SECRETARY-GENERAL ANNOUNCES FIRST STEPS IN UN REFORM PLAN IN ADDRESS TO ADMINISTRATIVE AND BUDGETARY COMMITTEE

17 March 1997

Press Release
GA/AB/3137

SECRETARY-GENERAL ANNOUNCES FIRST STEPS IN UN REFORM PLAN IN ADDRESS TO ADMINISTRATIVE AND BUDGETARY COMMITTEE

19970317 Will Propose Abolishing 1,000 Posts in 1998-1999 Budget; Committee Acts on Texts concerning Liberia, Integrated Management System

Secretary-General Kofi Annan, addressing the Fifth Committee (Administrative and Budgetary) this morning, announced the first steps in a reform programme he said was designed to transform the United Nations into a "more effective, modernized and relevant instrument at the service of the international community".

Among the steps outlined in his wide-ranging statement, the Secretary- General said he would:

-- Propose abolishing approximately 1,000 posts in his budget for 1998-1999, which would contribute to a total decline of some 25 per cent in staffing from peak levels;

-- Merge the Department of Policy Coordination and Sustainable Development, the Department of Economic and Social Information and Policy Analysis and the Department for Development Support and Management Services into a single department;

-- Establish a new Department of General Assembly Affairs and Conference Services, integrating major technical support services for the Assembly, the Economic and Social Council and their subsidiary bodies, and transform the Department of Public Information into an Office of Communications and Media Services; and

-- Direct that a plan be prepared to cut by one third the proportion of regular budget resources used for administration and other non-programme costs, by the year 2001, and make the savings available for development activities.

"Resources will be reallocated; departments integrated; administrative costs reduced; functions streamlined; new methods of work introduced; and maximum performance demanded of all staff", the Secretary-General said.

Fifth Committee - 1a - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

Also this morning, the Committee approved, without a vote, texts on the United Nations Observer Mission in Liberia (UNOMIL) and the Integrated Management Information System (IMIS), which were introduced by the Committee's Rapporteur.

By the draft resolution on UNOMIL, the Assembly would appropriate an additional $17.9 million gross ($17.5 million net) for the Mission's operation for the period from 1 July 1996 to 30 June 1997. For the period from 1 April to 30 June 1997, the Assembly would decide to apportion among Member States the amount of $4.7 million gross ($4.5 million net), should the Security Council decide to extend the Mission's mandate beyond 31 March 1997.

Speaking after the approval of the draft text, the representative of Germany said the amounts assessed for UNOMIL would not be fully covered, because one Member State had cut its assessments unilaterally. He said his country would not stand for the non-payment of assessments by other Member States or for an effective change in its share of assessments for peace- keeping operations.

By a draft decision on IMIS, the Assembly would urge the harmonization of management systems within the United Nations system as long as it would be cost-effective. The Assembly would also ask the Secretary-General to present IMIS' resource and staff needs in the context of his proposed 1998-1999 budget. The representative of Italy spoke in explanation of position.

A third draft text, on the scale of assessments for apportioning the United Nations expenses among Member States, was introduced by the representative of the United Republic of Tanzania on behalf of the "Group of 77" developing countries" and China. The Committee decided that it would be considered along with other proposals in informal consultations on scale of assessments.

The representatives of the Netherlands (on behalf of the European Union), Mexico, Canada, and Japan spoke on the draft text on the scale of assessments.

The Committee also took up the issue of gratis personnel -- personnel loaned to the United Nations from Member States or other entities -- this morning. Statements were made by the representatives of Japan, Philippines, Sierra Leone, Chile, Republic of Korea, Turkey and Uruguay. The President of the United Nations Staff Committee and the Coordinating Committee of International Staff Unions and Associations (CCISUA) also spoke on the matter.

The Committee will meet again at 3 p.m. today to consider the activities of the Office of Internal Oversight Services and discuss review of efficiency of the Organization's administrative and financial functioning.

Committee Work Programme

The Fifth Committee (Administrative and Budgetary) met this morning to hear an address by Secretary-General Kofi Annan on his plans for reform of the United Nations and other matters.

The Committee is also expected to take action on three draft texts and continue discussing the report of the Secretary-General and that of the Advisory Committee on Administrative and Budgetary Questions (ACABQ) on gratis personnel loaned to the United Nations by Governments and other entities. The President of the Staff Union is expected to address the Committee on the issue of gratis personnel. (For background on the question of gratis personnel, see Press Release GA/AB/3135 of 11 March.)

Drafts Texts for Action

The draft texts before the Committee concern: the Integrated Management Information System (IMIS); the financing of the United Nations Observer Mission in Liberia (UNOMIL); and the United Nations scale of assessments used to share out the Organization's expenses.

The draft decision on IMIS (document A/C.5/51/L.44) would have the General Assembly urge the harmonization of management systems within the United Nations system as long as it would be cost-effective. [During a formal Committee debate on the issue, a Member State drew attention to the fact that the United Nations Children's Fund (UNICEF) was thinking of incorporating a different management system.] The Assembly would also ask the Secretary- General to present IMIS' resource and staff needs, in the context of his proposed 1998-1999 budget.

By the terms of the draft, the Secretary-General would ensure that the information on IMIS sought by the ACABQ should be included in the next progress report on the System, which will be submitted to the Assembly's fifty-second session. [In its report, the ACABQ had asked for detailed information on budget performance, personnel and a forecast of future requirements related to IMIS. It also sought information on the number and composition of staff working on the project, the vacancy situation in the IMIS team and its impact on the project, their contractual status and the redeployment of staff to the project.]

The draft would also have the Assembly endorse the recommendations of the ACABQ, with the exception of those in paragraph 12 of its report.

By a draft resolution on UNOMIL (document A/51/C.5/L.45), the Assembly would appropriate to UNOMIL's Special Account the amount of $12.2 million gross ($11.8 million net), already authorized and apportioned by resolution 50/210 of December 1995 for the maintenance of the Observer Mission for the period from 1 February to 31 March 1996 and extend the period covered by the appropriation from 31 March to 30 June 1996.

Fifth Committee - 3 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

The Assembly would also appropriate to UNOMIL's Special Account an additional amount of $17.9 million gross ($17.5 million net) for the Observer Mission's operation for the period from 1 July 1996 to 30 June 1997.

The Assembly would also decide to apportion among Member States the additional amount of $13.2 million gross ($13 million net) for the Mission's operation for the period from 1 December 1996 to 31 March 1997.

For the period from 1 April to 30 June 1997, the Assembly would also decide to apportion among Member States the amount of $4.7 million gross ($4.5 million net) at the monthly rate of $1.6 million gross ($1.5 million net) for Mission maintenance. That amount would be apportioned in addition to $1.2 million gross ($1.1 million net) per month already authorized by Assembly resolution 51/3, should the Security Council decide to extend the Mission's mandate beyond 31 March 1997.

The draft text would also have the Assembly apportion among Member States the amount of $5.8 million gross ($5.5 million net) for the Mission's maintenance for the period from 1 July to 30 November 1996 in accordance with the composition of the four groups on which peace-keeping assessments are based.

By other terms of the text, the Assembly would decide further that, for Member States that have fulfilled their financial obligations to the Observer Mission, there shall be set off against the apportionment their respective share in the unencumbered balance of $13.5 million gross ($13.4 million net) for the period from 1 July 1995 to 30 June 1996. It would also decide that, for Member States that have not fulfilled their financial obligations to the Observer Mission, their share of the unencumbered balance shall be set off against their outstanding obligations.

The Assembly would also express concern about the financial situation with regard to peace-keeping activities, particularly regarding the reimbursement of troop contributors, which bear burdens owing to overdue payments by Member States of their assessments. Member States would be urged to make every possible effort to pay their assessed contributions to the Observer Mission in full and on time.

A draft resolution on the scale of assessments (document A/C.5/51/L.43) is submitted by the representative of United Republic of Tanzania, on behalf of the "Group of 77" developing countries and China. By the text, the Assembly would request the Committee on Contributions to recommend to the Assembly's fifty-first session a scale of assessments for the period 1998-2000 on the basis of the following elements and criteria: use of gross national product (GNP) instead of net national income; a statistical base period of six years; the debt adjustment approach and low per capita income allowance formula used in the preparation of the scale of assessments for the period

Fifth Committee - 4 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

1995-1997; and a floor rate of 0.001 per cent and a ceiling of 25 per cent.

Other elements and criteria that the Committee on Contributions should consider are: carrying the scale of assessments to three decimal places; and using market exchange rates for the purpose of the scale, except where this causes excessive fluctuations or distortions in the income of some Member States. Also by the draft text, the Assembly would decide that individual rates of assessment for the least developed countries shall not exceed their current level, namely, 0.01 per cent. It would also decide that the scheme of limits should be phased out in accordance with resolution 48/223 B, paragraph 1 (f), and that the allocation of additional points, resulting from the scheme, to developing countries benefiting from its application shall be limited to 15 per cent of the effect of the phase-out.

Statements

HIDEKI GODA (Japan) said the use of gratis personnel had expanded in recent years to the point that in-depth consideration should be given to how it might affect the international character of the Organization. Member States should reaffirm that activities should be carried out by international staff selected by the Member States from an international pool of applicants on the basis of criteria determined by the United Nations Charter, to secure the highest standards of efficiency, competence and integrity. He expressed concern that a substantial number of people who were not United Nations staff members governed by staff regulations and rules, but were nominated by their governments, were working in the departments of United Nations Headquarters, sometimes with decision-making functions.

The use of gratis personnel should be restricted to exceptional situations in which the required specialized expertise was not available in the Secretariat, he continued. They should be used for a limited time only. He found merit in the view of the ACABQ that all positions must be fully reflected in the relevant budgets and provisions made for them, but since such personnel should be used only in urgent circumstances, it would be hard to reflect their positions in the budget. When posts were filled by gratis personnel, it was not fair, as a rule, for the entire membership of the United Nations to share the indirect costs of accepting those personnel. Gratis personnel should not be substitutes for regular staff.

MARY JO ARAGON (Philippines) said she agreed with the ACABQ that gratis personnel should not be sought for positions kept open solely for financial reasons, nor accepted in excess of the Organization's needs. The relevant budgets of the Organization must be prepared on a full-cost basis, with all human resource needs disclosed and funded in the manner agreed to by the Assembly. The large concentration of gratis personnel in a single department of the United Nations had affected the international character of the

Fifth Committee - 5 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

Organization and the geographical representation of staff members in favour of a few developed countries. That situation should be addressed and the imbalance corrected.

Continuing, she said gratis personnel should not occupy senior positions, especially policy-making posts, since they were not staff members accountable to the Secretary-General. Also, there should be a system of performance evaluation for gratis personnel, but they should not be employed in sensitive areas. Their employment in areas such as procurement could lead to conflicts of interest. Some Member States in arrears were willing to provide gratis personnel, while their legal obligations to pay up their dues on time and without conditions were not fulfilled.

JAMES JONAH (Sierra Leone) welcomed the report of the Secretary-General on gratis personnel, calling it an honest document that did not attempt to conceal anything from the Assembly. That report, and the accompanying views of the ACABQ, had thrown light on the issue of gratis personnel. He fully subscribed to the views expressed by the representative of the United Republic of Tanzania, on behalf of the Group of 77 and China.

He had also heard views in defence of gratis personnel, he continued. Those defences missed an important issue, though. No one was criticizing the donors of gratis personnel or questioning their motives. However, when the growth in the use of gratis personnel was taken together with other developments in the Secretariat, the combination could have far-reaching implications for the Organization. Making gratis personnel subject to the United Nations staff rules and regulations was not the solution, since there were such things as peer reviews before someone was recruited. Personnel should go through that process before they were called international staff.

Why were such personnel put in positions to supervise staff members who had gone through peer reviews? he asked. Ways should be found to inform Member States whenever gratis personnel were sent to them. Gratis personnel should not travel with the United Nations Laisser Passer, either. By giving them the Laisser Passer, they would be granted the status of international personnel with the ability to travel through countries freely.

Turning to the question of staff cuts -- which he described as the mantra of those who wanted to reform the Organization -- he said that the United Nations had been cutting staff since 1985. It was strange for those calling for staff cuts to be pressing for an increase in the use of gratis personnel. That was a cause for suspicion. "If you believe that there was a bloated Secretariat, how then could you propose more gratis personnel?", he asked.

He cited a recent editorial in The New York Times as having stated that one of the tasks of the new Secretary-General was to abolish permanent

Fifth Committee - 6 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

contracts. It seemed that action was being taken to accomplish that goal step by step, he said. In a few years, there might only be gratis personnel in the Secretariat. Such a situation would be dangerous, especially for smaller countries that could not afford to provide gratis personnel. The issue should be tackled directly with no attempts made to finesse it. The continued use of the gratis personnel could threaten the international character of the United Nations. FERNANDO VARELA (Chile) said the proliferation of gratis personnel in the Organization was another manifestation of the United Nations' financial crisis. The use of Type II gratis personnel -- recently employed in peace- keeping and a range of other activities -- had an impact on the Organization's international character. While that type of staff had been indispensable, it still needed regulation. The United Nations should not be deprived of such staff, but they should be used on a temporary and exceptional basis. The Secretary-General's guidelines and the ACABQ's recommendations would provide the basis for a fair and transparent policy for the acceptance of such staff.

It was important that any expansion of activities must be given the proper finances, he continued. The Assembly's mandates must be clearly determined and financed by Member States. Agreeing to a number of the ACABQ's recommendations, he said gratis personnel should not be sought in areas related to financial needs. There should be a smooth and harmonious transition to the acceptance of gratis personnel on the basis of such recommendations.

BONG HYUN KIM (Republic of Korea) said the present method for dealing with gratis personnel contained several shortfalls, two of which were of particular importance: geographical imbalance; and lack of transparency. Developed countries currently accounted for 80 per cent of gratis personnel. Furthermore, they were recruited on an ad hoc basis. The limited use of agreements between the United Nations and donor countries impeded the transparency of their recruitment and undermined their accountability to the Secretary-General. However, such personnel should be recruited to enhance the Organization's efficiency.

He urged the Secretary-General to conduct an in-depth study into procedures governing gratis personnel in order to address its demerits and maximize their utility. The Secretary-General should consult Member States in formulating appropriate guidelines for such personnel, based on the guidelines already proposed in his report on the matter. The following points should be incorporated into those guidelines: a strict review of candidates' qualifications and experience; specific job descriptions for newly acquired personnel; and the application to gratis personnel of the Secretariat's performance evaluation system. Comprehensive and detailed guidelines would contribute to dispelling concerns about the use of such personnel and enhance the benefits.

ERKAL BEKTAS (Turkey) said he would limit his discussion to the

Fifth Committee - 7 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

provision of gratis military personnel to the Department of Peace-keeping Operations. The concerns about the integrity, impartiality and allegiance of such personnel to the Organization's ideals and their accountability to the Secretary-General were unfounded. Those concerns cast a shadow on the impartiality and integrity of more than 1 million military personnel who had so far served in peace-keeping operations. The four gratis personnel provided by Turkey had worked under the command of supervisors within the established United Nations hierarchy and were accountable to their supervisors for their work.

Gratis personnel complied with United Nations' rules, code of conduct and military discipline, he said. According to the present practices, the gratis military personnel were accountable to the Secretary-General through the established workplace hierarchy. Member States should not attempt to restrict the Secretary-General's acceptance of gratis services. His annual report on their use should be sufficient for transparency.

He agreed to a number of the guidelines proposed by the Secretary- General, including: that agreements should be signed between the United Nations and the donor government or other entities prior to the acceptance of gratis services; and the establishment of a pre-established limit for the length of gratis services. He added that the 13 per cent programme support costs charged to the donors were unrealistic, since such costs would be incurred by the Organization whether or not the relevant programmes were carried out by gratis personnel. That clause should, therefore, be removed from the guidelines.

BERNARDO GREIVER (Uruguay) said gratis personnel should be accepted in areas where the United Nations did not have technical expertise, but their use should not threaten the principle of equitable geographical representation. There were 125 gratis military officers in the Department of Peace-keeping Operations, from mainly rich countries. The current session of the Committee should address the international character of the United Nations in order to address the issue of gratis personnel and find a solution to the problem caused by their current use.

ROSEMARIE WATERS, President of the United Nations Staff Committee and the Coordinating Committee of International Staff Unions and Associations (CCISUA), said gratis personnel should neither perform work that should be performed by staff members, nor perform confidential or sensitive functions. The main concern was the impact of gratis personnel on the international civil service.

She said that a discussion that had taken place in the Fifth Committee on the internal system of justice emphasized that, with regard to the creation of an arbitration board, it would be difficult to ensure the impartiality of the arbitrators if they were being recruited externally and paid by the

Fifth Committee - 8 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

administration. The same must be true for gratis personnel. Despite their high calibre work, their loyalties must lie with those responsible for their pay.

The greatest impact, she continued, was one that could not be quantified: the demoralizing effect on the staff of the international civil service when they were told that they were unable to meet the needs of the Organization. The staff unions and associations had been advocates of assessing the needs of the Organization over the short term and long term and sharing that assessment with the international civil service. That would allow all those with a stake in the Organization to understand its direction and prepare themselves for the skills that would be required in the future.

When staff unions and associations heard that gratis personnel provided service not readily available among the international civil service, it emphasized the fact that Member States did not fully understand the abilities of the international civil service, she said. Throughout the many years of peace-keeping, the Field Service Staff had been the backbone of United Nations operations. They were highly skilled in critical mission activities and had been overlooked as a source of specialists who combined military knowledge with practical experience in United Nations operations. They were yet to be used to their fullest potential.

It was difficult to have staff being told there was no work for them to do, while gratis personnel were proliferating, she said. That made it difficult for staff to understand the priorities and focus of the Organization. In a number of cases, individuals who were thrust upon the Organization as gratis personnel were then the first ones eligible for established posts when they became available. In particular, while the Efficiency Board had been rendered obsolete, some of its members continued to be employed by the United Nations and would likely become regular staff members. "The replacement of international civil servants with gratis personnel must cease", she said. "There are no objectives that cannot be quickly and efficiently met by international civil servants if the Organization would employ appropriate planning measures that would enable all staff to know the skills that will be required in the near term and adapt themselves to those needs."

Action on IMIS

IGOR GOUMENNY (Ukraine), the Committee's Rapporteur, introduced the draft decision and reviewed its contents.

The Committee adopted the draft decision, without a vote.

RENATA ARCHINI DE GIOVANNI (Italy), speaking on explanation of position,

Fifth Committee - 9 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

said she had joined the decision on the understanding that the Committee would endeavour to stress the harmonization of the information systems in the United Nations system. It should be strongly encouraged to reduce the differences between the systems that might be adopted by some entities, such as UNICEF. The need for harmonization should be considered by the meetings of the UNICEF Executive Board.

Action on UNOMIL

Mr. GOUMENNY (Ukraine), the Committee's Rapporteur, introduced the draft resolution on UNOMIL, reviewing its contents.

The draft was approved without a vote

WOLFGANG STOCKL (Germany) said he had joined the consensus with reservations. The amounts assessed would not be fully covered as one Member States had cut its assessments unilaterally. That would further jeopardize the financial situation of the missions. Germany would not stand for the non- payment of assessments by other Member States or for an effective change in its share of assessments for peace-keeping operations.

MUHAMMAD YUSSUF (United Republic of Tanzania), speaking on behalf of the Group of 77 and China, introduced the draft resolution on the scale of assessments. He emphasized that the Group of 77 and China had arrived at a common position "after long and painful negotiations among its members". It would provide the basis for the Fifth Committee's negotiations to arrive at a resolution on the matter. He stressed further that the Group was prepared to negotiate in good faith, so that by 31 March the Committee could establish a scale of assessments that would reflect Member States' capacity to pay.

PAUL MENKVELD (Netherlands), speaking on behalf of the European Union, referring to the draft text introduced by the United Republic of Tanzania, recalled that the Committee operated on the basis of consensus and draft texts were, therefore, submitted by the chair or by coordinators of the informal consultations. Although he welcomed the draft texts of Member States on elements and criteria, those introduced by the United Republic of Tanzania formed part of a summary paper of the coordinator of the informal consultations, which also contained other proposals by Member States.

Stressing the importance of the consensus practice, he said the Union did not believe that the ongoing informal consultations on the scale methodology could be concluded on that basis. The Union would continue to work with other Members States to enable the coordinator of the informal consultations to introduce a draft resolution later this month.

MARTA PEÑA (Mexico) said she felt bound to make a comment following the

Fifth Committee - 10 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

Netherlands' statement. Although it was true that all drafts texts adopted by consensus were introduced by the Committee Chairman or the coordinators, there were different ways whereby the Assembly took decisions on administrative and budgetary questions.

She also recognized the efforts of a number of delegations to try to provide elements for a possible consensus on that matter, she said. A significant group of delegations had made great efforts to reach such consensus, as a basis for negotiations. Mexico had previously submitted a draft text for negotiation, in addition to that of the Group of 77, and was ready to work to ensure that the Committee had a substantive resolution by 31 March.

SAM HANSON (Canada) said the Group of 77's efforts were welcome, but he shared the views of the European Union that the best approach was to continue consultation on the basis of the coordinator's proposals on the scale of assessments. If the means of achieving consensus were to rely on multiplying the number of draft texts, he would also have contributed a draft. Should the process of informal consultations on the basis of the coordinator's proposals not be accepted, Canada reserved the right to submit a draft text to the Committee.

FUMIAKI TOYA (Japan) said he reserved the right to present a draft resolution, if necessary.

KLAUS-DIETER STEIN (Germany), Acting Chairman, said he understood that the draft resolution submitted by the United Republic of Tanzania was being considered together with other proposals in the informal consultations on the scale of assessments.

Statement by Secretary-General

Introducing the Secretary-General, NGONI FRANCIS SENGWE (Zimbabwe), Chairman of the Fifth Committee, said that the Committee had had the chance to work with the Secretary-General before in his capacity as United Nations Budget Director and as Assistant Secretary-General for Human Resources Management. The Secretary-General had taken office at a time when the Organization was going through many changes. The demands placed on the Organization were enormous and of growing complexity.

The Committee would cooperate to ensure that the Organization worked effectively, he continued. The Secretary-General was expected to uphold the high standards of management and to improve the efficient administrative and financial functioning of the Organization. That would require a strong and independent international civil service. Member States must endeavour to ensure predictable and assured political and financial support.

Fifth Committee - 11 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

Secretary-General KOFI ANNAN said he had created a Policy Coordination Group to help in the executive direction of the Organization. Its composition included the heads of departments and offices in the Secretariat and the heads of the United Nations Development Programme (UNDP), United Nations Children's Fund (UNICEF), and the United Nations Population Fund (UNFPA). Some 30 United Nations departments, offices, funds and programmes had been brought together in the principal sectoral areas of the Organization's work: peace and security; economic and social affairs; development operations; and humanitarian affairs. Executive committees had been set up in those areas, each with a designated convenor to facilitate more coordinated management. He added that he had appointed Maurice Strong as Executive Coordinator of United Nations Reform to help oversee all aspects of the process. A Management Reform Group, focusing on furthering management reform measures, was being set up in place of the Efficiency Board. That would be complemented by reforms groups set up in the various funds and programmes.

The reform agenda, the Secretary-General said, was being implemented on the basis of a two-track process. The first related to managerial decisions that fell within his authority and could be taken immediately. The second track involved preparing a long-term reform programme that would be subject to consultations with Member States. Having considered some of the analysis available from, among others, deliberations of Member States, he said he could present immediate management and organization measures.

It was estimated that up to 38 per cent of regular budget resources were devoted to administration and other non-programme costs, he continued. The figure includes the budget, finance and personnel components of the Department of Administration and Management, administrative support of conference services, public information work and other programme support costs. The amount was too high and should be diverted to development activities.

He said he had directed that a plan be prepared to cut the proportion of resources identified for administration and other non-programme costs in the regular budget by one third by the year 2001. The Department for Policy Coordination and Sustainable Development, the Department for Economic and Social Information and Policy Analysis, and the Department for Development Support and Management Services would be merged into a single department. Some of the functions of the Department for Development Support and Management Services would be redistributed. There would be some administrative savings, also. The new arrangement should better serve to bolster support for Africa's development, South-South cooperation and the sustainable development of small island developing States.

Further, with the need to streamline and strengthen technical support for intergovernmental processes, he said he would establish a Department of General Assembly Affairs and Conference Services, integrating the major technical support services for the General Assembly, the Economic and Social

Fifth Committee - 12 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

Council and their subsidiary bodies, as well as conference services. The new department would lead in establishing a new way of operating conferences services in the Secretariat with increased accountability for performance against clear norms and standards of quality and timeliness.

While consolidation would help achieve cost-effectiveness, there were areas for decentralization to locations where work could be done more economically, the Secretary-General said. Examples were translation, printing and publications. In addition, since the tale of the United Nations must be told with more vigour and purpose, a sweeping revamping of the United Nations public information capacity was an urgent requirement.

The reorientation of public information would be designed to have three principal effects, he continued. The first would have information activities geared towards providing communications and outreach services to the media, non-governmental organizations and other redisseminators, using the latest media technologies. Second, the information capacity of the Secretariat would be more intimately linked with and directly supportive of the work of the substantive departments. Third, resources would be decentralized and refocused to the country and regional levels and greater use made of local resources.

Also, he added, the process of integrating the United Nations Information Centres serving developing countries into the Resident Coordinators' Offices would be completed. The present Department of Public Information (DPI) would be transformed into an Office of Communications and Media Services, and a detailed review and consultation with Member States would be initiated.

The Secretary-General said he had directed a number of steps to help ensure greater integration of United Nations system activities and to ensure greater coherence of planning and implementation at the country level. First, the position of the Resident Coordinator, as the Secretary-General's representative for development cooperation and leader of the United Nations Country Team, would be further strengthened. Second, all United Nations funds and programmes doing development work in a particular country would be asked to join together under the Resident Coordinator in preparing a common programme at the country level, in full consultations with the government concerned. A common United Nations Development Assistance Framework should maximize United Nations collaboration in support of country priorities. Third, the drive to establish common premises and services arrangement at the country level would be intensified. Common locations would save on administrative costs and improve coordination and consultations.

The Secretary-General said that, in addition, a draft code of conduct had been completed and staff representatives had been asked to review it quickly so that it would be submitted for the Assembly's consideration. With

Fifth Committee - 13 - Press Release GA/AB/3137 51st Meeting (AM) 17 March 1997

the need to stem the tide of documentation, he had set a target of a 25 per cent reduction in documents produced by the Secretariat by the end of 1998.

The actions he had listed, he said, would be reflected in the structure and content of the United Nations regular budget. In that regard, he recalled that the regular budget had shown a zero nominal growth since 1994, with the 1994-1995 budget appropriations being about $2.608 billion. As for the 1998- 1999 budget, the Assembly had approved an outline of some $2.48 billion to guide it. His own proposed budget would contain proposals that would be about $123 million less than the 1996-1997 budget of $2.603 billion and represents a real resource reduction.

Talking of the Organization's staffing, he said a majority of them were in the specialized agencies, including the World Bank and the International Monetary Fund (IMF), and did not fall under his authority. Within the United Nations itself, 10,021 posts, authorized in the regular budget, were his direct responsibility. As a result of severe budget cuts in 1996 and 1997, the Organization effectively had a staffing that was 1,000 below the number of posts authorized in the budget.

"I will propose a substantial abolition of posts when I present my proposed programme budget for 1998-1999", the Secretary-General said. "This will be in the order of approximately 1,000 posts." The proposed cuts would contribute to a decline of about 25 per cent in the number of staff from the peak levels of 11,994. In that context, heads of departments and offices would be required to meet targets set by the Assembly on gender balance as a guiding factor in their staff decisions.

In concluding, the Secretary-General added that the reforms he had initiated would make the Organization a more modernized and effective instrument for the international community. They represented the first steps in his reform programme. "Resources will be reallocated; departments integrated; administrative costs reduced; functions streamlined; new methods of work introduced; and maximum performance demanded of all staff", he said. "The intention is to strengthen the Secretariat's capacity to deliver programmes and to redeploy resources judiciously for this purpose."

* *** *