Delegates Air Concerns over Plans to Delay Start-Up Dates of New Salary Scales, Mobility Incentive, as Budget Committee Examines Staff Compensation Reforms
Delegates in the Fifth Committee (Administrative and Budget) today voiced their concerns with a Secretariat appeal to delay the start-up dates of several crucial elements of the recent overhaul of the ways in which thousands of staff are compensated for their work.
Victor Kisob, Officer-in-Charge of the Office of Human Resources Management, told Member States the Secretariat had carried out most of the changes the General Assembly had approved in December 2015 — as part of the Organization’s first revision of the staff compensation package in 26 years — by the July 2016 deadline. The changes, proposed by the International Civil Service Commission, included a unified base/floor salary scale structure to replace a dual scale for staff members with dependents and those without.
The complexity of computer coding required pushing back the implementation of the unified base/floor salary scale to 1 September 2017, rather than the original deadline of 1 January 2017, Mr. Kisob said. In May, the Secretariat had laid out a summary of the technical and operational challenges that had created unavoidable delays, he said, stressing that the delays were not attributable to the enterprise resource planning system vendor, but to the complex nature of computer coding.
Another element of the compensation package that needed to be postponed was the introduction of the mobility incentive in lieu of the mobility allowance and the discontinuation of the non-removal element.
The Secretariat had pinpointed an interim mitigation solution that would let the Secretariat start using the unified scale on 1 January 2017, as mandated by the Assembly. That solution would curb the variations in staff’s monthly net pay between what they should receive and what they would actually receive during the eight-month delay from 1 January to 31 August 2017. The steps taken by the Secretariat, including the interim mitigation solution, would not affect the expected savings associated with the package’s various elements, Mr. Kisob added.
Reaffirming their support for the International Civil Service Commission’s proposals, Thailand’s delegate, speaking on behalf of the “Group of 77” developing countries and China, said she was concerned with the delays in carrying out some elements of the package for staff in the Professional and higher categories, and urged the Secretariat to find a solution that would fully comply with the Assembly’s mandates.
The European Union recognized the challenges facing the Secretariat, their representative said, and was encouraged that a solution had been identified that respected the implementation dates mandated in Assembly resolution 70/244 and would limit the need to carry out a recalculation of staff payments.
The Russian Federation’s delegation was very concerned about the delays, which would lead to reduced budget savings, according to its representative. The Russian Federation also criticized the Secretariat for notifying the Fifth Committee of the delay in May 2016, five months after the Assembly’s December 2015 approval.
In introducing the Advisory Committee on Administrative and Budgetary Questions’ (ACABQ) report on the issue, Chairperson Carlos Ruiz Massieu said the advisory body was not fully convinced that it was not operationally possible to maintain the mandated effective dates. While recognizing the challenges, the Advisory Committee urged the Secretariat to explore alternative options and keep staff fully informed of its progress.
In other business, the Fifth Committee discussed the headway made in the Organization’s administration of justice system since its inception in 2009.
Linda Taylor, Executive Director of the Office of the Administration of Justice, introduced the report of the Secretary-General on the findings and recommendations of the Interim Independent Assessment Panel and his report on the administration of justice at the United Nations.
Deborah Mendez, Director of Mediation at the Office of the United Nations Ombudsman and Mediation Services, presented the Secretary-General’s report on the activities of that Office during the year-long period which ended 31 December 2015.
The Advisory Committee’s corresponding report, introduced by Mr. Ruiz Massieu, recommended against the Secretariat’s request for additional resource requirements for the 2016‑2017 budget cycle, as it did not consider the case had been made for additional funding.
While recognizing the improvements made in the Organization’s administration of justice since the new system had been created seven years ago, delegates urged the Secretariat to keep refining the evolving system to enhance its independence, transparency and professionalism.
Speaking for the Group of 77, Thailand’s delegate said that the current system was a good start, but, as noted by the 58 recommendations of the Interim Independent Assessment Panel, improvements were needed.
The United States’ representative said she was pleased that the Panel had found that the current system was more independent, transparent, professional and decentralized than the previous system, and better equipped to handle the caseload. But the United States maintained its reservations about extending the system’s access to non-staff personnel and believed contracts and other agreements with such personnel should continue to make clear how disputes could be resolved.
Also speaking today were representatives of Switzerland (also on behalf of Liechtenstein), Japan, Chad (on behalf of the African Group) and Paraguay.
The Fifth Committee will reconvene at 3 p.m. Thursday, 13 October, to discuss the International Public Sector Accounting Standards and the financial situation of the Organization, and to take up a draft resolution on programme planning.
Administration of Justice
LINDA TAYLOR, Executive Director of the Office of the Administration of Justice, introduced the report of the Secretary-General on the findings and recommendations of the Interim Independent Assessment Panel on the system of the administration of justice at the United Nations and revised estimates relating to the programme budget of the biennium 2016‑2017 (document A/71/163) and his report on the Administration of Justice at the United Nations (document A/71/164). The first report contained the Secretary-General’s comments on the Panel’s report, together with his recommendations for action and the resources required to implement them. The second report focused on the operation of the internal justice system during calendar year 2015 and responded to the requests of the General Assembly set out in resolution 70/112.
In resolution 69/203, the Assembly decided an interim independent assessment of the administration of justice system should be carried out with the aim to improve the current internal justice system. She said that, in his report on the Panel’s findings and recommendations, the Secretary-General stated that he agreed with several of the recommendations, including the addition of three new permanent full-time judges to the United Nations Dispute Tribunal in lieu of the current three ad litem judges, together with the staff to support them, in order to keep abreast of the case load. He also agreed with their recommendation to increase the Dispute Tribunal’s mobility by holding hearings in the field, providing summaries of the Tribunals’ judgments, encourage the use of mediation to resolve disputes, train managers in conflict management and review the Tribunal’s referral for accountability power in a process convened by the Internal Justice Council.
Turning to the Secretary-General’s own report on the administration of justice, Ms. Taylor said the review of the formal system in Section II of the document began with observations on the operation of the formal system of administration of justice in 2015. The report included statistics and information on their activities in 2015 and since its inception in 2009. Among its numerous observations, the report noted there was an overall decrease in the number of requests for management evaluation in 2015, though there were a greater number of requests from staff in peacekeeping and special political missions, largely due to retrenchment exercises. She noted the increase in requests by staff members for legal assistance from the Office of Staff Legal Assistance. In closing, Ms. Taylor drew the Fifth Committee’s attention to the report prepared by the Internal Justice Council (document A/71/158), which included the Council’s views and recommendations on the system of justice and its consideration of the Panel’s report.
DEBORAH MENDEZ, Director of Mediation at the Office of the United Nations Ombudsman and Mediation Services, presented the Secretary-General’s report on the activities of the Office during the period 1 January to 31 December 2015 (document A/71/157). United Nations staff worked in high-stress environments, with over 50 per cent of Secretariat staff serving in field operations, she said. Those challenging circumstances were sometimes heightened by other factors, such as interpersonal dynamics and entrenched operational processes, which, in turn, could escalate into conflicts or grievances. Her Office provided three vital functions: dispute resolution, activities to promote “conflict competence” and monitoring of systematic issues within the Organization.
In 2015, the Office had assisted in more than 2,500 cases, a 13 per cent increase compared to the previous year, she said. The number of mediation cases in particular had risen to 78 in 2015, a 22 per cent increase from 2014. That increase “heightened awareness of the benefits of mediation”, she said, adding that her Office continued to identify broad systemic issues, such as administrative delays and lack of responsiveness, the imperative of strengthening investigations and planning and communication during mission downsizing. The Office helped staff develop the skills they needed to manage conflicts constructively, and had conducted over 360 outreach activities during 2015. One of its core mandates was to help with informal conflict resolution, especially for staff based in peacekeeping and special political missions. In that regard, the Office had achieved a marked degree of success, she said, adding that, on average over the last five years, 52 per cent of the total cases handled originated from field based staff.
CARLOS RUIZ MASSIEU, Chairman of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), introduced the Advisory Committee’s report on the administration of justice at the United Nations and activities of the Office of the Ombudsman and Mediation Services (document A/71/436). Regarding the revised estimates, the Advisory Committee did not consider that any case had been made for the immediate and exceptional consideration of additional funding for the system of administration of justice outside the normal budget cycle. It recommended against the proposed additional resource requirements for the biennium 2016‑2017. Turning to the administration of justice report, the Advisory Committee believed the Secretary-General could provide comments on the recommendations on systemic issues contained in the Ombudsman’s report for the same session and recommended such information be included in the next annual report. The Advisory Committee stressed the continued importance of the informal part of the system of the administration of justice in taking early action to prevent or limit cases of litigation.
DHISADEE CHAMLONGRASDR (Thailand), speaking for “Group of 77” developing countries and China, said that the system of administration of justice was a parameter of an effective human resources management and accountability tool. The Group believed the current system had made a good start, but that some areas could still be improved, noting that the Panel had made a total of 58 recommendations in that regard. The Group of 77 would consider each recommendation, as well as the comments of the Secretary-General to establish an independent, transparent, professionalized and decentralized system of justice, which would be consistent with the rule of law, international law and due process. That would ensure the accountability, rights and obligations of managers and staff members.
The Group also noted that there was an increase of applications of the system of administration of justice, he said. In light of transformations under way, such as the implementation of the common system compensation package, he reiterated the Group’s appeal that a dialogue-oriented culture be fostered across the Organization to prevent potential future conflicts.
SIMONA PILLERI, European Union, reiterated the importance of the timely submission of all required documentation in all official languages. She strongly regretted that the Advisory Committee’s report had only been made available shortly before the introduction of the agenda item and urged the Secretariat to make every effort to provide Member States with appropriate documentation on time.
The European Union shared the views of the Panel and the Secretary-General that the system of administration of justice to a great extent met its objectives, and was an improvement to its predecessor, she said. Noting that the system was still evolving and that there was room for improvement, she reiterated the need to ensure that it embodied the principles of independency, transparency and professionalism. Recognizing that the informal resolution of disputes was a crucial element in the administration of justice, the Union was encouraged to see that outreach activities had raised staff awareness of the informal system. In conclusion, the European Union called on the General Assembly to ensure that any improvements to the system of justice were justified in terms of real need and clear qualitative outputs.
ALEXANDRA BAUMANN (Switzerland), also speaking for Liechtenstein, highlighted four points that were particularly important to improve the administration of justice at the United Nations. First, improving policies, processes and investigative procedures within the Organization would enable greater efficiencies and reduce the number of complaints and the costs of justice. She endorsed the Panel’s recommendations to provide access to the system for the total workforce, as it was problematic that 45 per cent had no access to the United Nations internal system of administration of justice. Switzerland was concerned about the lack of protection from retaliation and believed it was essential that the United Nations had a climate in which staff members felt safe to report any misconduct in order to uphold the Organization’s high standards of professionalism and integrity. She also commended the Office of Ombudsman and Mediation Services on its excellent work and believed its observations were very valuable.
KEISUKE FUKUDA (Japan) said that the 58 recommendations in the review showed that the administration of justice faced many challenges. Although the system had contributed to enhancing accountability and credibility, there was still room to improve some aspects. Japan emphasized the need to foster a cooperative mentality and culture of direct communication between management and staff. The right of appeal was a fundamental right for all staff members and must not be infringed on. Both management and staff should be made aware of the advantages and disadvantages of appealing in the light of one’s career development and reputation management. In order to make further progress, the justice system must continue to work to close the gap between the current situation and the ideal one, he concluded.
CHERITH NORMAN CHALET (United States) said she was pleased that the Panel had found the current administration of justice system was more independent, transparent, professional and decentralized than the former one and better equipped to handle the caseload. Since its creation in 2009, the system had increased managerial accountability and empowered staff to seek redress to ensure that justice was served. The United States recognized the important work of the Ombudsman’s office in streamlining and rationalizing the administration of justice. It welcomed additional ideas on how to use that information system to continue to avoid unnecessary litigation. Regarding the remit of the Organization’s internal justice system, the United States believed there should be clear information on dispute resolution for all parties performing work for the United Nations. It continued to have reservations about extending access to the United Nations internal justice system to non-staff personnel and believed contracts and other agreements with such personnel should continue to make clear how disputes could be resolved. Expanding the system would double the number of individuals with access to it and require a doubling of judges, staff and lawyers working in the system. The Organization’s focus should be to make priorities on tangible aspects of reform, which would produce real improvements and improve the Organization’s approach to human resources management.
Implementation of New Common System Compensation Package
VICTOR KISOB, Officer-In-Charge of the Office of Human Resources Management, introduced the Secretary-General’s note on the implementation of the new common system compensation package in the United Nations Secretariat (documents A/70/896 and A/70/896/Corr.1). The General Assembly had decided that the changes to the new package for staff in the Professional and higher categories would come into force 1 July 2016. Those changes included modification of the eligibility requirement for repatriation grants, changes to relocation elements and changes to field allowances in addition to decisions that the proposed unified base/floor salary scale structure should come into force on 1 January 2017 and the education grant on 1 January 2018.
On July 2016, the Secretariat had implemented the majority of the new compensation package except for two elements: the introduction of the mobility incentive in lieu of the mobility allowance and the discontinuation of the non-removal element, he said. Those were delayed due to testing requirements and the need for data clean-up. Furthermore, implementation of the unified base/floor salary scale would not be possible until 1 September 2017. The Secretary-General had, in May, presented a summary of the technical and operational challenges that had caused unavoidable delays. The delays were not attributable to the enterprise resource planning system vendor, but to the complexity in the computer coding required, he underscored.
He noted that the 1 January 2017 changes to a unified salary scale and related dependency allowances would affect all internationally recruited staff in both the Professional, higher and field service categories and would affect “most lines in the monthly payslip of those staff”. It was paramount that the Secretariat implemented the compensation package with as minimal issues as possible, as inaccuracies and the high level of risk could increase legal and financial liabilities, he warned.
The Secretariat had identified an interim mitigation solution that would allow it to implement the unified scale as of 1 January 2017, as mandated by the General Assembly, he said. The interim mitigation solution would minimize the variations in staff’s monthly net pay between what they should receive and what they would actually receive during the delay period from 1 January to 31 August 2017. The steps taken by the Secretariat, including the interim mitigation solution, would not have an impact on the expected saving associated with the various elements of the package, he concluded.
Mr. RUIZ MASSIEU introduced the Advisory Committee’s report on the implementation of the new common system compensation package in the United Nations Secretariat (document A/70/961). He said the Advisory Committee recognized the challenges faced by the Secretariat in implementing the new compensation package for the Professional and higher categories. It was not fully convinced that it was operationally not possible to carry out the new compensation package and maintain the mandated effective dates. The Advisory Committee considered that alternative options should be explored for implementing the changes to the compensation package on a retroactive basis. The Advisory Committee expected that, pending a decision by the General Assembly, the Secretary-General would ensure that the implementation of the new compensation package fully complied with the mandated effective dates set out in Assembly resolution 70/244. The Advisory Committee expressed its expectation that the Secretary-General would keep staff fully informed, including by issuing any additional relevant administrative instructions.
SIRITHON WAIRATPANIJ (Thailand), speaking on behalf of the Group of 77, reaffirmed support for the proposals of the International Civil Service Commission on the common system compensation package. She noted with concern, however, delays on the part of the Secretariat in implementing some elements of the new compensation package for staff in the Professional and higher categories due to technical and operational challenges. The Group recognized the importance of the common system, as the Commission had taken three years in order to arrive at a total review of the compensation package, which had been prepared in consultation with all interested parties and stakeholders. While recognizing the complexity of the issue, she said, the Group hoped that the Secretariat would pursue its efforts to find a solution to implementing the compensation package in full compliance with mandates from the General Assembly with due regard to staff benefits and entitlements.
BACHAR BONG ABDALLAH (Chad), speaking on behalf of the African Group and associating himself with the Group of 77, reaffirmed support for initiatives that would enable the Organization to efficiently and effectively deliver on its mandates. The Group was also committed to implementation of the compensation package as approved by the General Assembly. The African Group noted with very serious concern the challenges behind the implementation schedule and stressed the need for all stakeholders to do more to fix obstacles as a matter of priority, he said. It also encouraged the Secretary-General to ensure that managers carried out outreach efforts in order to inform beneficiaries on the challenges being faced and the expected dates for solutions.
CARMEN CSERNELHÁZI, European Union, recognized the challenges faced by the Secretariat in implementing the new compensation package for staff in the Professional and higher categories. It was encouraged by the confirmation just given that a solution had been identified that respected the implementation dates mandated by the Assembly and limited the need to carry out a recalculation of staff payments. The European Union trusted that could be done in the most efficient and effective manner. It stressed the importance of maintaining coherence among United Nations common system organizations. It trusted the Secretary-General would ensure the new compensation package’s implementation was fully compliant with the mandated effective dates laid out in Assembly resolution 70/244 and stressed the importance of keeping staff fully informed of developments.
KEISUKE FUKUDA (Japan) expressed concern that suspending implementation of a new common system compensation package in the Secretariat would affect the application of the Staff Rules and Regulations by other United Nations entities. Those might not introduce new compensation packages, even though many had been addressing the need to modify their operational systems on compensation and had implemented them on schedule. Japan was aware that policy and operational systems worked together and that good operational systems were essential for good policy management. That being said, the Secretariat had to make every effort to reflect General Assembly decisions in its policies, and it should not ask for a suspension without proposing an alternative. The Secretariat should therefore put the revised salary scales into effect as scheduled by 1 January, 2017, while gaining the understanding of staff members through better communication.
EVGENY V. KALUGIN (Russian Federation) said his delegation was very concerned about the delays in implementing the new staff compensation package and that the proposal to delay would lead to lost benefits to the budget. The time delays would mean 2016 would be considered as a loss. The compensation package had been approved by the General Assembly in December 2015, but only in May 2016 had the Secretary-General notified of delays in its implementation. He asked the Fifth Committee to consider the General Assembly’s decision to implement the package fully and without delay according to its original timeline. Any postponement would cause a significant imbalance in the Organization’s services. Furthermore, there was a need to consider cost neutrality, and any extra expenses should be covered by existing resources.
JULIA ANSELMINA MACIEL GONZÁLES (Paraguay) reaffirmed her country’s support for the proposals presented by the International Civil Service Commission on the new common system compensation package. Her delegation recognized the significance of the common system and the need to revise the compensation package for staff members. Paraguay was concerned about the delays in implementing some of the new elements of the package for staff in the Professional and higher categories, she said, adding at the same time that her Government recognized that complex issues like this reform required changes in technical, financial, human, administrative resources. Paraguay expected the Secretariat would continue its efforts to find a speedy and practical solution for implementing the common package in full compliance with the mandate established by the General Assembly.
Ms. NORMAN CHALET (United States) thanked the Secretariat for its work on the implementation of the new compensation package and its briefing. The United States appreciated the efforts and the timelines set in December 2015. It looked forward to consultations on the issue in coming days and any decisions that might be needed.