General Assembly approves reforms to improve organization's functioning and efficiency.

The 1986 General Assembly convened under the shadow of the most serious financial crisis in United Nations history - one that threatened not only the Organization's immediate solvency but also, many feared, its long-term viability.

When the Assembly suspended its forty-first session on 19 December, the financial crisis was still grave. But among the world body's last actions before adjourning for the year was adoption of measures aimed at extensive long-range functional reforms.

For the short term, the Assembly approved economy measures proposed by the Secretary-General to meet an $85 million shortfall anticipated for 1987, and appealed to Member States to meet their financial obligations to the United Nations by paying their assessed contributions in full and on time and clearing up any arrears (see accompanying stories).

For the longer term, the Assembly, after weeks of extensive negotiations, agreed on wide-ranging measures to improve the administrative and financial functioning of the Organization, including new guidelines for decision-making on the programme budget (resolution 41/213).

"The adoption of this historic resolution can truly be considered an achievement of this session of which all of us can be justly proud", Assembly President Humayun Rasheed Choudhury (Bangladesh) declared after the consensus text was approved on 19 December. "We still have a long way to go. The changes introduced in the budgetary process in an effort to seek the much eluded broadest agreement will have to undergo the acid test of practicability. I earnestly hope that Member States approach this challenge with vision and a sense of commitment", he said.

Even Fontaine-Ortiz of Cuba, Chairman of the Assembly's Fifth Committee (Administrative and Budgetary), said that the body had shown itself to be a political as well as technical Committee, carrying out its work with dignity and skill, and finishing in record time. It had been faced, with an "historic opportunity to make an extremely valuable contribution to the future of the Organization".

Under the terms of resolution 41/213, the Assembly decided that the 71 recommendations as agreed upon and as contained in the report (A/41/49) of the Group of High-level Intergovernmental Experts to Review the Efficiency of the Administrative and Financial Functioning of the United Nations - the "Group of 18" - should be implemented, subject to certain qualifications. It also approved a reformed budget process, setting out 11 specific guidelines formulated during negotiations which virtually spanned the length of the Assembly session.

In adopting the text, the Assembly reaffirmed the requirement of all Member States to fulfil their financial obligations, as set out in the Charter, "promptly and in full". It also recognized the "detrimental effect of the withholding of assessed contributions" on the Organization's administrative and financial functioning, and that late payments adversely affected the short-term financial situation of the Organization.

'Without precedent'

The measures for streamlining the Organization were "without precedent in their scope and detail", Secretary-General Javier Perez de Cuellar affirmed, stating they provided "a blueprint.for a more efficient United Nations" and "a sound basis for changes that will bring new confidence in the effectiveness and efficiency of the Organization and facilitate the agreement among Member States on the programmes and budget that is necessary for financial and political viability."

Implementation of the measures would be a "complex and demanding undertaking", the Secretary-General acknowledged, pledging his total commitment to that endeavour. He envisioned 1987 as a "year of transition ... in which we undertake purposefully the reforms that can be quickly begun and lay the groundwork for further rationalization of structures and operations through the reviews and studies that are to be made".

A major requirement for building a stronger United Nations, stressed the Secretary-General, was full payment by Member States of their assessed contributions in accordance with the Charter. The reform process "must be accompanied by an end to the present financial uncertainties if the United Nations is to meet successfully the challenges and opportunities of the future", he said.

Although the Group of 18 discussed the scale of assessments, it made no recommendations in that regard.

The issue of non-payment and late payment of assessments remained a foremost concern to delegates throughout debate in both the plenary and Fifth,committee. The Committee, in its report to the Assembly (A/41/795) on the Expert Group's recommendations, affirmed that payment of assessed contributions "affects directly the efficiency of the administrative and financial functioning of the United Nations, not only in the short but also in the medium and long term".

Assembly action

An exhaustive consultative process went into the making of resolution 41/213 on administrative and budgetary reforms. After debating the Group of 18 report from 10 to 15 October, the Assembly turned it over to the Fifth Committee to undertake, "within the scope of its responsibilities ... a factual examination of the report and submit its findings to the plenary".

The Assembly, after receiving the Fifth Committee's report on 6 November, endorsed the President's formation, first of a small |contact group' to help him identify areas of agreement and divergence on the experts' recommendations. This was followed by 4 larger "consultative group" of 27 members organized along regional lines, which was formed to seek ways to narrow the outstanding differences. Thereafter, a "negotiating group", working under the chairmanship of the Assembly President, was convened, at which an agreed upon text of a draft resolution was elaborated (A/41/L.49). That draft resolution was then considered by a Committee of the Whole before presentation to the plenary.

The resulting text (A/41/L. 49/Rev. 1) was sponsored by 19 States: Algeria, Bangladesh, Brazil, Cameroon, Cape Verde, China, France, Federal Republic of Germany, Ghana, India, Iraq, Japan, Nigeria, Pakistan, Soviet Union, Trinidad and Tobago, United Kingdom, United States and Yugoslavia.

By Part I of resolution 41/213, the Assembly decided on the manner in which the Group of 18 recommendations should be implemented. In Part II and an annex, it set out new guidelines for the planning, programming and budgeting process.

Programme budget: Under the new guidelines. the Secretary-General, in of budget (even-numbered) years, will submit an outline of the programme budget for the following biennium, indicating: a preliminary estimate of resources to accommodate the proposed programme of activities during the biennium; priorities, reflecting general sectoral trends; real growth, positive or negative, compared with the previous budget; and the size of the contingency fund. The contingency fund, expressed as a percentage of the overall level of resources, will be included to accommodate additional expenditures derived from legislative mandates not provided for in the proposed budget.

The Committee for Programme and Co-ordination (CPC), acting as a subsidiary organ of the General Assembly, is to consider the Secretary-General's programme budget outline and submit to the Assembly, through the Fifth Committee, its conclusions and recommendations. On the basis of the Assembly's decision, the Secretary-General will prepare his proposed programme budget for the following blennium.

The Assembly stresses that throughout this process the mandate and functions of the Advisory Committee on Administrative and Budgetary Questions (ACABQ) are to be fully respected.

In budget (odd-numbered) years, the Secretary-General is to submit his proposed programme budget to the CPC land the ACABQ in line with existing procedures. The CPC and ACABQ will examine it in accordance with their respective mandates, then submit their conclusions and recommendations to the Assembly through the Fifth Committee. The Assembly will then give final approval to the budget.

If additional expenditures are proposed that exceed the resources of the contingency fund, they are to be included in the budget only through redeployment of resources from low-priority areas or modification of existing activities. Otherwise, they must be deferred to a later biennium.

The Secretary-General was asked to report in 1987 to the Assembly, CPC and ACABQ on a comprehensive solution to the problem of all additional expenditures, including those deriving from inflation and currency fluctuation. It would be desirable, the Assembly states, "to accommodate these expenditures, within the overall level of the budget, either as a reserve or as a separate part of the contingency fund".

Pending a decision on that question, the revised estimates arising from extraordinary expenses, including those relating to the maintenance of peace and security, as well as fluctuations in inflation and exchange rates, will not be covered by the contingency fund and will continue to be treated as in the past, under the relevant provisions of the Financial Regulations and Rules.

The Secretary-General was asked, none the less, to try to absorb those expenditures through savings from the programme budget, "without causing in any way a negative effect on programme delivery or without prejudice to the utilization of the contingency fund"

Recognizing the need for Member States to participate in the budgetary preparation "from its early stages and throughout the process", the Assembly reaffirmed that the decision-making process must be governed by the provisions of the Charter and its own rules of procedure. It stated that the CPC should continue its practice of reaching decisions by consensus. It considered it desirable for the Fifth Committee to make all efforts to establish the broadest possible agreement on the programme budget outline before submitting its recommendations to the plenary.

To improve the consultative process with respect to the medium-term plan, the Assembly called for: full implementation of the relevant Regulations and Rules Governing Programme Planning, the Programme Aspects of the Budget, the Monitoring of Implementation and the Methods of Evaluation, contained in resolution 37/234; submission to Member States, for "wide consultations", of the plan's introduction - "an integral element in the planning process"; and systematic consultations with sectoral, technical, regional and central United Nations bodies. Under the guidelines, the Secretary-General, in consultation with the CPC and the ACABQ will draw up the calendar for such consultations.

Annexed to the resolution is a legal opinion from the United Nations Legal Counsel that the resolution does not in any way prejudice the provisions of Article 18 of the Charter or relevant rules of procedure. The provisions assure each Member State one vote and provide for a two-thirds majority vote on budgetary questions.

Acting on a proposal by Japan, the Assembly in December 1985 decided to establish the Group of Intergovernmental Experts, which began its work in February 1986. The 71 recommendations contained in its report were the product of 67 closed meetings held in four sessions over a six-month period, culminating in publication of the report in August 1986 (see UN Chronicle, 1986, No. 5).

The recommendations relate to a wide range of action to improve the Organization's efficiency and functioning with regard to the intergovernmental machinery; the structure of the Secretariat; monitoring and evaluation of United Nations activities; personnel; and planning and budget procedures. The action required by the recommendations is for the most part to be completed within three years.

The Group of 18 concluded from its study of the Organization that sustained growth in the United Nations agenda had led to parallel growth in the number of new organs, committees, commissions and expert groups, and that sufficient attention had "not always been given to avoid overlapping of agendas and duplication of work". The Secretariat, which services those intergovernmental bodies, had undergone a parallel growth, while management capacity had "lagged behind". The result, the Group said, was a structure that was "too complex, fragmented and top-heavy", with too many departments, offices and divisions, "exemplified by the excessive number of Under-Secretaries-General and Assistant Secretaries-General".

In adopting resolution 41/213, the Assembly agreed that the Secretary-General should find ways to reduce the overall number of regular budget posts by 15 per cent within a three-year period and reduce, at the Under-Secretary-General and Assistant Secretary-General levels, both regular budget and extrabudgetary posts by 25 per cent. It was decided that those percentages should be regarded as targets in formulating the Secretary-General's plan for implementing the recommendation.

The Secretary-General was asked to exercise "flexibility" in that regard, in order to avoid a negative impact on programmes and on the structure and composition of the Secretariat, and to bear in mind the necessity of "securing the highest standards of efficiency, competence and integrity of the staff, with due regard to equitable geographical distribution".

The Assembly decided the Secretary-General should transmit to the International Civil Service Commission (ICSC) recommendations 53 and 61 having direct impact on the United Nations common system. In that context, the ICSC is to consider proposals to reduce staff members' annual leave from six to four weeks and eliminate the education grant for post-secondary studies of children of staff serving away from their home countries. The ICSC is to report to the 1987 Assembly on its findings, to enable the Assembly to make a final decision on changes the experts proposed.

Among the recommendations of the Group of 18 on which there was not full agreement were those calling for setting limits on the proportion of fixed-term versus permanent appointments in the Secretariat, so that at least 50 per cent of the nationals of any Member State working for the Organization would be employed on a permanent basis. Recommendations 55 and 57 were adopted by the Group of 18 without the concurrence of the experts from the Soviet Union and China.

Resolution 41/213 states that the Secretary-General, in implementing recommendations 55 and 57, to the extent they are agreed upon, should take into consideration the relevant provisions of resolution 35/210 of December 1980. That text states, among other things, that the Secretary-General should "continue to permit replacement by candidates of the same nationality within a reasonable time-frame in respect of posts held by staff members on fixed-term contracts, whenever this is necessary to ensure that the representation of Member States whose nationals serve primarily on fixed-term contracts is not adversely affected".

In the interests of streamlining the intergovernmental machinery in the economic and social fields, the Assembly approved the Group's recommendation for a two-year in-depth study of the agendas, calendars and work programmes of the Assembly, the Economic and Social Council, and related subsidiary bodies and their support structures.

The study is to be carried out by the Economic and Social Council and submitted to the Assembly no later than its 1988 session. It will identify measures to rationalize and simplify the intergovernmental structure, and avoid duplication through consolidating and co-ordinating overlapping activities and merging existing bodies.

The Assembly also called for reviews aimed at similar structural reform in the Secretariat, including merging Secretariat units dealing with similar or related questions and consolidating United Nations offices at the same location in many cities and countries.

The Assembly approved a recommendation that construction of United Nations conference facilities be undertaken only "when sufficient resources are available", with the proviso that projects already approved by the Assembly (in Bangkok and Addis Ababa) should be implemented.

Among other proposals approved were those reiterating principles the Assembly had previously affirmed, such as the need to reduce the number of United Nations conferences and meetings and the volume of documentation.

The Assembly endorsed a call for the Secretary-General to exercise greater leadership in personnel matters, asking that he improve the management of human resources, protect the authority of the official in charge of personnel and instruct senior officials to refrain from influencing the selection of staff. The Assembly affirmed that personnel management must be based on "clear, coherent and transparent rules", published in a personnel manual that was "widely available and kept up to date".

The Assembly asked the Secretary-General and the CPC to report to it in three stages on implementation of the recommendations. A progress report from the Secretary-General will be due by 1 May 1987, outlining which recommendations have been implemented and his plans for implementing those remaining. A report from the CPC on implementation of recommendations relating to the intergovernmental machinery and its functioning is to be submitted before the beginning of the forty-second Assembly in September 1987. Both the Secretary-General and the CPC are to report to the 1989 session on implementation of all recommendations.

Explanations of vote

Adoption of the reform measures was hailed by the Assembly as a crowning achievement of its 1986 session.

Kiyoaki Kikuchi (Japan), recalling that his country had initiated the proposal in 1985 to set up the Group of 18, said the United Nations had taken an "epoch-making step forward towards administrative and financial reform". The resolution, he said, had to be implemented fully both to increase the efficiency and "to secure the very survival of this universal Organization".

Vernon Walters (United States) said the reform measures represented "hope for the future of the United Nations" and for the people of the world, and their adoption was "the beginning, not the end, of a process of reforming and improving the United Nations in the interests of all its Members". Central to that process was the use of consensus in establishing the framework for the United Nations budget. It was, he said, "unhealthy for an institution when Member States which contribute 75 per cent of the funds of the United Nations still feel compelled to vote against or abstain on the United Nations budget in order to express their disagreement with the level or type of expenditures". A "crisis of credibility" had been turned into "a demonstration of what the United Nations may achieve when Member States work towards agreement on important and highly sensitive issues".

Chinmaya R. Gharekhan (India) said the resolution was "historic not in the sense that it breaks any new ground or lays down new policies and principles", but because the United Nations, facing the most acute crisis in its existence, had "shown once again, that given political goodwill on all sides, it is possible to overcome obstacles"'

Harry Ott (German Democratic Republic) told the Assembly the resolution was an expression of the socialist States' interest in a "strong and efficient United Nations". The text represented "a careful, balanced approach to a complicated and intractable set of problems", stated Sir John Thomson (United Kingdom) on behalf of the European Community Along with a number of other speakers, he noted, however, that consensus had been achieved only through extensive negotiation and compromise.

A number of countries remained concerned about the budgetary decision-making process outlined in the resolution. Several speakers expressed the view that requiring the CPC to take decisions by consensus was undemocratic in principle, while others specifically endorsed the Legal Counsel's opinion on the matter, read by the Assembly President just before the resolution was adopted.

David Samudio (Panama), speaking for the Latin American and Caribbean Group, said it was "unacceptable", under the pretext of reviewing the efficiency of the Organization, to "attempt to detract from the democratic nature of the decision-making process" provided for in the Charter. The informal practice of arriving at decisions by consensus - "which should not be confused with unanimity" - was useful but not obligatory, and should not interfere with any State's right to request a vote to achieve majority decisions when necessary.

According to Jose Luis Jesus (Cape Verde), who spoke for the African States, they could not endorse any position that would subvert the democratic process of all Member States, and were glad, therefore, to see their concerns reflected in the text.

[The African Group's position on the Group of 18 report is contained in document A/41/977.)

Samir Shihabi (Saudi Arabia) said he had accepted the resolution "with heavy heart", but was reassured by the Legal Counsel's opinion that nothing in the text would hamper the normal decision-making process of the Assembly.

James V. Gbeho (Ghana) said that Member States, threatened with the "spectre of a collapse of their United Nations", had worked hard to achieve what could be a milestone in United Nations history. He also praised the strengthened role of the CPC and the increased involvement by Member States in the budget process: "The novel idea of an outline ... with which Member States would be actively associated through the CPC should ensure the necessary participation which the previous. procedures lacked and which gave rise to so much mistrust and dissatisfaction."

A key issue now would be implementation of the resolution, several speakers stressed. Exercise of the authority and responsibilities of the Secretary-General, as chief administrative officer of the Organization, would be the "decisive factor" in the years ahead, Sten Stromholm (Sweden) said.

A number of speakers expressed the view that efforts at reforming the Organization would be fruitless unless States fulfilled their financial obligations under the Charter. "Nothing", Ismat Kittani (Iraq) told the Assembly, "would enhance the chances of translating the important resolution we have just adopted into reality as much as immediate action by those Members that are illegally in arrears in their contributions to the regular budget to end their deliquency without any fur-of its assessed contribution".

Plenary Debate

Most of the 75 participants in the Assembly debate on the Group of 18 report said the administrative and financial reform of the United Nations would have a direct impact on its future viability. There was widespread agreement that it was essentially a political question, requiring Members to exhibit the political will to put the Organization on a sound financial basis and provide the Secretary-General with the necessary support to carry out major organizational, staffing and budgetary changes aimed at reducing costs, improving efficiency and restoring confidence in the world body.

It was widely acknowledged that, as Julie Loranger (Canada) put it, "short-term cash flow problems [cannot] be divorced from long-term reforms", and many delegates stressed that only if members paid their assessments in full and on time could the viability of the United Nations be assured.

Several speakers said that the amount of contributions should not be the basis for unequal treatment of Member States or confer special prerogatives on any of them. The Organization, should not be "held hostage to the peculiarities of Governments [and] no country, large or small, should be allowed to be in arrears", declared Davidson L. Hepburn (Bahamas).

The super-Powers had a special responsibility not to use non-payment as a pressure tactic, some speakers felt. Several said the present scale of assessments made the Organization too vulnerable, leaving it too dependent on a few large contributors.

In terms of administrative and financial reform, there was general agreement with Canada's assessment that the Organization "has grown heavy as it has matured" and a "slimmed-down United Nations would not only still be able to accomplish its entire work programme but would also probably do its work better". Broad areas' of agreement included the need for improved intergovernmental machinery to deal with budget questions, as well as earlier participation of Member States in the programme and budget process. The importance of coordinated programme planning and programme budgeting was also widely acknowledged, along with the need to establish early in the process the level of resources within which expenditures could be accommodated.

Other areas of agreement included: the need for streamlining the Assembly, the Economic and Social Council and subsidiary bodies; reducing expenses for Secretariat staff travel and outside consultants; and reducing the number of meetings and conferences.

The main area of dissent during the debate concerned a subject on which the Group had earlier failed to reach consensus - a revised budget procedure.

The Group of 18, in its report, noted that both the medium-term plan and the budget had traditionally been prepared by the Secretariat "in a form that is almost final" and that Member States had neither the means nor the time to undertake major changes. The Group also pointed out that there was no central organ to monitor the overall conception of the plan and that opportunities for the CPC and the ACABQ to recommend modifications in the programme budget were "very slight and relate almost entirely to details".

Each of the three alternatives for resolving those difficulties proposed by members of the Group of 18 received some support during the Assembly debate. Some speakers endorsed a proposal calling for strengthening the CPC's terms of reference and enabling it to take part in the entire planning and budget procedure from the beginning, recommending programme priorities, resource estimates and allocations. Under that plan, the draft programme budget would include a "contingency fund" or "financial envelope", not to exceed 2 per cent of the estimated budget, to cover additional expenditures resulting from legislative action. The ACABQ would examine and report on the costing of the budget in the same manner as at present.

There were other delegates who favoured a system closer to the status quo, with responsibilities shared more evenly between the CPC and ACABQ. That proposal provided for the two bodies to recommend "aggregate resource allocations" on the basis of programme priorities, without reference to the available level of resources. The second alternative also envisaged a financial envelope, but without the specification of a ceiling.

Both those proposals called for additional expenditures to be accommodated only through redeployment of funds from low-priority areas.

Still other Assembly members endorsed a third alternative, which called for a merging of the budgeting and programme-planning process, which would then be entrusted to a single body that would work on the basis of consensus. That body would determine the overall limit of the budget before beginning work on it, and would set priorities within the limit. The proposal also urged that decisions of intergovernmental bodies, including the Fifth Committee, on the budget and the level of remuneration for the staff be taken by consensus.

Among the countries which found none of those proposals for programme and budget planning satisfactory were some which said that taking decisions by consensus was the only way, and others which felt that that would only result in abuse of power. Some countries favoured creating a new planning and budgeting mechanism; others felt that strengthening existing mechanisms, especially the CPC, would be sufficient; still others said they did not care if the mechanism was new or old, as long as there was one organ involved early in the planning process that was mandated to match resources with programmes.

Several other proposals were put forth by individual delegations, including a suggestion by Iraq that the Secretary-General should be the one to set priorities, "despite all the recommendations and decisions of intergovernmental bodies, including the Assembly" and Senegal's proposal that the budget mechanism consist of a committee of five, with one member from each regional group.

There was also dissent over certain personnel questions. In that area, debate focused on the question of limiting the ratio of fixed-term contracts to permanent appointments held by the nationals of any one Member State. "This can only be described as a cynical recommendation aimed at strengthening the over-representation in the Secretariat of one group of States and even further aggravating the under-representation of another group", said Vladimir Petrovsky (Soviet Union).

Streamlining staff, especially in the upper echelons, was widely supported, but in that area, too, there was concern among a number of States about maintaining equitable geographical representation. Some speakers stressed that upper echelon posts should not be "bargaining chips" among States or the exclusive preserve of any State or group. It was suggested in that regard that offices directly under the Secretary-General be rotated through the regional groups.

Reservations were expressed about the recommendation to reduce staff entitlements, as well as proposals to curtail distribution of Member States' communiques as official documents and to limit reimbursement for travel expenses to the Assembly session to representatives of least developed countries.

Other areas of dissent in the debate included the matter of consolidating, restructuring and abolishing departments. A number of speakers urged that such matters be submitted to the Assembly for decisions. There was some opposition, for example, to the proposal that the United Nations Development Programme (UNDP) take over the functions of the Office of the United Nations Disaster Relief Coordinator (UNDRO), or that UNDRO be abolished but its functioning assumed by the Secretary-General's office. A recommendation to enhance the authority of the Director-General for International Economic Co-operation also was opposed by some countries.

There was concern about proposals for more studies. "Everytime we ... try to restructure the Secretariat, we simply make it more complex", Mr. Kittani (Iraq) warned. Regarding the proposed study of the intergovernmental structure in the economic and social fields, Joseph N. Garba (Nigeria) said his country would "not be able to support any review of this sector that aims at reducing the scope and role of the United Nations at a time when multilateral cooperation for development is being eroded". He also wondered why no similar review of political and other activities had been proposed.

Report

The Fifth Committee considered the practical and legal implications of adopting the Group of 18 recommendations in 9 open meetings and 11 informal sessions between 16 October and 5 November, before reporting to the plenary

The Committee's report (A/41/795) contains comments on factors it felt should be taken into account in considering the implementation of specific recommendations made by the intergovernmental experts. Some Committee findings were incorporated by the Assembly into resolution 41/213, including its general observation that Member States should be involved in a more structured manner in the planning, programming and budgeting procedure.

Among other points raised in the Fifth Committee - and later embodied in the resolution - were the suggestions that the Economic and Social Council be charged with conducting the in-depth study of the intergovernmental structure in the economic and social field; that the ICSC be consulted regarding implementation of recommendations concerning personnel; and that the percentages cited by the Group for proposed staff cuts serve as targets to be used by the Secretary-General in formulating his plans in that regard.

Regarding the manner in which the Secretary-General would approach implementation of the recommendation on staff cuts, the Fifth Committee report quoted extensively from the Secretary-General's representative, Patricio Ruedas. Mr. Ruedas, Under-Secretary-General for Administration and Management and Chairman of the Steering Committee established by the Secretary-General to advise him on action to be taken in connection with the Group's report, addressed the Committee on 24 and 27 October.

The Fifth Committee noted that he told Committee members the process of reviewing and reducing posts would begin immediately and not await completion of reviews recommended by the experts. However, until the Assembly approved structural changes within the Secretariat, the Secretary-General would need to be given the authority to implement reductions in 1987 "with flexibility", within the total level of posts for the Secretariat as a whole.

Post reductions would initially have to be done on a "pragmatic basis", Mr. Ruedas said, "to match available resources with the least possible disruption to programmes and the lives and rights of the people involved".

According to Mr. Ruedas, of the 11,423 regular budget posts in the United Nations, there were 4,187 established posts and 101 temporary posts in the professional category, and in the General Service and related category, 6,987 established posts and 148 temporary posts. Any reduction in the overall number of posts would "certainly imply a reduction in the number of staff posts subject to geographical distribution" he said in response to a question if prime concern to many Member States.

As to savings entailed by the proposed cuts, Mr. Ruedas reported it was estimated that a 15 per cent reduction in the number of posts would result in direct savings of approximately $141 million per biennium and that a 25 per cent reduction in the higher echelon would yield savings of some $3.3 million. The reduction in the number of contributors to the joint Staff Pension Fund would necessitate additional contributions of up to $3 million per year.

Anna Frangipani Campino, President of the United Nations Headquarters Staff Committee, speaking also on behalf of the more than 13, United Nations staff members worldwide, presented staff views on the Group of 18 recommendations to the Fifth Committee on 28 October. Noting that since the 1974-1975 biennium, the number of Under-Secretaries-General and Assistant Secretaries-General had increased by more than 50 per cent while the number of entry-level posts had increased by only 9 per cent, she stressed that any effort to reduce staff in the Secretariat must take into account the pattern of structural distribution as well as geographic and gender balance, Recruitment must be kept to a minimum, and a well-developed redeployment plan must be established, she affirmed. Ms. Frangipani Campino also strongly supported the Secretary-General and the ICSC President in opposing the reduction of staff entitlements.

Fears that some of the recommendations on personnel might be discriminatory were "completely unfounded", Group of 18 Chairman Vraalsen reassured Fifth Committee members on 27 October. He said the Group had stressed that the Secretary-General, in selecting and monitoring staff, should be guided by the relevant principles of the Charter, and that his authority as Chief Administrative Officer must in no way be prejudiced. The Group's recommendations had only been an effort to rectify some of the existing geographical and gender imbalances.

As to the basis on which the Group had recommended a 15 per cent reduction in the number of regular budget posts, Mr. Vraalsen said that, while there was no "scientific base" for deciding upon correct reductions in the number of staff, the Group had used information provided on the number of staff members and posts and the tasks performed, and had consulted with the Secretary-General. The Group was "fully aware of the need to avoid any adverse effects on the efficiency and activity of the Organization", which was why it had recommended that the Secretary-General submit a plan to the Assembly for implementing the proposal.

He said that recruitment on a post-by-post basis limited flexibility, which was why the Group had recommended employment on the basis of occupational groups, to facilitate transfer of staff in response to changing needs, ensuring optimum use of their qualifications and experience.

In addressing the Group's recommendations on personnel issues, the Fifth Committee also considered sections of the Secretary-General's note (A/41/663) affirming that working conditions, including salaries and entitlements, must be such as to attract and retain personnel. "To seek to solve the Organization's financial difficulties at the expense of staff entitlements would be extremely short-sighted and counter-productive and would have adverse implications for the common system", the Secretary-General declared, stating further that he would consult Secretariat staff with respect to the actions proposed that could affect their conditions of employment.

Chairman Vraalsen

to Fifth Committee:

Without claiming to have found a panacea for the Organization's problems, the Group felt its recommendation's constituted a coherent and carefully considered package (28 October).

The Group's objective was to make a realistic attempt to find solutions to problems, so the UN could function as a truly effective forum for global co-operation (27 October).

It could not carry out an in-depth study . . . Problems were highlighted, some specific recommendations made, more comprehensive study needed in some areas (27 October).

The |Group of 18'

The 18 members of the Group of High-level Intergovernmental Experts of Review of Efficiency of the Administrative and Financial Functioning of the United Nations are: Tom Eric Vraalsen (Norway), Chairman; Mark Allen (United Kingdom); Maurice Bertrand (France); Bi Jilong (China); Fakhredine Mohamed (Sudan); Lucio Garcia del Solar (Argentina); Ignac Golob (Yugoslavia); Natarajan Krishman (India); Kishore Mahbubani (Singapore); Hugo B. Margain (Mexico); Elleck Mashingaidze (Zimbabwe); Ndam Njoya (Cameroon); Vasiliy Stepanovic Safronchuk (Soviet Union); Shizuo Saito (Japan); Edward O. Sanu (Nigeria); David Silveira da Mota (Brazil); Jose S. Sorzano (United States); and Layachi Yaker (Algeria).