Mr. Chairman,

I have the honour to speak on behalf of the Group of 77 and China on agenda item 125, United Nations common system.

2. The Group of 77 and China wishes to thank Mr. Mohsen Bel Hadj Amor, the Chairman of the International Civil Service Commission (ICSC) and Mr. Andrzej Abraszewski, the Vice-Chairman of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), for introducing the reports of the Commission and Advisory Committee.

3. We also wish to thank Ms. Katrina Nowlan of the Programme Planning and Budget Division and Mr. Kenneth Herman of Secretariat of the Chief Executives Board for Coordination for their presentations of the respective reports of the Secretary-General and the Chief Executives Board. The reports introduced today raise important issues, which we will follow closely during the informal consultations. The Group, furthermore, appreciates the presentation made by Mr Robert Weissel, the President of the Federation of International Civil Servants' Associations (FICSA).

Mr. Chairman,

4. The Group of 77 and China takes note with appreciation of the report of the ICSC. The Group believes that the International Civil Service Commission plays a pivotal role in ensuring the success of the United Nations common system. The staff of the Organisation is its most valuable asset and we appreciate the dedication of our international civil servants. Ensuring that our staff is provided with the best conditions of service is essential in our efforts to attract and retain the most qualified, representative and motivated staff to the United Nations. The ICSC plays a key role in advising Member States on how to offer the best possible conditions of service to the United Nations employees.

5. The Group of 77 and China welcomes the improvements made to the report of the Commission. We also appreciate the inclusion, this year, of the summary of the recommendations of the ICSC that were previously offered to the General Assembly for action. The summary provides useful information that will facilitate our deliberations and decision-making process in this session.

6. It will be recalled that the General Assembly still has to take decisions on matters raised in the previous report of the ICSC, in particular on the review of the pay and benefits system, the mobility and hardship allowances, and hazard pay. The Group believes that further deliberation and elaboration of the proposals would be required so as to ensure that we pronounce on these matters. The Group of 77 and China wishes to stress that the process of modernising and simplifying allowances, which is intended to enhance efficiency, has to be transparent and equitable.

Mr. Chairman,

7. Turning to some of the specific issues raised by the Commission, on the proposed increase in education grant, the Group believes that providing access to quality education constitutes an important element in the conditions of hiring of international civil servants. The ICSC recommendation consequently deserves favourable consideration.

8. The Group notes the margin levels for 2005 and 2006 for the remuneration of staff. We are willing to consider the proposed adjustment for the base/floor salary scale to reflect the movement of the comparator for the last two years.

9. On the issue of conditions of service of staff, in particular in the field, the Group of 77 and China realizes that this subject has to be considered in tandem with proposals to reform the human resources management system. It consequently may be prudent to consider the comments of the ICSC in that framework, with a view to ensuring that United Nations system staff has the best working conditions.

10. In conclusion, Mr. Chairman, the Group wishes to voice its serious concern over insufficient progress made by the organisations of the United Nations system in achieving gender balance, especially at senior levels, as reported by the ICSC. We support recommendations of the Commission aimed at improving the representation of women in the Organisation. We also maintain the position that a greater effort should be made to recruit women from developing countries.

I thank you, Mr. Chairman.