SYSTEM REWARDING MERIT, ACHIEVEMENT TO REPLACE SENIORITY-BASED ADVANCEMENT ASSISTANT SECRETARY-GENERAL FOR HUMAN RESOURCES TELLS FIFTH COMMITTEE

1 December 1998

Press Release
GA/AB/3275

SYSTEM REWARDING MERIT, ACHIEVEMENT TO REPLACE SENIORITY-BASED ADVANCEMENT ASSISTANT SECRETARY-GENERAL FOR HUMAN RESOURCES TELLS FIFTH COMMITTEE

19981201 Committee Also Addresses Aspects of 1998-1999 Budget, Procurement, Administrative Arrangements for International Trade Centre

In the United Nations new organizational culture, seniority-based advancement will give way to career progression based on merit, productivity, achievement and continuous professional growth, the Assistant Secretary- General for Human Resources Management, Rafiah Salim, told the Fifth Committee (Administrative and Budgetary) this morning.

Speaking as the Committee concluded consideration of a wide array of topics that fall under its agenda item on human resources management, Ms. Salim responded to comments made by Member States during earlier discussions on such matters as recruitment policies, career development, delegation of authority, equitable geographical distribution and allegations of racial discrimination in human resources.

One area of particular concern discussed this morning was a proposed amendment to the staff regulations formulated in response to a recent ruling by the Administrative Tribunal that would allow staff recruited under "200 series" contracts (project personnel) and "300 series" contracts (short-term and limited duration appointments) to be eligible to fill vacancies in the Secretariat reserved for internal candidates. The amendment would ensure that the definition of "internal" does not include 200 and 300 series staff.

On that issue, the Republic of Korea told the Committee that, while he understood why the Tribunal would state that the widest possible choice should be allowed in the recruitment process, the judgement would make it difficult for the Secretariat to apply General Assembly resolutions on staffing and would require a radical change in the recruitment and promotion process.

The representative of the Russian Federation said the internal vacancy system was introduced as an emergency measure in response to the financial crisis of 1986. Now it was proposed that this ad hoc measure be institutionalized. The proposed changes did not accord with the interest of the Organization and a decision could not be taken hastily.

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On another human resources issue, the Assistant Secretary-General for Legal Affairs, Ralph Zacklin, responded to issues raised by the representative of Ethiopia at an earlier meeting concerning privileges and immunities of United Nations staff.

The representatives of Japan, China, Austria (on behalf of the European Union and Poland), Indonesia, Cuba and Ethiopia also spoke.

When the Committee turned its attention to proposed administrative arrangements for the International Trade Centre (ITC) -- the joint technical cooperation arm of the United Nations Conference on Trade and Development (UNCTAD) and the World Trade Organization (WTO) -- it was addressed by Nacer Benjelloun-Touimi (Morocco), Chairman of the thirty-first session of the Joint Advisory Group on the ITC/UNCTAD/WTO. He said that the new arrangements proposed by the Advisory Committee on Administrative and Budgetary Questions (ACABQ) for the ITC encouraged coherence between organizations and were endorsed by the parties concerned.

The representative of Algeria addressed the Committee on the matter, as did the Chairman of the ACABQ, C.S.M. Mselle. The Committee approved a draft decision without a vote, introduced by its Chairman, Movses Abelian (Armenia), by which the General Assembly would endorse the proposed new administrative arrangements.

Also, under its agenda item on the programme budget for 1998-1999, the Committee approved without a vote two draft decisions advising the General Assembly of the budget implications of draft resolutions approved by the Third Committee (Social, Humanitarian and Cultural), extending sessions of the Committee against Torture and the Committee on the Elimination of Racial Discrimination. According to the decisions, the additional costs associated with the extensions would be $19,000 and $33,200 respectively. Both drafts were introduced by the Committee Chairman.

The representative of Algeria spoke on the matter; Mr. Mselle introduced the ACABQ's views; and Warren Sach, Director, Programme Planning and Budget Division, Office of Programme Planning, Budget and Accounts, provided additional information.

When the Committee took up procurement reform, the representative of Panama, on behalf of the Rio Group, said it was a matter of grave concern that only 10 countries accounted for 93 per cent of United Nations procurement purchases. Statistically, the Rio Group's participation was 0.0 per cent of purchases for United Nations Headquarters. All possible measures should be taken to increase purchases from developing countries. The Group did not want favouritism. Rather, it sought equality in treatment.

The representatives of Austria (on behalf of the European Union), United States and Syria also spoke on the issue.

The Fifth Committee will meet again at 10 a.m. Friday, 4 December, when it will commence its discussions of the first performance report of the 1998-1999 budget, and on the proposed budget outline for 2000-2001.

Fifth Committee Work Programme

The Fifth Committee (Administrative and Budgetary) met this morning to continue its review of the United Nations administrative and financial efficiency, the Organization's human resources management, and aspects of the 1998-1999 budget.

Under review of efficiency, it was to continue discussing procurement reform, use of the practice of outsourcing, and administrative arrangements for the technical cooperation arm of the United Nations Conference on Trade and Development (UNCTAD) and the World Trade Organization (WTO), called the International Trade Centre (ITC)/UNCTAD/WTO.

(For background on reports related to United Nations procurement practices, outsourcing and human resources management, see Press Release GA/AB/3274 of 30 November. Additional reports on human resources are also in Press Releases GA/AB/3259 of 9 November, GA/AB/3263 of 13 November, and GA/AB/3265 of 16 November. For background on administrative arrangements for the ITC, see Press Release GA/AB/3241 of 6 October.)

Administrative Arrangements for ITC/UNCTAD/WTO

By resolution 53/410 of 26 October 1998, the General Assembly had requested that the Trade and Development Board of UNCTAD and the Joint Advisory Group on the ITC/UNCTAD/WTO consider proposed administrative arrangements for the ITC, detailed in the report of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), and submit their comments as a matter of priority.

In response to action taken regarding that resolution, the Fifth Committee had before it a note by the Secretary-General on administrative arrangements for the ITC (document A/C.5/53/38). The ACABQ's proposals on new administrative arrangements had been submitted to the two bodies concerned and both the Board and the Group had endorsed them. Letters containing that information, addressed to the Chairman of the Fifth Committee from the President of the Board and the Chairman of the Group, are annexed to the note.

The Secretary-General states that the General Assembly might wish to take a decision on the administrative arrangements in light of the endorsement of the ACABQ proposals by the Trade and Development Board and the Joint Advisory Group.

Programme Budget for 1998-1999

The Committee had before it the Secretary-General's statement of the programme budget implications arising from draft resolution A/C.3/53/L.23 (document A/C.5/53/37) by which the Assembly would authorize the Secretary-

General to regularly extend the spring session of the Committee against Torture by an additional week.

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The statement explains that the costs of such an extension would be as follows: $19,000 under section 22 of the programme budget, human rights, for subsistence costs for the 10 Committee members for seven days; and $332,900 for servicing the meetings, under section 1B, General Assembly Affairs and Conference Services. Section 1B already contains sufficient provision for meetings that are authorized after the budget was prepared. However, should the Assembly decide to adopt the draft, an additional provision of $19,000 would be required to meet the costs under section 22.

Also before the Committee was a statement of the budget implications of draft resolution A/C.3/53/L.18/Rev.1, by which the Assembly would authorize the Secretary-General to extend, on a temporary basis, the summer sessions of the Committee on the Elimination of Racial Discrimination by five days, for 1999 and 2000 (document A/C.5/53/36).

The statement says that no additional appropriations would be required under section 1B, General Assembly Affairs and Conference Services, of the 1998-1999 programme budget, since that section contains provisions for meetings authorized after the budget was prepared. However, no resources had been included under section 22, human rights, of the programme budget for 1998-1999 to cover the additional requirements of $33,200 for the subsistence allowance of the 18 members of the Committee. Should the Assembly adopt the draft resolution, an additional provision of $33,200 would be required over and above the resources approved under section 22, human rights, of the programme budget.

Statements on Programme Budget for 1998-1999

C.S.M. MSELLE, Chairman of the ACABQ, introduced that body's views. Regarding the draft recommended by the Third Committee (Social, Humanitarian and Cultural) on extending the spring session of the Committee against Torture, he said the statement indicated that the adoption by the Assembly of the text would give rise to expenditure totalling $332,900 under section 1B of the 1998-1999 programme budget, General Assembly Affairs and Conference Services. Under section 22 of the budget, human rights, an amount of $19,000 would be needed for subsistence for 10 Committee members to attend meetings.

DJAMEL MOKTEFI (Algeria) said the statement mentioned only four official languages for the session. Why was that? Was it due to the Committee's membership? he asked.

WARREN SACH, Director, Programme Planning and Budget Division, Office of Programme Planning, Budget and Accounts, said it reflected the official languages of the Committee against Torture.

The Chairman, MOVSES ABELIAN (Armenia), recommended the following draft decision:

Should the General Assembly adopt draft resolution A/C.3/53/L.23, an additional requirement of $19,000 would be required over and above resources approved under section 22, human rights, of the programme budget for the

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biennium 1998-1999. The additional requirements for the year 2000 would be dealt with in the context of the preparation of the proposed programme budget for the biennium 2000-2001.

The Committee approved that decision.

Mr. MSELLE then introduced the ACABQ's views on the budget implications of the Third Committee's draft resolution on extending the summer sessions of the Committee on the Elimination of Racial Discrimination. The Secretary- General's statement indicated that adoption of the resolution would give rise to resources under section 22, human rights, of $33,200, and $197,000 under section 1B, General Assembly Affairs and Conference Services.

The CHAIRMAN proposed the following draft decision:

Should the General Assembly adopt draft resolution A/C.3/53/L.18/Rev.1, an additional provision of $33,200 would be required over and above the resources approved under section 22, human rights, of the programme budget for the biennium 1998-1999. The additional requirements for the year 2000 would be dealt with in the context of the preparation of the proposed programme budget for the biennium 2000-2001.

The Committee approved the decision without a vote.

Statements on ITC/UNCTAD/WTO

NACER BENJELLOUN-TOUIMI (Morocco), Chairman of the thirty-first session of the Joint Advisory Group on the ITC/UNCTAD/WTO, said that his presence reflected the importance that Member States placed on that arrangement for the work of their missions in Geneva. The review of the issue by the Trade and Development Board of UNCTAD and the Joint Advisory Group was requested as a priority and the Committee had the two letters before it in response. That they had responded in such a short time indicated that the matter was important and the solution proposed was a good one.

He said that after holding consultations with members of the WTO, he had also consulted with the member States of the Trade and Development Board. Both groups were thoroughly consulted and both houses -- WTO and UNCTAD -- approved and endorsed the proposal. As the Joint Advisory Group meets only once a year, its bureau met and officially put its stamp on the proposal. On the UNCTAD side, a second consultation was held with member States of UNCTAD and a bureau meeting was held to decide on the matter. The result was positive on all counts. The response was, therefore, the result of a very quick but very thorough review.

The item was also before the Fifth Committee in October, he said. By now all technical details had been provided to Member States and a detailed outline of changes had been provided by the Secretariat. The proposal had to be seen in a context spoken about in Geneva every day -- that of coherence between monetary, financial and trade policies. The Bretton Woods organizations could not be asked to act on a policy that was then contradicted

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at UNCTAD or WTO.

Hew said the current proposal was a simple technical one, but the objective was to improve coherence between organizations, beginning with the Geneva-based trade and development organizations. The three Geneva-based organizations working on trade and development -- WTO, UNCTAD and ITC -- needed to work in a coordinated manner. The ITC was the child of the other two institutions. If there was to be coherence and coordination, it must appear first at the ITC, because it had to comply with both sets of rules and improving its working procedures would have an impact on the synergies between UNCTAD and WTO.

The alternative was very simple, he continued. The ITC would remain a small but efficient organization that had to do its work twice to achieve something. It had to budget according to United Nations rules and then write another budget according to WTO rules. It had to spend about $100,000 because the two organizations did not want to speak to each other, although their membership was much the same.

When he first arrived in Geneva, he said, he discovered that member States had schizophrenia, saying "A" at WTO and "B" at UNCTAD, perhaps because they were receiving instructions from two different ministries, one technical and one political. Many countries had two different positions on trade and development, one for UNCTAD and one for the WTO. That had been corrected, which was the good news. Now most delegations in Geneva took the same position on the same issue, but the problem still existed. Now the difference was between delegations in Geneva and those in New York. That caused frustration. There seemed to be turf battles and not between South and North.

He said he hoped the decision that could be taken today would help avoid such turf battles, particularly because the solutions proposed were not ideological, but simply good sense. The proposal aimed to make the ITC work better for member States, and to allow it concentrate on technical cooperation. The ITC was purely a technical cooperation institution. The proposed technical arrangement had an objective to make the ITC more accountable.

The new arrangement expressed the relationship in terms more understandable to Geneva-based delegations, he said. It, therefore, increased the capacity for better supervision of the ITC and made it able to better respond to its users. It was a simple arrangement.

He then added that, as Chairman of the "Group of 77" developing countries in Geneva responsible for preparing for the tenth session of UNCTAD to be held in Bangkok, he would not easily accept the proposal if it cut corners, or if it touched on the integrity of United Nations rules or its budget. As the proposals were the work of the able Chairman of the ACABQ, he did not have to worry about that possibility. Member States simply had to exercise good sense by adopting the proposed arrangement.

Mr. MOKTEFI (Algeria) said he would have preferred that the Chairman of

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the Joint Advisory Group get straight to the point, rather than discuss inconsistencies in the views of some delegations. The note by the Secretary- General contained two letters -- one from the President of the Trade and Development Board of UNCTAD and another from the Chairman of the Joint Advisory Group. The matter was technical and the Fifth Committee had wanted a direct reply. Why did the replies refer only to the proposals in paragraph 11 (c) of the ACABQ's report and not the rest of paragraph 11, which had proposed simplified procedures.

Mr. BENJELLOUN-TOUIMI (Morocco), Chairman of the Joint Advisory Group, said his preliminary comments had not been aimed at any particular delegation. He had discussed the matter at hand with Algeria's delegation, as well as others, and could say that Algeria's position was consistent. Sometimes, however, even his own delegation was not absolutely consistent. It was important to try to correct such matters and his delegation was trying to do so.

There had been a typographical error in the letter, he said. It should have specified paragraph 11, rather than paragraph 11 (c). The entire proposal of the ACABQ had been discussed, not just paragraph 11 (c), and an addendum could be issued to that effect, or another letter provided. As far as he knew, there were no programmatic implications.

Mr. MSELLE, Chairman of the ACABQ, said the statement made about the correction should be regarded as an official correction. He assured the representative of Algeria that there would be no change in the current role being played by United Nations bodies, both in programme formulation and approval, in the ITC and the WTO. The Committee for Programme and Coordination (CPC) would continue to perform its function, the ACABQ would do so, as would UNCTAD, the ITC and the WTO. The ACABQ would not have proposed to change their functions without so indicating.

The CHAIRMAN said the Fifth Committee had taken note of the technical mistake in the letters. He appealed to Committee members to not discuss the matter further, but rather to take a decision. He proposed that the Committee recommend the following draft decision to the General Assembly:

To take note of the note by the Secretary-General contained in document A/C.5/53/38 and endorse the administrative arrangements for the International Trade Centre/UNCTAD/WTO, as contained in paragraph 11 of the report of the ACABQ in document A/53/7/Add.3.

The Committee approved that draft decision.

Review of Efficiency: Procurement Reform

JUDITH MARIA CARDOZE (Panama), speaking on behalf of the Rio Group, emphasized the need for strict compliance with the rules governing procurement process. All possible measures should be taken to increase purchases from developing countries. It was a matter of grave concern that only 10 countries accounted for 93 per cent of United Nations procurement purchases.

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Statistically, the Rio Group's participation was 0.0 per cent of purchases for United Nations Headquarters.

The Group did not want to see conditions that benefited certain Member States through subsidies or covert protection, she continued. Rather, it sought equality in treatment, access to opportunity, transparency in the bidding process, support for States away from Headquarters, and fair access based on the quality of products and services. The Group did not want favouritism. The Group supported the contents of paragraph 90-104 of the report of the Board of Auditors and encouraged the Secretariat to comply with the recommendations proposed, given the irregularities in the bidding process.

The short period of time allowed for the submission made it less likely that the best quality or prices would be obtained, she said. She noted that in 17 instances, although the contract value exceeded $200,000, less than four weeks had been allowed for bidding. The Procurement Review Committee should review bidders with greater frequency. Also, the Procurement Manual lacked examples of invitations to bid and other useful samples, which should be included immediately.

Turning to procurement for peacekeeping operations, she noted that the States members of the Rio Group were troop-contributors and expressed serious concern about the relationship between the bidding process and the safety of mission personnel. There were reports of unfortunate conduct by certain vendors, with bidding processes manipulated, false documentation submitted and vendors used whose safety and maintenance programmes were questionable. For example, some vendors being used did not comply with basic aviation standards and had submitted false documentation in that regard. It was imperative that savings not be achieved at the cost of safety. That situation was unacceptable.

She reviewed other cases of concern, including those that had been introduced by the Under-Secretary-General for Internal Oversight Services, and said that public dissemination of all aspects of the bidding process and strict compliance with the Procurement Manual could enable the Organization to combat such irregularities, waste and offences. Only with transparency could greater fairness and equity in procurement be achieved and the image of the United Nations worldwide, which had become besmirched, be improved. Information must be made public, as the sole guarantee of proper management.

The Group wanted to receive detailed information on the goods purchased by United Nations organizations, she said. That should include the origin, value, amount, customs nomenclature, list of vendors, and those invited to bid, in general and, particularly related to food. Also, detailed information was needed on the consolidated procurement system used in the Secretariat.

She reiterated the importance of compliance with the provisions of General Assembly resolution 52/226, stipulating that, without exception, bids must be published on the United Nations Web Page and sent to permanent missions. Six months after that resolution had been adopted, such information was still not available. She then asked for a list of the staff of the

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Procurement Division, specifying nationality and job description. The Group would return to the item when the Committee resumed its discussion on it and the documents that had been requested were submitted.

ULRIKE BUTSCHEK (Austria), speaking on behalf of the European Union, said it was well known that the Union attached great importance to procurement reform. She welcomed the Secretary-General's assurance that measures introduced had improved the competitiveness, transparency and fairness of the process. The Union welcomed the integration of procurement functions into the Procurement Division, and also the publication of procurement plans for peacekeeping. In that context, increased cooperation between the Procurement Division and the Field Administration and Logistics Division was of real importance.

While improvements had been made, the experience of those doing business with the United Nations showed that much still needed to be done, she said. The feedback the Union had received might not be objective, but it was not convinced by the performance measurements used by the Secretary-General. Statistics for years prior to 1997 should be provided with estimates for 1998, to allow better performance evaluation. The registration process needed to be addressed. It seemed slow and cumbersome and of low priority for the Procurement Division, which made it difficult for new companies, particularly those from developing countries, to apply.

Data on origin of goods needed more development, she said. The value of public bid openings for requests for proposals was being undermined by the fact that the Procurement Division no longer disclosed prices and types of goods and services offered. The information was sometimes complex, but disclosure enhanced the learning process of failed bidders and, therefore, increased competition to the benefit of the United Nations.

The Union believed the time had come to implement a proposal to give preference to bidders from those Member States who were current in their assessments, she said. The Union welcomed the comprehensive revision of United Nations rules and regulations and wanted to know when they would be published. It still believed that an independent ombudsman was required. It also remained concerned with irregularities, notably regarding ex post facto procurement, and the inconsistent application of performance evaluations of suppliers.

COLEMAN NEE (United States) said his delegation was pleased by the steady progress being made in streamlining and improving the procurement procedures in the United Nations. The publication of the revised Procurement Manual in March 1998, the continued growth of the Suppliers Roster, and the increased use of the Procurement Division's Internet website to announce procurement opportunities were all positive steps. Free and fair competition was the bedrock of a transparent system in which goods and services were obtained on the most cost-effective terms. Continued expansion of competitive bidding was essential.

Any attempt to award contracts on anything other than a strictly

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competitive basis would drive up costs, thereby working against the gains achieved to date, he said. The United States welcomed the common approaches being taken in the United Nations system to optimize procurement resources, such as the development of common procurement regulations and the creation of a Common Supplier Database. Those measures made good sense.

TAMMAM SULAIMAN (Syria) said he had noted the measures adopted by the Secretariat to expand the geographical base of suppliers. Although the Secretary-General stated the number of registered bidders had risen to a point where 91 countries were represented, he believed the share of contracts that went to suppliers from developing countries was still low. Continued attention to that matter was required.

Increased information on procurement tenders was restricted to Internet announcements limited by time, he said. The Procurement Division needed to communicate procurement information to missions in writing and not just speak to Member States when the Fifth Committee was discussing the issue.

Regarding visits to countries by Procurement Division staff, he asked if they had visited developing countries. He would like to know what countries they had visited, whether they had visited the Middle East, and who had visited. He noted that visits were in response to invitations, but would like to know the method of invitation and how the visits were organized.

He concurred with the ACABQ's view that clarification was required on the determination of place of origin of procured goods and services. Procurement in developing countries needed to be distinguished from procurement from developing countries. The Procurement Manual, and all other relevant information, should be translated into all six official languages, as that would facilitate participation.

The Vice-Chairman of the Committee, MILES ARMITAGE (Australia), proposed resumption of the discussion on the item at a later date, and the Committee so decided.

Statements on Human Resources Management

KOJI YAMAGIWA (Japan) said that, in an instance in which a staff member employed under 200 series rules, for project personnel, was held ineligible to apply for internal vacancies, the Administrative Tribunal had said there was no legal definition of the term "internal" and that, in the light of the Charter, had ruled that all candidates in United Nations service could apply for internal vacancies, irrespective of the terms of their recruitment. That raised serious problems. The Tribunal's conclusion contradicted relevant General Assembly resolutions, which deliberately excluded 200 series personnel from eligibility to apply for internal vacancies, even after one year's service in the field.

To allow such staff to compete with staff appointed under established conditions defeated the purpose of the equitable geographic distribution requirements and the Secretary-General's attempts to meet them, he said. By

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the Tribunal's reasoning, 300 series staff, for short-term and limited duration appointments, would also be eligible to apply for internal vacancies, so the implications might be even more serious. Japan could not endorse the judgement of the Tribunal and firmly endorsed the ACABQ recommendation that the rule change proposed by the Secretary-General be made by the General Assembly as a matter of urgency.

His Government also wanted to draw attention to the fact that the vacancy rate for Professional and higher-level staff was expected to exceed 10 per cent, he said. That was of concern, and he requested the matter be considered in the context of the current agenda item.

LIU YANGUO (China) said that human resources management reform related to the new management culture and was, therefore, a complicated process. Actions should only be taken when all concerned were well prepared and his Government hoped the Secretariat would deal with the matter with the necessary care. When the delegation of authority was involved, necessary training was required. Reform required full General Assembly and Member State participation and, therefore, he would like to receive better information on it. On eligibility to fill internal vacancies, relevant General Assembly resolutions ought to be implemented seriously, and he agreed with the ACABQ proposal. He also concurred with the ACABQ comments on consultants and individual contractors, and on retirees.

KIRILL FEDOROV (Russian Federation) said that the general conception of human resources management reform provided by the Secretary-General had to be followed by a plan of specific measures by which he intended to carry it. He hoped there would be more active involvement of the ACABQ in human resources management reform, since personnel management was of major, if not critical, importance to reform, and the view of the ACABQ was essential for delegations in the Fifth Committee.

Regarding eligibility to apply for internal vacancies, he had hoped that a deeper analysis of the problem would be provided. The system of internal vacancies was not a universal recruitment practice, but rather a by-product of the system of vacancy management and redeployment of personnel. It was introduced as an emergency measure in the financial crisis of 1986, but now it was being proposed that an ad hoc measure be institutionalized. The Russian Federation believed the changes proposed by the Secretariat ran counter to the Charter and were not in accord with the interest of the Organization. They would be an impediment to bringing in new talent. A decision on that could not be taken hastily.

Ms. BUTSCHEK (Austria), speaking on behalf of the European Union, said the Secretary-General must be given the opportunity to recruit the best possible candidates and the wider the choice the better the possibility. However, the Union also believed that the competitive recruitment system must be maintained. The Union looked forward to a profound discussion of the matter at a later stage.

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PARK HAE-YUN (Republic of Korea) said he noted with keen interest the judgement of the Administrative Tribunal on the eligibility to apply for internal vacancies. He had been aware of problems with internal vacancies and, therefore, understood the Tribunal stating that the widest possible choice should be allowed in the recruitment process. However, he was also concerned at the effect of the decision on current placement and promotion procedures. The decision would make it difficult for the Secretariat to apply a number of General Assembly resolutions and would require a radical change in the recruitment and promotion process. Accordingly, he proposed amending the rules to maintain the normal processes. He anticipated a more comprehensive study of the distinction between internal and external vacancies.

His Government welcomed the Secretary-General's guidelines on retirees, while noting a number of weaknesses in monitoring the use of retirees. He hoped the shortcomings would be addressed with the full implementation of the Integrated Management Information System (IMIS). He welcomed the new guidelines for the use of consultants and endorsed its definitions.

PRAYONO ATIYANTO (Indonesia) said his delegation had taken note of the comments made by the Chairman of the ACABQ. He shared the comments made by the representative of China.

JAN JAREMCZUK (Poland) aligned itself with the statement made by the representative of Austria for the European Union.

EVA SILOT BRAVO (Cuba) regretted that the report of the ACABQ had been insufficient in providing substantive comments and technical advice on how the General Assembly could approach its analysis of the question of human resources strategy. She expressed concern regarding the Secretary-General's emphasis on presenting a strategy for decentralization and delegation of authority without concrete proposals on implementation. Accountability and responsibility for programme managers were essential elements for the proper functioning of any system, yet no machinery had been proposed to analyse the quality of programme managers' decisions or address instances when such decisions were motivated by inappropriate concerns.

The Secretary-General's report on human resources management reform attempted to give a new dimension to the human resources strategy adopted in 1994, she said. The new process must be adopted, before it was implemented and implementation should not be so far advanced, as delegations still had remaining concerns. Discussion on the subject should be continued at the next session, when comprehensive information on the concerns of Member States was available. Many delegations, including her own, as well as the ACABQ, had noted the lack of clarity on the manner in which the process was to be implemented.

RAFIAH SALIM, Assistant Secretary-General for Human Resources Management, made concluding comments and responded to Member States comments and questions. She noted that there was broad acknowledgement of the importance of learning and skills development as key to the success of reform efforts. Managers must be able to make informed decisions about their human

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and financial resources and their programmes. Such skills should be developed in managerial staff, as well as mid-level and junior Professionals who would over time assume greater managerial responsibilities. In the past, the Organization had not invested enough in staff development. She looked to the Fifth Committee for support, to ensure that appropriate resources were made available in the future.

The issue of delegation of authority had been a concern for all Member States, she noted. The effort would be doomed to failure if the Secretary- General delegated human resources management authority without first appropriately training managers and staff and providing the appropriate guidelines and central authority for monitoring and support. Human resources authority would be delegated in a comprehensive and strategic manner and only after mechanisms for streamlining, training, support, accountability, and monitoring were in place.

She then reviewed programmes for training and staff development since 1996. The Secretary-General had made clear that building and maintaining the professional competence of staff was an investment in the Organization's future, she said. The global environment was one of rapidly changing technologies and increasingly complex problems. If the United Nations sought to attract the best and brightest young people from around the world, staff development was not a luxury, but a necessity. Young professionals -- the backbone of the international civil service -- must be given opportunities for professional growth.

In the new organizational culture the Secretary-General sought to create, advancement based on length of time of service would give way to career progression based on merit, productivity, achievement and professional growth, she said. Underperformance would be addressed through remedial action and sanctions, based on the Performance Appraisal System.

Turning then to the national competitive examinations, she said concerns about the length of time the process took and the time candidates remained on the roster would be addressed as a matter of priority in 1999. Staff who marked the exams did so on a voluntary basis, usually outside working hours. The exams were managed by the Examinations and Tests Section in the Office of Human Resources Management, with seven professional and eight General Service staff. It also administered other staff and career-related examinations.

She said she shared concerns expressed by delegations about career development for P-2/P-3 staff, and particularly about the number of resignations from junior professionals. Between 1988 and 1998, 399 staff had been recruited through the national competitive examinations at the P-2 level. Of that group, 56 -- or 14 per cent -- resigned, 143 were at the P-3 level, 21 were at the P-4 level and one was at the P-5 level. Most of the remaining recruits had come on board since 1995.

There were many reasons junior professionals left the United Nations, she said. Those included personal/family reasons, dissatisfaction with compensation and greater attractiveness of outside opportunities, inability to

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adjust to a multicultural environment and dissatisfaction with career development prospects. Some young professionals joined the Organization intending to spend a certain period of time to gain experience, before returning to their home countries or moving to other public or private sector organizations.

Conscious of the need to address the career development needs of young professional staff, programmes were being developed in that area, she continued. For example, to ensure that new professional staff were able to broaden their experience and acquire new abilities, the Secretary-General proposed managed reassignment, by which staff entering the Organization through the competitive examination process would have two assignments and two different supervisors in their first five years.

Turning to comments on recruitment, she said a draft administrative instruction was being prepared that could simplify processes and save weeks in the process. In 1997 and 1998, the time for recruitment had been reduced to 260 days. The two longest recruitment cases during that period were 509 and 532 days, while the two shortest cases were 88 and 135 days. The Office was proposing delegating authority for recruiting short-term staff for the General Assembly to the Department of General Assembly Affairs and Conference Services and the Department of Public Information (DPI), she said. That would take place after guidelines were established and training had taken place.

Regarding consultants, she said several delegations had stressed the need for geographical balance. Over 160 countries were providing consultants and the Office would continue to emphasize that consultants should be selected from as wide a geographical range as possible. It was necessary to establish a balance between geography, funds and the quality of expertise available. She hoped the Committee would support the Secretary-General's proposed guidelines on consultants.

On the question of the 70 per cent level for permanent appointments, delegations had expressed differing views, she said. A number of delegations had commented on the number of fixed-term appointments. That issue would be examined in the context of the Office's look at career/non-career service and related issues in 1999.

In response to the issue of the definition of retirees -- for understanding directives on their hire -- she said the Secretary-General accepted the recommendations of the Office of Internal Oversight Services, but felt that it went beyond that defined by the Assembly in its decision 51/408. Use of a small number of retirees, particularly in language services, did not impact adversely on staff career development. Using retirees was a cost- effective way to meet peak-load work periods.

She then turned to comments on the Secretary-General's report on internal vacancies in the Secretariat. Regarding the potential impact on geographical distribution of Administrative Tribunal judgement number 852, she said the judgement blurred the distinction between internal and external candidates. The Secretariat had until now maintained a clear distinction

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between persons who were eligible to apply for posts as internal candidates and those considered external. The language of the judgement called into question the recent decisions of the Assembly.

She was concerned that the way the system of desirable ranges was applied would be changed. As of 30 June 1998, 104 experts serving under the 200 series of staff rules and 68 serving in missions were from countries that were overrepresented in posts reserved for geographical ranges, she added. Women candidates were allowed to apply for internal vacancies after one year of service in the Secretariat, even if they had not been recruited under the system of desirable ranges, as a measure to achieve gender equality. Opening internal vacancies to all external candidates would effectively negate that measure.

Some Committee members had expressed the view that vacancies should be opened to as many candidates as possible, including external candidates, she recalled. However, considering internal candidates first and opening vacancies to external candidates only when no suitable internal candidates were found, was one means by which the Organization ensured reasonable promotion prospects for its junior staff. Without it, young professional staff could feel their prospects were even more limited than was the case at present. Vacancies at the P-5 level and above were circulated internally and externally.

On the "G to P examination", by which staff could move from General Service to Professional posts, she said that 136 candidates from 41 countries passed the examination from 1990 through 1997. The five most successful nationalities were the Philippines, United States, India, Chile and the United Kingdom.

Regarding vacancy rates, she said that of the 8,792 posts funded by the regular budget, 7,803 were occupied by staff in the Secretariat and 338 by staff from other entities, for a total of 8,141. Those 8,141 staff had contracts of one year or more. Information on vacancies could be made available, as well as lists of staff holding appointments of less than one year.

She drew attention to the Secretary-General's reports proposing amendments to the staff rules, which would extend the time period during which staff members could return to their place of recruitment and have their personal belongings shipped after the end of their United Nations service. Extending that period would decrease the cases in which formal exceptions to the rules were required. Unless the General Assembly took action on the proposed amendments, they would automatically enter into force as of 1 January 1999, pursuant to staff regulation 12.4. Therefore, the Committee should seek any clarification it required before the end of the Assembly's main session.

She noted with concern issues raised about possible discrimination in recruitment and promotion in the Secretariat. The issue had been raised by the New York Staff Committee and a joint staff/management committee had been formed earlier this year to look into the matter. The group was not looking

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at individual claims of discrimination, since the Secretariat already had mechanisms to address such issues. Rather, it was looking at trends in recruitment and promotion of all races, regional groupings and nationalities. It would report to the Joint Advisory Committee and the Secretary-General.

Statement on Immunities of UN Staff

RALPH ZACKLIN, Assistant Secretary-General for Legal Affairs, responded to issues raised in the statement by the representative of Ethiopia on 13 November regarding information in the Secretary-General's report on privileges and immunities of United Nations staff. In paragraph 68 of that report, the Secretary-General had expressed concern about actions taken by the Government of Ethiopia to declare locally recruited staff of the United Nations system who were of Eritrean origin as persona non grata. There were about 90 such staff.

Mr. Zacklin said that, on 12 June 1998, the Economic Commission for Africa (ECA) had been informed by Ethiopia's Ministry of Foreign Affairs that two ECA staff and one staff member of the International Labour Organization (ILO) were being declared persona non grata and had 48 hours to leave the country. One staff and his adult son were subsequently arrested, but released following intervention by the Commission. The Organization decided to relocate them outside Ethiopia.

He said that in July, ECA informed Headquarters that four staff -- from the United Nations High Commissioner for Refugees (UNHCR), the United Nations Development Programme (UNDP), the World Food Programme (WFP) and the ECA -- were deported by the Government of Ethiopia to Eritrea. Their families in Ethiopia were being asked to sell their belongings and leave within one month. Senior representatives were invited to the Ministry of Foreign Affairs in Addis Ababa and informed that locally recruited staff believed to be of Eritrean origin would be expelled "because their presence in Ethiopia was deemed incompatible with the national security interests of the country". Staff of the Organization of African Unity (OAU) were similarly affected.

Those actions raised the most serious concerns for the United Nations system, he continued. On 11 August, the Executive Secretary of the ECA discussed the situation with the Ministry of Foreign Affairs and the United Nations Legal Counsel met with Ethiopia's Permanent Representative, underscoring the importance of all Member States complying with legal instruments and respecting the status of United Nations staff members as international civil servants. Ethiopia could not take unilateral action without giving the Secretariat the chance to investigate the allegations. The Legal Counsel stressed that the accusations were formulated in general terms. Detailed information on the charges had not been received to allow an investigation.

The United Nations position was set out in a note verbale of 14 August and transmitted to Ethiopian authorities, he continued. That communication explained that the doctrine of persona non grata did not apply to United Nations staff who were international civil servants and, therefore, answerable

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only to the Secretary-General. In accordance with Article 105, paragraph 2, of the United Nations Charter, locally recruited staff enjoyed the privileges and immunities necessary for the function of their responsibilities. The Ethiopian Government had agreed to that. The Legal Counsel maintained that in the absence of a finding that the staff concerned were engaged in activities incompatible with their functions, they were entitled to remain.

No specific evidence of wrongdoing was offered to the United Nations, yet the Government of Ethiopia on 19 August declared another locally recruited staff member persona non grata, he said. Then, the Minister for Foreign Affairs told the Legal Counsel, without offering specifics, that the staff members concerned were involved in such activities as sabotage and other acts against his Government.

On 10 September, the Legal Counsel assured the Government that the United Nations would investigate any case brought to its attention and take swift action against any staff that had engaged in activities against the security of the host State. The United Nations rejected any unsubstantiated allegation, however. Some staff members had said they had contributed to charitable organizations to support development in Eritrea, he said.

During the Fifth Committee's earlier meeting, the representative of Ethiopia had said his Government's actions were taken after duly consulting with the United Nations, the Assistant Secretary-General said. The United Nations had been informed of actions, but it did not consider those communications to be "due consultations". In fact, from the outset, the United Nations had vigorously and specifically protested the actions.

The number of staff affected by those actions was 38, he clarified. Two were conditionally allowed to remain in Ethiopia. In light of the failure to consult with the United Nations, the Legal Counsel had been obliged to take up the matter again. In October, it had reminded the Government that its actions violated its agreement with the United Nations in respect of the Charter, the Convention on respect for privileges and immunities of United Nations staff, and other international agreements. The Government, in the latest note verbale, dated 28 October, had again repeated allegations against United Nations staff and said that, for security reasons, it was not prepared to share information with the United Nations on the matter.

The Secretary-General believed that the doctrine of persona non grata was not applicable to international staff and such persons could not be expelled from the host country without the Organization being given a chance to look into the allegations and decide whether its privileges and immunities had been violated, he said. The matter had burdened the Organization administratively and financially and had created a human tragedy by personally and professionally uprooting the staff concerned.

DANIEL TAYE (Ethiopia) asked for a written copy of Mr. Zacklin's statement and sought the right to return to the issue at a later date.

The CHAIRMAN said the arrangements for further discussion of this matter

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would be discussed in informal consultations.

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