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Personnel matters Report by the Director-General Contents Developments on personnel-related matters The Organization continued to strengthen its field presence by increasing the number of Professional staff ( international and local ) in the field . As of 1 September 2008 there were 56 Professional staff in the field ( 39 international and 17 national ) , which constitutes a 43 per cent increase since the field mobility policy was launched in April 2006. The modalities of implementation of the Young Professionals Programme ( YPP ) were finalized and a policy document was issued containing provisions for the recruitment and career management of those to be recruited under this programme . The programme aims at facilitating succession planning , knowledge retention and rejuvenating the workforce through the recruitment , on a competitive basis , of young talent into the Organization . The programme targets individuals under the age of 30 who will be recruited for a three-year fixed term appointment at the P-1 level . Once recruited they will follow a managed development programme , including the possibility of a field assignment . The YPP includes ten positions in the Programme Development and Technical Cooperation ( PTC ) and the Programme Coordination and Field Operations ( PCF ) Divisions . A revised learning policy has been presented for staff/management consultations to the Joint Advisory Committee ( JAC ) . The policy recognizes the fact that UNIDO 's most important resource is its staff and the knowledge and technical expertise embodied in them . It takes into consideration the challenging and dynamic business environment , in which UNIDO is operating as well as the need for the Organization to be a learning organization . The policy also introduces some measures to encourage continuous flow of knowledge and ideas between the Organization and the external environment through partnerships and exchanges with educational and research institutions as well as other organizations . Following the success of the leadership development programme that was implemented in 2007 for managers , the Organization has introduced a management development programme for all Professional staff at the P-1 to P-4 levels as well as National Programme Officers . The programme is made up of three specific modules and seeks to enhance staff members ' management skills and competencies in achieving results through working with other people and leading their subordinates . The programme will continue over two years . In addition to its regular training programmes , the Organization also introduced a number of training events to familiarize and update staff with its various administrative rules and processes . Programmes were run on the Financial Performance Control System ( FPCS ) and project management . A mandatory procurement training programme was introduced to ensure that staff members involved in procurement activities have sufficient knowledge of the related rules . Participants in the first phase of this programme do a self study of the Procurement Manual following which they undertake an intranet-based test . Upon successful completion of the test , they receive a certificate . Advanced training on procurement will also be provided covering issues such as preparing technical specifications and terms of reference , evaluating offers , procurement ethics and fiduciary oversight . Staff in duty stations away from Headquarters were also invited for a one week training programme organized in Vienna . The training included staff assigned to Investment and Technology Promotion Offices and other offices . The training focused on supporting staff in these offices to increase the offices ' level of efficiency and effectiveness . Good employee relations remained a high priority for management and various actions were implemented to ensure staff engagement . The year was marked by an intensification of staff/management consultations , especially within the framework of the Joint Advisory Committee ( JAC ) . During the relevant period , meetings were held regularly ( at least once a month ) , during which staff and management representatives discussed various issues related to staff welfare , conditions of work , reviewed existing policies and consulted on new ones . The discussions included such subjects as the UNIDO Young Professionals Programme , the UNIDO policy on protection against retaliation for reporting misconduct and for cooperating with duly authorized audits and investigations , the UNIDO policy on learning and performance appraisal . JAC discussions will also include the UNIDO Code of Conduct and the financial disclosure programme . The Director-General continued to meet directly with randomly selected staff members in the context of his initiative “ Dialogue with the Director-General ” . Two such meetings were held in 2008 and they continued to be a valuable forum for generating proposals , inputs and feedback on organizational issues . A similar initiative has been introduced by the Managing Director of the Programme Development and Technical Cooperation Division ( PTC ) . In addition to meeting with the Professional staff as part of the performance appraisal process , he also met with his General Service staff . The views generated from such meetings will serve as valuable inputs for management decision-making . Common system developments Salary scale for staff in the Professional and higher categories Schedule I to the staff regulations . The concept of the base/floor salary scale was introduced by the United Nations General Assembly in resolution 44/198 , section I. H , of 21 December 1989. The scale is set by reference to the salary scale of the comparator civil service ( the federal civil service of the United States of America ) in Washington , D. C. Periodic adjustments are made on the basis of a comparison of net base salaries of United Nations officials with the corresponding salaries of their counterparts in the United States federal civil service . By resolution 62/227 of 21 December 2007 , the General Assembly approved , with effect from 1 January 2008 , a revised base scale for staff in the Professional and higher categories . The scale reflects the consolidation , on a no loss/no gain basis , of 1.97 multiplier points of post adjustment into the base salary scale . The increase of the base/floor salary scale by 1.97 per cent does not affect the level of remuneration of staff , as the post adjustment portion has been reduced by the amount consolidated into the base salary . Upon implementation of the revised base salary scale , revised post adjustment indices and multipliers have been established by the International Civil Service Commission ( ICSC ) for all duty stations . Changes in post adjustment multipliers due after 1 January 2008 have been effected on the basis of the movement of the newly consolidated post adjustment indices . The revised base salary scale for staff in the Professional and higher categories , effective 1 January 2008 , is set out in annex I to this document . The financial implications of the consolidation of 1.97 per cent of post adjustment into base salaries on a no gain/no loss basis normally had an impact on two groups of staff entitlements , namely the hardship/mobility allowance and the repatriation grant . Following changes in the hardship and mobility scheme effective 1 January 2007 ( see below ) , this allowance is no longer linked to the salary scale and is no longer relevant in connection with the consolidation process . As for the repatriation grant , the consolidation resulted in a similar increase in the payments of this entitlement to eligible staff . The programme and budgets , 2008-2009 , as approved by Member States , contains provisions to absorb the related cost increases . Matters related to the staff rules Pensionable remuneration for staff in the Professional and higher categories Appendix C to the staff rules . In accordance with Article 54 ( b ) of the regulations of the United Nations Joint Staff Pension Fund , the scale of pensionable remuneration for the Professional and higher categories must be adjusted on the same date and by the same percentage as the net remuneration of United Nations officials serving in New York . In accordance with this provision , ICSC promulgated revised scales of pensionable remuneration effective 1 September 2007 and 1 August 2008. These were promulgated in appendix C to the staff rules and are contained in annexes II and III to the present document . Salary scale for staff in the General Service category Appendix A to the staff rules . In accordance with the Flemming principle , General Service staff shall have pay and other conditions of employment that match the best on offer at the duty station . The principle was first stated in 1949 by a body of experts on pay established by the United Nations General Assembly . It is the cornerstone of the methodology followed by ICSC for the conduct of local salary surveys . Based upon the Flemming principle , staff regulation 6.5 ( a ) provides that “ The Director-General shall fix the salary scales for staff in the General Service and related categories , normally on the basis of the best prevailing conditions of employment in the locality , taking into account the recommendations of the International Civil Service Commission . ” According to the approved ICSC methodology , which takes account of changes in the consumer price and wages indices over a period of 12 months , and in consultation with the other Vienna-based organizations , the Director-General implemented effective 1 April 2007 an interim adjustment of the salary scales for General Service staff of 1.96 per cent . The revised scale is contained in annex IV to the present document . Assignment grant and mobility/hardship allowance Appendix N to the Staff Rules has been amended to reflect changes to the mobility and hardship scheme effective 1 January 2007 , as approved by the General Assembly in its resolution 61/239 of 22 December 2006 on the recommendation of the International Civil Service Commission . Following extensive consultations on the modalities of implementation of the revised scheme among the United Nations Common System Organizations , the scheme was implemented with appropriate transitional measures . The new Appendix N containing the revised conditions is shown in annex V to the present document with deletions shown in square brackets and amendments being underlined . Staff rule 103.12 on Appointment and Promotion Board Staff rule 103.12 ( a ) ( i ) has been amended to indicate that posts in the General Service category in field duty stations are exempt from submission to the General Service Selection Panel of the Appointment and Promotion Board . The revised staff rule 103.12 ( a ) ( i ) is contained in annex VI to the present document with amendments being underlined . The amendment was introduced in the interest of efficiency while the competitive process was maintained and is implemented locally . Financial implications The financial implications of the above changes have been anticipated in the programme and budgets for the biennium 2008-2009 . Social Security Agreement Negotiations between UNIDO and the Republic of Austria regarding a new social security agreement as a supplementary agreement to the Headquarters Agreement of 1995 ( decision GC.6/Dec.21 refers ) have been concluded . The agreement will be presented to the Board at its thirty-sixth session for approval and may be provisionally applied pending its approval by the Industrial Development Board and the General Conference and its entry into force . Action required by the Board The Board may wish to consider the adoption of the following draft decision : “ The Industrial Development Board ; “ ( a ) Takes note of the information contained in document IDB.35/13 ; “ ( b ) Notes the amendments made in pursuance to staff regulation 13.3 to schedule I of the staff regulations in order to bring them into conformity with the decision of the General Assembly set out in resolution 62/227 ; “ ( c ) Also notes the amendment to appendices A , C and N to the staff rules and to the staff rule 103.12 ( a ) ( i ) . ” Annex I Schedule I Salary scales for the Professional and higher categories showing annual gross salaries and the net equivalents after application of staff assessment ( in United States dollars ) Effective 1 January D=Rate applicable to staff members with a dependent spouse or child . S=Rate applicable to staff members with no dependent spouse or child . Annex II Appendix C Scale of pensionable remuneration for the Professional and higher categories ( For purposes of pension benefits and pension contributions ) ( in United States dollars ) Effective 1 September 2007 Annex III Appendix C Scale of pensionable remuneration for the Professional and higher categories ( For purposes of pension benefits and pension contributions ) ( in United States dollars ) Effective 1 August 2008 Annex IV Appendix A Salary scales for staff in the General Service category showing annual gross , gross pensionable and net salary after application of staff assessment ( in Euros ) Effective 1 April 2007 * Long-service step Annex V Appendix N Assignment grant and mobility/hardship allowance Assignment grant ( a ) No change . ( b ) No change . ( c ) No change . ( d ) No change . ( e ) The lump sum portion of the grant shall normally be payable only to staff members for whom no entitlement to removal exists . It shall be paid to them according to the following rates : ( i ) At H duty stations : for staff in the Professional and higher categories and project personnel , one month 's net base salary plus post adjustment applicable to the duty station at the staff member 's grade , step and rate ; for internationally recruited General Service staff , one month 's net base salary , plus any language allowance and dependency allowance in respect of a dependent spouse or first dependent child , whichever is applicable , at the staff member 's grade and step ; ( ii ) At all other duty stations : for staff in the Professional and higher categories and project personnel for assignments expected to be of three years or more , two months ' net base salary plus post adjustment applicable to the duty station at the staff member 's grade , step and rate ; for internationally recruited General Service staff , two months ' net base salary , plus any language allowance and dependency allowance in respect of a dependent spouse or first dependent child , applicable to the duty station at the staff member 's grade , step and rate . If the staff member did not remain for at least three years , recovery of a one-month lump sum shall be effected . If , however , the staff member 's appointment or expected duration of assignment to the duty station is for two years or less , only one month 's net base salary ( plus appropriate additional elements ) is payable ; the second month 's net base salary ( plus appropriate additional elements ) is payable at the start of the third year at the duty station if the staff member 's appointment or assignment is extended to a total period of three years or more . ( f ) No change . ( g ) No change . ( h ) No change . ( i ) No change . ( j ) No change . Mobility/hardship allowance ( a ) Staff members in the Professional and higher categories , including project personnel and internationally recruited General Service staff members , who are appointed or assigned to a duty station for one year or more shall be eligible for the payment of a mobility/hardship allowance . The allowance shall be paid according to the staff member 's entitlements with respect to the following components of the allowance : ( i ) The mobility element , as an incentive [ to staff of organizations participating in the United Nations common system to accept reassignments to different duty stations ] for the geographic mobility of staff ; ( ii ) The hardship element , [ as an incentive to staff to serve at field duty stations with varying degrees of hardship ] as compensation for the varying degrees of hardship at different duty stations ; ( iii ) The non removal element , as compensation for the non removal of personal effects and household goods . ( b ) [ The staff member 's entitlement to the allowance are reckoned in terms of percentage points of a base salary rate , as defined in paragraph ( d ) below . With respect to each of the three elements , the percentage points may be accrued as follows : ] Lump sum payments of the mobility/hardship allowances are made in the form of flat amounts set by the International Civil Service Commission . The amount of the allowances payable to each eligible staff member may vary as follows : ( i ) Mobility [ element : ] allowance : At H duty stations , nil for the first three assignments . Mobility allowance is paid upon [ 4 percentage points for ] the fourth assignment ( provided that at least two of the previous assignments were at A-E [ field ] duty stations ) . [ and 6 percentage points for the fifth and subsequent assignments ; ] For payment purposes , the number of assignments are grouped as four to six assignments and seven or more assignments ; b. At [ all other ] A-E duty stations , nil for the first assignment[ ; ] . Mobility allowance is paid upon [ 10 percentage points for ] the second assignment . -[and 2 additional percentage points for each subsequent assignment up to and including the fifth assignment ; ] For payment purposes , the number of assignments are grouped as two to three assignments , four to six assignments and seven or more assignments ; ( ii ) Hardship [ element ] allowance : nil for H and A duty stations . [ and 8 , 15 , 20 and 25 percentage points ] Payments begin with first assignment to [ for ] B , C , D and E duty stations [ respectively ] ; ( iii ) Non removal [ element ] allowance : [ 3 percentage points at H duty stations and 5 percentage points at all other duty stations . ] Flat amounts are paid for duty stations H to E. [ ( c ) The matrix below shows the various combinations of percentage points that may be accrued cumulatively on account of the three elements of the allowance . Mobility/hardship allowance matrix a Plus 3 per cent if the staff member is not entitled to the removal of household goods . b Provided that the staff member has previously served on two or more assignments in A E duty stations , otherwise no entitlement is payable . c Minus 5 per cent if the staff member receives full household removal . ] [ ( d ) ] ( c ) [ The actual amount of the allowance is determined by applying the percentage points to a base salary rate , which is equivalent to the net base salary of staff at the mid point of the Professional salary scale , i. e. P 4 , step VI , at the dependency rate . This base salary rate is applicable to staff at levels P 4 and P 5. It is increased by 13 per cent for staff at levels D1 and above and reduced by 13 per cent for staff at levels P 1 to P 3 and internationally recruited General Service staff . For staff who have no dependent spouse or child , the allowance is calculated at 75 per cent of the base salary rate appropriate to their grade . ] The mobility/hardship allowances are flat amounts . Payments are differentiated by the following grade groupings : P-1 to P-3 and internationally recruited General Service staff , P-4 and P-5 and D-1 and above . Single staff shall receive 75 per cent of the flat amount paid to staff with dependants of the corresponding grade range . [ ( e ) ] ( d ) The mobility/hardship allowance is payable to all eligible staff [ including those serving in their own country ] and is non pensionable . [ The allowance is normally paid in a lump sum at the beginning of each 12 month period that the staff member is expected to remain at the duty station or pro rata as appropriate . ] [ ( f ) ] ( e ) The allowance shall be payable at the dependency rate to a staff member with recognized dependants , irrespective of where the dependants actually reside . When both husband and wife are staff members entitled to the allowance , it shall be paid to each of them in an amount calculated on the basis of his or her own salary level . [ ( g ) ] ( f ) Staff members who are assigned to a particular duty station and are then placed in travel or mission status while in receipt of a daily subsistence allowance ( DSA ) shall be eligible for the mobility/hardship allowance in respect of the duty station to which they were originally assigned and not in respect of the duty station at which they are in travel or mission status . Mobility element [ ( h ) ] ( g ) Entitlement to the mobility element is subject to the requirement that the staff member concerned should have had five or more consecutive years of service in an organization participating in the United Nations common system . This requirement may be considered as met if the staff member has accumulated five years of service within a period of six consecutive years . Continuity of service is not considered as broken by periods of special leave without pay , but full months of any such period are not to be credited as service for the purpose of this allowance . [ ( i ) ] ( h ) In counting the number of assignments for the application of the mobility element , the following guidelines will be taken into account : ( A ) An assignment will not be counted as such unless it involves the installation of the staff member at the duty station ( i. e. payment by the Organization of travel expenses and the assignment grant ) except in the case of an initial appointment for one year or more where no travel expenses and assignment grant have been paid ; ( B ) Any period of service on travel or mission status while in receipt of DSA will not be counted as an assignment . However , if such status is extended beyond one year at the same duty station , that period will be so counted ; ( C ) If a staff member is posted to a duty station for an initial period of less than one year and the period is subsequently extended so that service at the duty station equals or exceeds one year , such service will be counted as an assignment ; ( D ) In the case of consecutive assignments of less than one year at different duty stations during which the staff member is paid post adjustment under staff rule 106.04(c)(i ) or 206.12(d ) , the combined periods of such assignments may be counted as one assignment ; ( E ) If a staff member is assigned to a duty station for a period of one year or more and the period is subsequently reduced on the initiative of the Organization to less than a year 's duration , such service should normally be counted as an assignment . [ ( j ) ] ( i ) Transfers , secondments and loans to other organizations participating in the United Nations common system are treated in the same way as movement within the Organization for the purpose of the mobility element , i. e. in order to be counted as an assignment , such transfers , secondments and loans should be for a period of one year or more and involve a change of duty station . [ ( k ) ] ( j ) The mobility allowance is paid in monthly instalments . Payment ceases after [ After ] five years of service at the same duty station . [ , the mobility element is reduced by 10 percentage points on the matrix ; and if the duty station is one of the H duty stations , the mobility element will be reduced to nil . This limited period of five years may exceptionally be extended by the Organization up to one more year , if the staff member : ( a ) remains at the duty station on the initiative of the Organization ; or ( b ) is expected to be reassigned before the end of the sixth year . ] Hardship element [ ( l ) ] ( k ) The hardship element is payable from the initial appointment or the first assignment of a staff member to any of the duty stations classified in the B , C , D or E category , provided that the staff member meets the general conditions of eligibility for the allowance . Payments are made in monthly instalments . It remains applicable for the entire duration of the staff member 's service at the duty station and for as long as that duty station remains classified in the category concerned . Upon a change in the classified category , an appropriate adjustment of [ the percentage points for ] the hardship element and the resulting amount of payment will be made . Non-removal element [ ( m ) ] ( l ) The element for non removal is applicable for a maximum period of five years at one duty station , provided the staff member is not entitled to a removal of household goods , irrespective of the length of his or her total consecutive service with an organization participating in the United Nations common system or at the duty station . Payments will be made in a lump-sum at the beginning of the assignment , up to a maximum of five years . [ This period may , exceptionally , be extended for up to two more years at the discretion of the Director-General . ] Annex VI Staff Rule 103.12 Appointment and Promotion Board ( a ) ( i ) An Appointment and Promotion Board shall be established by the Director-General to give advice on the appointment and promotion of staff in the Professional and General Service categories , and at the D-2 and D-1 levels , except for staff in the Office of the Director-General , heads of the Bureaux reporting to the Director-General , entry grades G-1/G-2 in the General Service category and staff in the General Service category serving at field duty stations ; For reasons of economy , this document has been printed in a limited number . Delegates are kindly requested to bring their copies of documents to meetings .