does not support the proposed reform of the internal justice system in its present form. He emphasizes that his report is fully consistent with all the agreements reached
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with the staff throughout the consultation process on the reform -- agreements he has endorsed -- such as the participation of the staff in the selection process for the arbitrators and the coordinator of the ombudsman panels. Over the past four years, he has received from the Joint Appeals Board advice of uneven quality, which was not readily acceptable and required in each case an in-depth review to determine whether each recommendation was supported by evidence and conformed to the relevant legal principles, rules and policies.
In its comments contained in an annex to the note, the Administrative Tribunal states that the Secretary-General's consolidated report has the effect of condemning severely the performance of the Appeals Board. It would appear that a number of the matters related to the operation of the Board might be solved through the adoption of appropriate rules concerning potential conflicts or bias, and through reform of the system of selection of Board members.
According to the Tribunal, the statistics cited in the Secretary- General's report create the impression that the Board has been performing very poorly, and this appears to be one of the principal reasons put forward for replacing it with an arbitration board. Without an in-depth analysis, it would be very difficult to arrive at a valid judgement concerning the quality of the Board's work.
On the financial aspects of the proposed reforms, the Administrative Tribunal states that it is doubtful whether the part-time members of the New York arbitration board would be able to deal with an estimated annual case- load of 90 in two five-week sessions. Time requirements indicate that the arbitration board is likely to be significantly more expensive than has been estimated by the Secretary-General.
In its comments, contained in another annex to the Secretary-General's note, the Staff Union states that the Secretary-General's report was not provided to the staff before publication, "even though the document is riddled with references to its support". The staff's research indicates that the majority of recommendations rejected by the Secretary-General are upheld by the Tribunal. The Union stressed that over the past two years, the Secretary- General accepted the recommendations of the Joint Appeals Board in 99.5 per cent of the cases when the Board supported the decision of the Administration. His confidence in the Board dropped dramatically in cases where the Board supported the appellant. It adds that the crisis in the justice system appears to be the inability of management to be accountable for incorrect or improper decisions.
The Staff Union points out that as long as the proposed arbitrators are recruited and paid by the United Nations Secretariat, every precaution should be taken to ensure that they are truly independent. For that reason, the
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selection process must be a joint one. A detailed selection process by a joint staff-management panel for the ombudsman coordinator, chairperson, alternate chairperson and members of the arbitration board, which was agreed to by staff and management, has been suppressed in the document. The Union also expresses concern about the proposal to add only one person to the office of the coordinator of the panel of counsel. The Staff Union is committed to reforms. Deletion of fundamental components of due process, such as adequate representation and agreement on the arbitrators, alters fundamentally the proposal. The Staff Union concludes that if the Secretary-General's consolidated report remains in its present form, it does not have the support of the staff.
In its related report, the ACABQ (document A/50/7/Add.8) recommends acceptance of the proposed two posts of administrative review officers. The Committee further recommends that the office be accorded operational independence to ensure objectivity and efficiency. Regarding the remuneration of the arbitration board, the Advisory Committee points out that the remuneration packages proposed by the Secretary-General are unlike any existing pay arrangements and the rationale is unclear. It is not clear about the projected staff requirements for the board in New York and Geneva, since no mention is made of secretariat and other services in the Secretary- General's financial summary.
There are still issues to be addressed with regard to the proposal for an arbitration board, the report states, adding that more work should be done before its creation is further considered by the Assembly. The Advisory Committee also recommends that the establishment of a disciplinary board should be reconsidered when the establishment of an arbitration board is considered. The Committee agrees that resources should be provided for the training of members of the panel of counsel. The financial implications of the ACABQ recommendations would amount to $629,200 in the proposal for 1996- 1997 -- $587,900 for new posts and $41,300 for the travel of the coordinator.
In Assembly resolution 50/290 of 2 August, the General Assembly had invited the Sixth Committee, as a matter of priority, to examine the legal implications of the Secretary-General's proposals.
The Secretary-General's report on revised costs of staff representation activities during the biennium 1990-1991 (document A/C.5/49/63) is a corrigendum of a 1992 report which was requested by the Assembly. It corrects the figures on the full-time release of the New York Staff Committee's President and two Vice-Presidents as well as those reported for Geneva and Santiago. The release time is based on the size of the staff represented. The President or Chairman of the Executive Committee of each staff council may be released, either full-time, if 1,000 or more staff is represented, or half- time, if less than 1,000 staff is represented. Another factor to be taken
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into account is the rapid growth in the number of staff serving in field missions in recent years, including staff assigned to three peace-keeping operations.
The total estimated costs for 1991-1992 for staff union activities for nine major duty stations was $1.7 million. The costs cover staff, general operating expenses, supplies and equipment, documentation and communications. The breakdown is as follows: New York -- $0.6 million; Geneva -- $0.6 million, Santiago -- $0.1 million; Vienna -- $0.1 million; Nairobi -- $0.04 million; Bangkok -- $0.07 million; Addis Ababa -- $0.06 million; Amman -- $0.01 million; and Jerusalem -- $0.01 million. Staff costs for New York for 1992 include the President (P-5), First Vice-President (P-3), another Vice- President, as well as two General Service support staff on full-time release. In Geneva, the staff costs cover the President (P-5) during 1990-1991 and two full-time General Service staff members. The estimates also take account of the service to the Coordinating Committee for International Staff Unions and Associations (CCISUA) by the Presidents of the Geneva and New York staff committees. The respective costs are $55,154 for 1990 and $40,455 for 1991.
In another report on costs of staff representation activities in 1992, 1993 and 1994 (document A/C.5/49/64), the Secretary-General states that funding for staff-management activities include both direct costs charged against the regular budget and indirect costs in terms of the release of staff from their assigned duties. Direct costs comprise travel and subsistence related to the attendance at Staff Management Coordination Committee (SMCC) meetings, full-time support staff and budgetary expenditures related to supplies and equipment and communications.
The total estimated staff costs for the period under review, as shown in the annexes to the report, are: $1.14 million (1992), $1.05 million (1993) and $1.02 million (1994). Estimated costs for the two largest duty stations in 1994 were on par at a cost of $0.35 million. Travel and subsistence for the annual Coordination Committee meetings were: $87,474 (1992), $56,767 (1993) and $67,857 (1994). The 1994 figure includes $7,194 for the first ever two inter-sessional meetings.
The report states that staff representational activities are not explicitly budgeted but are absorbed under the regular budget through the provision of staff time, support staff and facilities. The level of expenditures has been determined by various factors, such as whether support staff have been provided, the personal grade of the President and whether he/she has been released full or half time, and the personal grade of any other officers who may have been released. During the reporting period, the First and Second Vice-Presidents of the New York staff committee were also permitted full-time release in recognition of the vast increase in the volume and complexity of the issues handled by the Committee.
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Much of staff representation activities includes participation in the 19-member SMCC, which meets annually and the Joint Advisory Committee (JAC), the report states. Most duty stations have joint advisory bodies. The SMCC comprises nine staff and nine senior management representatives from major duty stations, up to four alternates and a President. The JAC established at Headquarters consists of the highest ranking officials of Administration and Management, Human Resources Management and of the Divisions of Staff Administration and Training, and Recruitment and Placement, and four of the highest ranking staff committee members. The costs for the JAC members represented are considered as indirect costs.
The Secretary-General has also prepared a report on reasonable time for staff representational activities (document A/C.5/50/64) in response to a Fifth Committee request for the definition of "reasonable time". In formulating the definitions, the SMCC sought to balance the increase in the complexity and number of issues dealt with in the context of staff-management consultations and the legitimate concerns of Member States and those of programme managers regarding the amount of time and the level of resources devoted to the process. Staff representatives consider the times to be the lowest possible release levels feasible, if staff are to be able to carry out their activities and participate fully in staff-management consultations.
In September 1995, the Secretary-General endorsed the SMCC recommendations. Reasonable time is applied in the following ways: Full-time release for the President or Chairman of the Executive Committee/Council representing around 1,000 staff, and 60 per cent release if the number of staff is less. In the latter case, additional time should be given to deal with non-recurrent issues. Outside of New York and Geneva, release is granted for the First Vice-President and, where applicable, for the Second Vice-President for three days per week (or 96 hours per month), if about 1,000 staff are represented, and 1.5 days per week (or 48 hours per month) if the number is less. The First and Second Vice-Presidents in New York and the Vice-Executive Secretary in Geneva are to be given full-time release. When the President or Chairman holds concurrently the position of President of the CCISUA, release of another officer should be given.
For other members of the Executive Committee, when the number of staff represented is in the range of 1,000, there should be 32 hours per month of release (except for New York, where 44 hours per month should apply) and 16 hours per month when the number of staff is less. For Staff Council members, an average of 10 hours per month of release, except for New York, where 15 hours per month should apply. In the case of field missions, an average of 5 hours per month should apply. It is understood that should additional time be required for special projects, the concurrence of the programme manager/supervisor should be sought.
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The report also states that the SMCC management has recommended the introduction of term limits for staff representatives so as to avoid a long- term, repeated drain of programme delivery resources. Staff representatives state that the proposal should not be considered, and that it infringed upon the sovereign rights of staff representative bodies. Also considered by the SMCC was the issue of the termination of the full-time release of a research officer for CCISUA, the Secretary-General's approval of that release under specific conditions and the suspension of that measure in view of Member States expressed concerns.
The Secretary-General's report on costs and modalities of staff representational activities: financial data pertaining to United Nations staff associations and unions (document A/C.5/51/6) is submitted in response to the Assembly's request for a written report on the direct and indirect costs of staff representational activities. Based on data presented by staff associations and unions in the annex to the report, the following information on income and expenditure of some of the bodies is noted: the Economic Commission for Africa (ECA) staff union received $27,308 in dues in 1995-1996; for the Economic and Social Commission for Asia and the Pacific (ESCAP), the annual level of contributions to the staff association has been about $12,000; the United Nations Office at Geneva staff Council's income from its 600 paying members amounted to $537,500, with expenditures in the amount of $573,500; for the New York staff Union, from approximately 3,000 dues-paying members, contributions for March 1994-March 1996 totalled $244,176, while the total income amounted to $379,081.
The report from the New York Staff Union states that the United Nations management was not required throughout 1995 to finance any travel or other activities of the Staff Union. The Staff Committee financed all of its own travel to participate in intergovernmental meetings except for its participation in the SMCC in Amman in June 1995. In addition, the Union sponsors a number of staff welfare activities, such as health insurance programmes for staff with household employees on G-4 visas, a scholarship fund for children whose parents lost their lives while on mission and a fund to promote awareness of HIV/AIDS.
The report on the implementation of the Secretary-General's strategy for the management of the Organization's human resources and other human resources management issues (document A/C.5/51/1) reflects the challenges confronted over the past 18 months. It also reflects the efforts to effect the human resources measures required in implementing the 1996-1997 programme budget, including areas where resultant delays have occurred in the delivery of strategy components. The report highlights where success has been achieved, where adjustments needed to be made, where action could perhaps not be taken, and the need for guidance and support from Member States. It also describes
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the evolving role of human resources management at the organizational, departmental and individual programme manager levels.
The report states that with the Organizations's cash flow and budgetary crises of the past 12 months, the Office of Human Resources Management has had to divert a good deal of its already limited and reduced human resources to responding to the Assembly's mandates, as stated in its resolutions on the budget in December 1995. That Office also had to mitigate the impact of significant resource reductions on programme delivery as well as on staff morale and productivity, including time required for staff-management communications and consultations.
To implement the 1996-1997 programme budget resolutions, the Secretary- General approved a three-phased programme, covering 1995 and 1996, designed to achieve staff reductions while preserving organizational viability and performance with minimum negative impact on the international civil service and the legitimate career expectations of staff. The first phase comprised normal attrition; the second and third offered early separation programmes coupled with a redeployment programme to place staff in positions for which they are qualified and minimize involuntary separations.
On the strategy to change the management culture and work environment, the report informs of developments regarding the recently introduced performance appraisal system and the introduction of a mandatory People Management Training Programme. Also included in the Secretary-General's management strategy is staff development and career support for junior professionals and other staff development programmes, including special training programmes for the administration of peace-keeping operations, information technology and the upgrading of substantive skills.
A staff college is viewed as an important component of the Secretary- General's overall approach to reform. Ensuring competitiveness in the conditions of service of the international civil service is also viewed as an integral part of the reform process. In that connection, the Secretary- General refers to the pursuit of the International Civil Service Commission (ICSC) in ensuring competitive conditions of service as an important objective.
On the issue of human resources planning, recruitment and administration, the report states that the system for filling vacancies will be streamlined in autumn 1996 so that the estimated time will be reduced. Efforts will be made to redress the gender imbalance and the unrepresentation and under-representation of Member States in the composition of staff. Vacancy announcements will be made available in electronic form, including on the Internet. A network of global recruitment sources and contacts is also being systematically developed.
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The report concludes that the goals of the Secretary-General's strategy for the management of the Organization's human resources strategy continues to be valid. However, the vision is clouded by the spectre of continued budgetary constraints and uncertainty. Investments in staff development and technological growth as well as career mobility and development opportunities are difficult to sustain in an era of downsizing.
The Secretary-General's report on the employment of retirees (document A/C.5/51/2) states that the Secretariat cannot afford to be deprived of access to that very efficient, experienced, cost-effective and dependable human resource base in both language and non-language functions. The Secretary- General proposes the establishment of a six-month ceiling per calender year for short-term retiree staff, with a modified earnings limit under Special Service Agreements. The formula pegs the earning limit to a reasonable three month time-frame for accomplishing work under a Special Service Agreement, without establishing an overall figure that places differing time-limits on work depending on the individual contracted to perform it. The Secretary- General admits, however, that it does not address Member States concerns about "double dipping" by retirees in receipt of United Nations pensions. In 1995, the Assembly decided to extend the maximum limit of $12,000 to all retirees who would receive any United Nations funds in any calender year.
The report states the use of retirees is the last recruitment option when the global secretariat needed to supplement established staffing resources on a short-term basis. The option is used to respond to specific mandates or requests from Member States, or to meet the demands of peak periods in areas subject to sharp and often unpredictable workload fluctuations. Retirees have made important cost-effective contributions in administration, human resources, management, budget, finance and procurement, and especially in peace-keeping operations. In the Department of Humanitarian Affairs, retired staff have served as a valuable alternative human resource for emergency response coordination. Their in-depth knowledge of generally complex political and technical matters enable them to "hit the ground running", the report states.
In the area of conference services (interpretation, translation/precis- writing, verbatim reporting and editorial control) during high workload periods, retired language professionals continue to form a crucial part of the freelance market as a select group of efficient and versatile linguists who are generally available at short notice, the report states. Their use as local freelance staff is cost effective, since the Organization avoids the payment of costly travel expenses and daily subsistence allowances. Based on 1995 workloads and recruitment patterns, the use of non-local freelancers would mean an increase of up to $1.4 million per biennium in the cost of servicing the General Assembly.
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The ACABQ's report on the employment of retirees (document A/51/475) states that the Organization's retirees should not be reappointed except under very exceptional and limited circumstances, as well as under strict monitoring and control by the Office of Human Resources Management. The ACABQ concludes that those retirees who are re-employed for conference servicing should continue to be exempt from the earnings limitation of $12,000 which had been set by the Assembly. It also proposes a limit of up to six months during any calendar year on the hiring of such personnel. In addition, it recommends that the Assembly set a new ceiling across the board of $22,000 per calendar year for the employment of retired staff receiving a United Nations pension benefit, with the exception of staff hired for conference servicing.
In the view of the Advisory Committee, "the over-recourse to retirees is symptomatic of poor management planning of the Organization's human resources" because it hinders the legitimate expectations of staff on board, as well as morale and career progression within the Organization. The Committee also noted a geographical imbalance among staff re-hired. Referring to the Secretary-General's statement that it was necessary to abandon all attempts to train suitably qualified outside recruits because of the Organization's financial constraints, the Committee noted that the long-term effects of such a policy can only be detrimental to staff development in the Organization.
In his report on the improvement of the status of women in the Secretariat (document A/51/304), the Secretary-General states that in spite of the increase in the number of women at all levels of representation within the Secretariat, "the guiding target of achieving equality in gender distribution overall by the year 2000 remains elusive". Particularly at the high levels, the representation of women is still very low. The Secretary-General and Member States must continue to work together to ensure that qualified women are identified and given the opportunity to serve in senior positions in the Secretariat. In 1990, the Assembly set a target for a 35 per cent overall participation rate of women in posts subject to geographical distribution and a 25 per cent participation rate of women in posts at the D-1 level and above by 1995.
As at 30 June, the target of 35 per cent overall representation for women in posts subject to geographical distribution has now been achieved, the report states. However, in view of the financial crisis, the goal of 50/50 gender distribution by the year 2000 is not realistic. The report suggests that the General Assembly may wish to set more realistic targets for women in posts subject to geographical distribution, such as 37 per cent by 1997 and 41 per cent by 1999. Faced with a target of 25 per cent for women in senior decision-making levels, the Secretariat has only achieved a level of 17.9 per cent. Member States are called on to identify the means and the resources for reaching the objectives for gender equality.
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Statistics on gender distribution show that one third -- 21 of 89 -- of the Professional staff separated under the 1995 and 1996 early separation programmes were women. The separation of male professionals provides new opportunities for the upward mobility of women. At the departmental level, of 31 departments and offices reviewed, 15 have achieved or surpassed the goal of 35 per cent women overall in posts subject to geographical distribution and nine have reached over 25 per cent women; four departments and offices have not yet reached 25 percent and three have reached 50 per cent or more women in Professional posts. In addition, three departments have reached or surpassed 50 per cent women in posts D-1 and above.
The percentage of women in posts subject to special language requirements was 36.3 per cent, as of 30 June. However, the staffing complement of certain language services, such as in the Asian and Pacific and Eastern European regions, still consist predominantly of male staff. Special measures for the achievement of equality have yielded a promotion rate of 41.3 per cent for women between June 1995 and June 1996 while recruitment has been drastically slowed by the financial crisis.
A number of mechanisms have been established by the Secretary-General in support of the achievement of gender equality. He has appointed a Special Adviser on Gender Issues to ensure that the gender perspective is effectively integrated into policies and programmes in all areas of work in the United Nations. The Special Adviser also chairs the Steering Committee on the Improvement of the Status of Women in the Secretariat. Other bodies providing a gender perspective include: steering committees in regional commissions; the Inter-Agency Committee on the Advancement of Women, set up by the ACC and chaired by the Secretary-General's Special Adviser on Gender Issues; and the Office of the Focal Point for Women in the Secretariat in the Office of Human Resources, which is assisted by a network of departmental focal points.
In a report submitted on behalf of the ACC in respect for the privileges and immunities of officials of the United Nations and the specialized agencies and related organizations (document A/C.5/51/3), the Secretary-General states that in fulfilling responsibilities assigned by Member States to the organizations of the United Nations system, staff members are increasingly called upon to take up duties that involve grave personal risks on a daily basis. During the reporting period -- 1 July 1995 to 30 June 1996 -- 10 civilian staff members of different United Nations organizations lost their lives in the performance of their duties. In addition, while performing their functions, staff members have been subjected to attack, injury, abuse or harassment.
Annex I to the report lists the names, agency and places of the incidents of staff members under arrest, detention or missing as at 30 June for whom the United Nations system has been unable to exercise fully their
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right to protection. Annex II lists the nationality and cause of death of 10 staff members who have lost their lives since 1 July 1995. In seven cases, the cause of death is attributable to gunshot wounds; in three cases, the cause of death is listed as an explosion. Annex III contains information on incidents which undermined the privileges and immunities of staff employed by a number of United Nations organizations, including numerous incidents involving staff of the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA), and the Food and Agriculture Organization (FAO)/World Food Programme (WFP) in crisis areas around the world.
The Secretary-General's report on composition of the Secretariat (document A/51/421), assess the distribution of the staff of the United Nations Secretariat by nationality, sex, grade and type of appointment, in the light of the principles contained in the United Nations Charter and the guidelines set forth by the General Assembly. The total number of staff of the United Nations as of 30 June was 33,157, of whom 14,166 were assigned to the Secretariat of the United Nations and 18,991 to the secretariats of United Nations subsidiary organs. As regards funding, 9,196 staff occupy posts financed from the regular budget and 25,749 posts financed from extrabudgetary sources.
According to the report, staff in posts subject to geographical distribution currently number 2,514, according to the report. (Geographical distribution is estimated on the basis of the Organization's membership, contribution and population.) Member States fall into the following four categories, resulting from the comparison of their ranges (which are used as a guideline for estimating the comparative representation of nationals of each Member State) with the number of their nationals in posts subject to geographical distribution: unrepresented; under-represented; within range; and over-represented. As of 30 June, there were 23 unrepresented Member States, as compared with 25 on 30 June 1995, and 22 under-represented Member States, as compared with 25 on 30 June 1995.
The Secretary-General's report on amendments to the staff rules (document A/C.5./51/7) provides changes to the 100 and 200 series of staff rules. (The 100 series is applicable to all staff except technical assistance personnel. The 200 series is applicable to staff specifically recruited for service with technical cooperation projects.)
Staff Rule 104.14 on the Appointment and Promotion Board has been amended to refer to "subsidiary panels" rather than working groups and to simplify the process under which cases are considered by the Appointment and Promotion Committees. Staff Rule 105.2 on special leave has been amended to allow for the biennium 1996-1997, the granting of special leave for pension purposes at no cost to the Organization, to protect the pension benefits of staff who are within two years of achieving age 55 years and 25 years of
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service, or who are 55 years of age and within two years of 25 years of service. Staff Rule 109.4 on termination indemnity has been amended to implement the new special leave for pension purposes. Staff Rule 11.2, on appeals, has been amended to introduce a simplified and expedited procedure to handle small claims. Amendments have also been made to Staff Rule 203.15, on pensionable remuneration, and Staff Rule 206.5, on compensation for death, injury or illness attributable to service.
Pattern of Conferences
On pattern of conferences, the Committee has before it the annual report of the Committee on Conferences and two reports of the Secretary-General: one, on the measures to enhance utilization of conference services and the other on the control and limitation of documentation. Also before the Committee is a letter from the Chairman of the Committee on Conferences on meeting requests from subsidiary bodies and another letter from the Permanent Representative of Cuba on providing translation services to regional groups.
The report of the Committee on Conferences (document A/51/32 and Add.1) recommends that the Assembly adopt a draft revised calendar of conferences and meetings for 1997 and adjust it based on decisions taken at the fifty-first session. It also recommends that the Assembly consider the budgetary impact of any meetings added to the calendar since available resources are only sufficient to service approved meetings. Additional meetings would require additional resources.
The report states that meeting statistics of United Nations organs during 1995 indicated that the overall and average utilization factor (76 per cent and 78 per cent respectively) remained below the 80 per cent benchmark figure. All bodies that fell into that category would be invited to report on measures taken to realistically assess their need for such resources. It cost the Organization $916 to produce one page of documentation in the six official languages. The cost of one meeting was $4,553 -- of which $4,194 represented interpretation costs. It was estimated that $875,000 would be lost in unutilized conference resources if every meeting held in New York during a calendar year was delayed 10 minutes.
Noting that 35 per cent of requests for interpretation services for meetings of regional and other major groupings of Member States had been denied, the Committee urged intergovernmental bodies to take account of such meetings in the planning stages and to dovetail those meetings with those of the sessional body. The Committee recommended that the Secretariat continue to develop the cost-accounting system for conference services on a priority basis. On the control and limitation of documentation, the Committee recommended that intergovernmental bodies be requested to consider the
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possible substitution of written meeting records with unedited verbatim transcripts as a cost-saving measure.
The report states further that the Committee recommended that the Assembly consider the Secretary-General's report on the United Nations publications policy together with a Joint Inspection Unit (JIU) report on a comprehensive survey on the role publications played in implementing intergovernmental mandates and the extent to which recurrent publications could be more cost-effective. On other matters, the Committee expressed general agreement with the subprogramme on conferences of the draft 1998-2001 medium-term plan and expressed concern at the adverse impact of mandated 1996- 1997 budget reductions and vacancy rates on the capacity of conference services to meet mandated activities -- both servicing meetings and processing documentation. On another matter, the Committee recommended that audio recording of informal consultations should not be made unless the body concerned decided otherwise.
The Secretary-General's report on measures to enhance utilization of conferences services (document A/51/253) contains the results of the active dialogue between conference services and the substantive secretariats of intergovernmental bodies in New York, Geneva and Vienna in 1996. During three consultations held in New York and those held in Geneva, emphasis was placed on the need for secretaries of bodies regularly to apprise their bodies of the Organization's critical financial situation and of the inevitable consequences it had for providing conference services. It was noted that extended afternoon or night meetings could not be accommodated. Late starts and early adjournment of meetings were cited as a principal cause of underutilization of conference-servicing resources, particularly in the Assembly's Main Committees.
The Secretary-General's report on the implementation of Assembly resolution 50/206 on the control and limitation of documentation (document A/51/268), states that, as at June, a total of 93 permanent missions in New York were connected to the Internet via the United Nations Development Programme (UNDP) dial-in service. It is expected that an additional 50 missions will be connected by the end of 1996 and that the remaining missions will be connected by the end of 1997. Training is also being provided for missions on the use of the Internet. Similar arrangements are being provided by the International Telecommunications Union (ITU) for missions in Geneva.
The Secretariat's Office of Conference and Support Services is in the process of linking the optical disk system (ODS) to the United Nations World Wide Web server, the report states. By the end of 1996, all documents in the system will be available to Member States on the Internet in all languages. It is planned that access to the ODS will be extended to government offices in capitals and subsequently to other users and the public at large. As at mid- July, 34 missions in New York, 31 missions in Geneva and governmental offices in two national capitals had established direct connections to the system.
The Secretary-General reports that the increased use of internal processing of documentation in all languages has produced savings estimated at over $1 million per biennium. Additional concomitant economies had also been made in internal staff costs by the progressive reduction of the number of text-processing staff. Streamlining of the document processing methods and
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more timely production has also been economical. Internal text processing and desktop publishing is also being used extensively by several Secretariat units, mainly by the DPI. Other cost savings were expected with the use of upgraded equipment and more efficient software within the next 12 months and from the increased use of unedited transcripts by intergovernmental bodies.
A letter dated 6 September from the Chairman of the Committee on Conferences addressed to the President of the General Assembly (document A/51/337) asks the Assembly to authorize the following bodies to meet during the Assembly's fifty-first session: the Committee on Relations with the Host Country; the Committee on the Exercise of the Inalienable Rights of the Palestinian People; the Working Group on the Financing of the United Nations Relief and Works Agency for Palestinian Refugees in the Near East; the Executive Board of the United Nations Children's Fund (UNICEF); the Special Committee on Peace-Keeping Operations; and the Committee on Conferences.
In a letter dated 19 April (document A/51/125), Cuba's Permanent Representative, in his capacity as Chairman of the Group of Latin American and Caribbean States, protests the non-granting of translation services by the Secretariat for the Group's meeting on 18 April at Headquarters.
Statements on Scale of Assessments
[Note: The current scale methodology tries to approximate Member States' capacity to pay by using about six criteria: national income data for a base period; debt relief which reduces annual national income of eligible, highly indebted countries; low per-capita income allowance that further reduces national income already adjusted for debt; the floor (0.01 per cent) and ceiling (25 per cent) rates; and the scheme of limits, which is designed to avoid excessive changes in a Member State's rate of assessment between successive scales.]
SEDAT YAMAK (Turkey) said that the General Assembly had decided in December 1993 to grant some relief to the developing countries that would be hurt by the phasing out of the scheme of limits during the years 1995-1997 and 1998-2000. It had decided in paragraph 2 of resolution 48/223B that as the scheme on limits was phased out, the effect on developing countries that had been benefitting from its application shall be limited to 15 per cent of the
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change in assessment resulting from the phase out. However, in implementing that resolution, the Committee on Contributions had excluded Turkey from the group of developing countries, stating that it had not been among the countries that had gained from the scheme of limits for the period of 1992- 1994, even though there had been no specific reference to that scale period in the Assembly resolution. He argued that Turkey had been subject to the scheme of limits for the period 1995-1997.
He said that the Committee on Contributions had concluded that the Assembly had established three criteria to determine which countries could gain from the 15 per cent limitation on the effect of the phasing out of the scheme of limits for the period 1995-1997. Those three criteria were: that the State should be a developing country; that its assessment rate in 1995- 1997 would be raised as a result of the phasing out of the scheme of limits; and that the State had been benefitting from the scheme under the scale for the period 1992-1994. However, the second criterion had clearly accepted the relevance of the 1995-1997 scale period for eligibility, and the reference by the Committee on Contributions to the 1992-1994 period contradicted Assembly resolution 48/223B.
He said his country could not accept that decision by the Committee. It had caused an unjustified 40 per cent increase in Turkey's assessment compared to the previous scale. Further, he would not accept any resolution that did not correct the action by the Committee on Contributions on the implementation of paragraph 2 of resolution 48/223B.
Regarding adjustments to the scale methodology, he expressed support for the use of the gross national product (GNP), the market exchange rates and population data, as recommended by the working group on the implementation of the principle of capacity to pay. The statistical base period should be set at six years, and adjustments for external debt and low per capita income should be maintained. The floor rate should be lowered to 0.001 per cent, an action that would have the same effect as abolishing it.
GHASSAN OBEID (Syria) said he agreed with the statement made by the representative of Costa Rica for the "Group of 77" developing countries and China. He believed in two criteria for determining the scale of assessments, one of which was the capacity to pay. A working group had agreed to consider capacity to pay and the special circumstances of the developing and least developed countries as some of the most important criteria for establishing assessments. Any review of the scale of assessments should not deviate from the principle of capacity to pay.
He said that his country had paid its dues in full, even though its assessment had been increased. He expressed hope that his country's dues would not be increased again. Any review of the scale methodology must take
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into account the economic circumstances of the developing and the least developed countries.
The current financial crisis was due to the failure of some major contributors to pay their dues, he continued. Increases in assessments should not be seen as the solution to the United Nations financial crisis, which would continue as long as major contributors failed to pay their dues and arrears on time. Adjustments to the scale had not solved the financial crisis in the past and would not do so as long as major contributors continued to withhold their dues. The statistical base period should reflect the capacity to pay and the economic fluctuations that Member States faced. As for the peace-keeping budgets, permanent Security Council members should shoulder larger responsibilities.
AKAMARAL KH. ARYSTANBEKOVA (Kazakstan) said that the fundamental cause of the United Nations financial crisis was the failure of the scale of assessments to apportion the Organization's expenses fairly among Member States. Since the rates of assessments of her country and the so-called "Group of 22 Member States" were for some reason higher than their real capacity to pay, the methodology should be adjusted to more precisely reflect their wealth. Such an adjustment should be carried out on a strictly scientific basis by the Committee on Contributions.
The current methodology, which in recent years had incorporated artificial principles and elements, should be simplified, she said. It should also take into account the real economic situation of Member States. The GNP should be used as the first approximation of capacity to pay and for establishing the scale of assessments. The scheme of limits should be eliminated in the next scale period. The statistical base period should be shortened to three years and market exchange rates should be used to approximate current capacity to pay. The problem of ensuring quality data, especially from new Member States, should continue to be addressed.
JEAN-MARC MPAY (Cameroon) said it was important for the United Nations to have a healthy financial base. Despite its unenviable economy, Cameroon had done its utmost to fulfil its financial obligations to the Organization. The adoption of the last scale of assessments during the Assembly's forty- eighth session could be regarded as a milestone in the search for equity in apportioning the Organization's expenses. The next resolution, on the new scale for 1998-2000, should satisfy expectations that were not fully met in the previous scale and the expectations of some countries that had benefitted from the application of the scheme of limits.
The exercise to arrive at a scale that was just and that reflected the capacity to pay would be simple if all Member States would agree on the elements that constituted capacity to pay, he continued. Cameroon had always
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maintained that the capacity of a country to pay could not be determined without taking into account that country's ability to pay, as one might have to do in the case of a country with abundant but untapped natural resources, or a country that was burdened with debt. Further, the naked statistics of a country's national income could not by itself accurately portray its capacity to pay. Thus, adjustments needed to be made to ensure fairness and equity in the scales.
He agreed that the scale's statistical base period should be a multiple of three years, since the economies of Member States were rapidly changing, reflecting either growth or deterioration. Equity demanded that those economies that were growing should be assessed more, while those that were declining should pay less. He, therefore, proposed a base period of six years. Despite the shortcomings of market exchange rates, they should continue to be used for determining the scale, except in cases where it caused excessive fluctuations or distortions in the income of Member States.
He also agreed that the current floor rate should be adjusted to reflect a minimum rate of 0.001 per cent. Member States must be aware that having a new scale also implied a collective responsibility to ensure that the Organization was provided with adequate resources to deal with today's challenges. He stressed the delicate nature of the issues at stake. "Let no Member State be under any illusion that it is so powerful as to be able to dispense with this Organization", he said.
VICTOR MORARU (Republic of Moldova) said that the item on the scale of assessments was the most difficult one to be discussed in the Fifth Committee. It influenced the development of new methodology for apportioning the Organization's expenses, but also rectified the Organization's financial situation. The unfair apportionment of expenses was one of the causes for the unsound financial situation of the United Nations. Although many Member States made tremendous efforts to honour their financial obligations, they were unable to do so in full and on time. His country had paid its assessed contributions to the regular budget for 1995 and half its assessment for 1996. Yet, it continued to have considerable arrears to the United Nations budgets.
He, therefore, agreed that real capacity to pay should remain a basic criterion for determining the scale of assessments. The new methodology should be based on reliable, verifiable and comparable data and should be simpler, more transparent and equitable, he said. The European Union's proposals made in the high-level working group on the financial situation met all those criteria.
He also supported the recommendation that the floor be reduced to an assessment rate of 0.001 per cent. Future scales should be based on the use of GNP as the most effective way of determining capacity to pay, and a shorter
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base period would better reflect real capacity to pay. The proposed three- year base period was the best for the new scale. The scheme of limits should be completely eliminated in 1998. Those recommendations should represent important components of the future methodology of the scale of assessments.
HASSAN KASSEM NAJEM (Lebanon) endorsed the view of the Group of 77 and China on the scale of assessments. The solution to the financial crisis must not necessarily lead to a change in the scale methodology and in subjecting developing countries to additional burdens. A solution would lie in reallocating assessments more responsibly. No revision should deviate from the principle that the most economically developed countries should assume greater financial obligations than their developing counterparts. The second principle should be based on capacity to pay, as approved by the open-ended working group on the United Nations financial situation. The principle of capacity to pay represented a long-term hope for resolving the Organization's financial crisis. It was only along those lines that the financial crisis of the United Nations could be resolved, provided that it did not lead to extra burdens for developing countries.
NARCISSE MALAN (Côte d'Ivoire) expressed support for the views of the Group of 77 and China as expressed by the representative of Costa Rica. The key concept of capacity to pay should remain the fundamental criterion for apportioning the Organization's expenses. Any other system that ignored that criterion would be harmful and unjust. The indicators of national income remained the element most often used in classification, despite its shortcomings. He agreed that the present statistical base period should be shortened to six years to ensure stability of scales and believed adjustments for debt deserved particular attention. Since debt servicing threatened purchasing power and slowed development, the scale methodology should provide adjustments for debt burdens.
A clear demarcation should be made between the United Nations financial crisis and the scale of assessments, he said. The financial crisis was due to the failure of major contributors to pay their dues. In reforming the scale, financial burdens should not be diverted to the developing countries, particularly African nations.
SALVADOR NAMBURETE (Mozambique) said he supported the principle of the capacity to pay as the fundamental criterion for apportioning the Organization's expenses. A speedier implementation of that principle would help to redress the unfair burden imposed on developing countries and the least developed countries in particular. Welcoming the work of the Committee on Contributions, he said there was need for a strong political will to overcome entrenched positions and generate positive recommendations on the scale methodology.
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Despite all the adversities experienced by his country, Mozambique had paid its assessments to the United Nations and other multilateral organizations in full and on time. However, his country was currently paying the floor rate, which was still beyond its real capacity to pay. The most important aspect of the scale was the political will to pay, not capacity to pay. Full and timely payment of Member States' financial obligations was important in strengthening the United Nations system, including the revitalization of the Economic and Social Council and specialized agencies.
The current floor rate imposed an unjustifiable assessment surcharge on a majority of countries and should be carried to three decimal places to make it more precise, he said. The scale for developing countries should be based on actual share of adjusted national income. The use of market exchange rates was more advantageous than alternative techniques for determining the scale. The debt burden adjustment should be retained as a vital element for calculating the scale of assessments and should become even more indispensable. The current use of low per-capita income adjustment should also be retained. The ceiling rate, however, imposed an undue burden on weaker countries. Since the Organization's dependence on a few large contributors could not be altered without affecting low-income countries, the ceiling should be kept at the current level of 25 per cent.
Statements on 1996-1997 Programme Budget
YUKIO TAKASU, United Nations Controller, introduced the Secretary- General's August report on cutting $154 million from the budget and said the report should be read together with an earlier one issued in March. As for the proposals for absorbing such new mandates as those for MINUGUA and the MICIVIH in the budget, they would be submitted in the context of the first performance report on the budget.
DENIS HALLIDAY, Assistant Secretary-General for Human Resources Management, provided updates on the redeployment of staff. As of mid- September, he said, 58 staff members had been identified for redeployment, with 21 placed and 37 yet to be placed in posts. But as of mid-October, placements had been found for 20 of the 37 staff who had not been placed a month earlier. Of the 17 outstanding members, eight had been placed against extra-budgetary resources.
He said that of the 58 staff initially slated for redeployment, 29 were from developed countries, with the rest from developing nations. Of the 37 initially not placed in posts, 17 were from developed States, with 20 from developing countries. Of the 20 who had been placed as of mid-October, seven were from developed nations and 13 from developing countries. Of the 17 not yet placed in posts, 10 were from developed nations, with seven from developing countries.
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C.S.M. MSELLE, Chairman of the ACABQ, introduced his Committee's report, reiterating the conclusion that it was not necessary for the Assembly to revise any appropriations presently. Rather, the Secretary-General should update the estimates in his report, in the context of the first performance report on the 1996-1997 budget, after which the Assembly could consider and approve revised appropriations.
Statements on Human Resources
Mr. HALLIDAY, Assistant Secretary-General for Human Resources Management, introduced all the reports on human resources management issues.
He noted that the Committee had been supportive of the Secretary- General's 1994 human resources management strategy that had been endorsed by the Assembly's forty-ninth session. His experience in the last few years had been that change was slow and unsettling, but there was evidence that many staff members were seeing the changes as positive and challenging. During 1996, the Office of Human Resources Management (OHRM) had diverted its resources to implementing the mandate of the 1996-1997 budget resolutions. In so doing, the Office had acted with integrity. He outlined the attempts to change the Organization's management culture, to ensure geographical representation goals, the recruitment process and the improvement in the status of women.
Regarding the hiring of retirees, he said the practice was a cost- effective measure to meet seasonal needs and short-term unanticipated needs when neither internal capacity nor time to train staff existed. It was more an issue of human resource availability and cost-effectiveness.
Regarding staff-management issues, he said staff-management relations had been strained over the past 18 months. It was no coincidence that the claims made by staff bodies were unfounded and came at a time when the Organization was confronting budgetary cuts. The staff bodies had not accepted the decisions or actions taken in that context and had not always accepted the reality that fiscal and other constraints had prevented management from demonstrating the same kind of flexibility as in the past. All efforts had been expended to keep the staff informed and to consult with them in good faith. However, the Secretary-General had the responsibility, as chief administrative officer, to act in the Organization's best interest -- a responsibility that could not be shared. The Fifth Committee should review the issue of the staff-management consultations and offer its views on the significant direct and indirect costs involved.
Mr. MSELLE, Chairman of the ACABQ, introduced his Committee's report on the employment of retirees. He said that the employment of retirees was a symptom of poor management. The ACABQ had recommended that all retired persons should be hired for a limited period of up to six months with a
Fifth Committee - 28 - Press Release GA/AB/3093 7th Meeting (AM) 15 October 1996
remuneration limit of $22,000 in any calendar year. Exceptions could be made for the length of the period language staff could be hired.
On the report on the Secretary-General's strategy for the management of human resources, he said the ACABQ would not submit a separate report on the matter. Referring to two items in the report -- the performance appraisal system and the reform of the internal justice system, he said the ACABQ's comments on those matters were contained in the relevant ACABQ reports and were still valid.
EL HASSANE ZAHID (Morocco), Chairman of the Committee on Conferences, introduced his Committee's report.
BENON SEVAN, Assistant Secretary-General for Conference and Support Services, introduced the report on the respect for the privileges and immunities of officials of the United Nations and the specialized agencies and related organizations. He expressed regret over the deaths of 10 staff members during the past year. He stressed that funds for staff security had only been given as a last resort. The Fifth Committee should look at the situation very seriously to ensure staff safety and security.
Turning to some of the issues faced by the Office of Conference and Support Services, he said the staff in the Office had become dispirited by the constant attack on staff output. "They were not wasteful as everybody was trying to make them appear", he said. The Office continued to decrease its staff and resources in the face of increases in its workload and "at some point something was going to give". Since 1988 there had been a 30 per cent increase in the number of meetings requiring full services at Headquarters, a 25 per cent increase in pages translated and a 14 per cent increase in pages printed. Yet, during that same period the Office had experienced a reduction of about 20 per cent in staff resources. They had responded to the challenge, but the efficiency gains and increased productivity alone could not close the gap between capacity and demand.
For example, he said, each meeting needed a team of 14 interpreters, a conference officer and a documents officer. Reviewing the measures taken to reduce costs, he said service to regional groups had been adversely affected. He called for a stabilizing of the Office's workloads. The Fifth Committee alone would consider 197 documents during this session and it was not even a budget year. In general, the volume of documents had increased despite cutting down drastically the number of printed pages. Many of the documents called for by intergovernmental bodies were long ago no longer relevant. He appealed for a moderation in documentation requests.
Praising the United Nations Conference Services staff as the best in the world, he said they could no longer give the quality service that Member States deserved. Referring to a well-known fable, he likened the Secretariat to a donkey whose food rations had been reduced daily while his load was continually increased. The donkey continued to perform under those circumstances. However, when the donkey was found dead one morning, the owner said "just as I reached the optimum -- cost effectiveness -- you dropped dead on me". Member States should be aware of the moral of the story.
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