EU Presidency Statement - The UN pension system

Mr President,

I have the honour to speak on behalf of the European Union. The countries of Central and Eastern Europe associated with the EU (Bulgaria, Czech Republic, Estonia, Latvia, Lithuania, Poland, Romania, Slovenia) , the associated countries (Cyprus and Malta), and the EFTA countries which are members of the European Economic Area (Iceland and Norway) align themselves with this declaration.

The European Union would like to thank the Chairman of the International Civil Service Commission, Mr Bel Hadj Amor, for presenting the Commission's report for 2000. It also takes note of the statements made by the representatives of the staff associations. We would also like to thank the Chairman of the Joint Committee of the United Nations Joint Staff Pensions Fund, the Under Secretary-General Mr Joseph Connor, the Assistant Secretary General for Policy Coordination and Inter-Agency Affairs and the Chairman of the Advisory Committee on Administrative and Budgetary Questions, for the presentations which they have given to the Commission.

First of all, the European Union wishes to reaffirm the importance which it attaches to matters concerning the staff of the Organisation. The conditions of employment which they are offered are vital if the most competent staff are to be attracted to and retained in the service of the UN.

Thus we are convinced of the importance of the common system for ensuring, as far as possible, consistency in the conditions of employment in the system as a whole, so that staff in different organisations are treated equally and the organisations participating in the common system are relieved of the task of administering separately questions related to remuneration. However, consistency in conditions of employment must not be to the detriment of improvements in the flexibility of the common system, something which we are anxious to see. For all these reasons we support the role played by the International Civil Service Commission and reaffirm the importance which we attach to its independence.

Allow me to make some brief comments on the report from the International Civil Service Commission.

The European Union notes with interest the Framework for Human Resources Management adopted by the Commission and welcomes the fact that a set of guidelines for human resources management has been drawn up for the common system. It believes that the governing bodies of the participating organisations should take note of it and use it as a starting point in their own discussions on the issue.

We would welcome future follow-up information from the Commission as to the level at which the Framework has been considered by the common system organisations in the formulation of their human resources management policies and the means by which the Commission will measure the success or otherwise of its work in this area.

As regards the examination of the pay and benefits system, the European Union welcomes the Commission's decision to focus its efforts on this issue which is crucial for maintaining the attractiveness of the Organisation. It backs the development of comprehensive and innovative approaches intended to create a system of remuneration which is more dynamic and directly linked to competence, responsibility and results.

The European Union reaffirms the importance it attaches to the development of a system of effective incentives to staff to learn and use more languages, and takes note of the Commission's decision to examine this matter in the context of the study of all the allowances in the common system.

As regards the education grant, the European Union welcomes the decisions the Commission has reached on the scope, purpose and implementation of this grant and on its level.

The European Union is concerned that the margin between grades at the senior managerial levels is so narrow. The net salaries of American Federal civil servants seem to be consistently growing faster than the salaries of United Nations officials. It approves of the raising of the minimum basic salary scale for administrators and officials of higher rank as recommended by the Commission. Nevertheless, it feels that the Commission should consider raising the minimum basic salary scale in real terms.

As for strengthening of the international civil service, the European Union welcomes the Secretary-General's report. As it stated at the 54th session of the General Assembly, it feels that such a study of the ICSC, in which the Commission itself would take part, could be a useful step in the process of modernising the Organisation's personnel management. The European Union believes that the Secretary General's report on strenghtening the international civil service constitutes an excellent basis for a review exercise. The European Union shares the Secretary General's analysis of the challenges facing the common system, of the role of the ICSC in helping to modernise the international civil service and contribute to reform and management of change. The European Union agrees with the issues to be addressed by the review group as set out in section V of A/55/526. It is now essential to proceed with this exercise.

The European Union wishes to pay sincere tribute to the remarkable work of Mr Gieri at the head of the United Nations Joint Staff Pension Fund. We would also take the opportunity to welcome Mr Cochemé, who will be taking over from him, and wish him every success in his new job.

I should now like to turn to the report of the Joint Committee of the United Nations Joint Staff Pension Fund.

The European Union notes with satisfaction that the actuarial assessment reveals a surplus for the second time in succession, after twenty years of deficit. It also notes the positive returns on the Fund's investments in the last eighteen years and would express its satisfaction at the excellent financial results obtained. It subscribes to the conclusions of the Joint Committee on the need to follow prudential rules and comply with General Assembly Resolution 53/210 of 18 December 1998 in which the Assembly stated that the pensions system should not be changed until a pattern of surpluses emerges in future valuations. It salutes the efforts made by the representative of the Secretary-General, the investment management staff and the members of the Investments Committee on behalf of the Fund.

As regards the right of spouses and ex-spouses to a survivor's pension, the European Union is in favour of making the conditions listed in Article 35a of the Statutes of the Fund more flexible. This issue will be raised at the informal consultations.

The European Union notes that, in a multicultural environment, the Joint Committee of the Joint Pension Fund has not yet considered the case of partners of the same sex or of different sexes, although some countries' legislation does so. The current rules on pensions could still give rise to discrimination in this respect. The European Union has taken note of the exchange of views held by the Joint Committee, mentioned in paragraphs 184 and 185 of the report. It feels that it would be useful to look into this matter further.

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• EU Presidency Statement - UN Joint Staff Pension Fund (24/10/2003)
• EU Presidency Statement - Improving the financial situation of the UN (15/3/2002)