56986 Vol. 2, No.2 January 28, 1998 m&)]llli. ~ UJ~&)]lmt&~ llIh~ n)]l~nmt~ ~1l®II7 New star Nawal Kamel passionately explains Bank stance in film on Uganda (still photo taken from film) The long goodbye to NRS? Complicated grading system under fire in attempt to create "one staff' within World Bank By Kevin Rafferty been holding frequent meetings of the NRS category in a general we are proposing term require­ non-regular." with Bank staff at all levels, with tidying-up of employment policy: ments of from one to three years, He and his team are working THE CATEGORY of non-regu­ the Staff Association and with the "At the moment, we have mUltiple non-renewable and not extendible out the details of how to demobi­ lar staff (NRS) will be abolished executive board, to explain their definitions of staff categories; reg­ under any circumstances." lize this army of 2,400 NRS in a over the 24 months from July and thinking and to listen to reactions ular staff, tixed-term, long-term "The third category would be way that will preserve the best the World Bank's current compli­ and ideas. Berry says that the cen­ consultants, Bank temporaries, consultants in the true sense of the expertise for the Bank and be as cated job grading system will be tral message of "one staff' has short-term consultants, field office word, people who have no painless as possible. It is clear that scrapped if reforms being drafted already won widespread support. consultants, contractors and con­ employment relationship but even if the board accepts the plan, by the human resources depart­ As a result of feedback, the siderable confusion and inequity would be paid on a daily basis or it will be quite a long goodbye for ment are accepted by the board. April reform paper will be more in the way people are treated. We contractual basis amounting to the NRS category. Julian Schweitzer, transition comprehensive than previously are proposing essentially to move work for up to 190 working days Schweitzer explained: "It is not director, human resources, who is planned and will cover not only to three categories." in any year, but not more than that, an issue of conversion. There will preparing the paper to go to the employment policy, but also com­ Under the proposed new sys­ to avoid the reappearance of long­ be positions [which will become] board in April, told Bark's World pensation and benefits, leadership tem, most staff would be term consultants." In addition, open, for which the NRS will be that, ''The key element is the con­ and development and the role of employed under an "open ended there will be firms, like Marriott, able to apply. We have got to do cept of one staff. Essentially this human resources policy. Berry contract under which staff would on long-term contracts. this in the same transparent fash­ means integration of the Bank and her staff hope that after the be recruited without a time limit." Schweitzer revealed that "if ion that we have followed for all staff, no matter where people are painstaking process of wide-rang­ The two other categories you look at operations in the staff, with due diligence and working, under a common set of ing consultation there will be no would be sharply defined. "Every Bank, 40 percent of the 19 to 25 thinking of issues of diversity and rules and values and a comparable surprises in their document. They organization needs some form of levels are non-regular staff, a fig­ what sort of people managers set of benefits." are now spelling out the detailed temporary staff for timebound ure that has been growing by want. There are 2,400 [NRS], so Vice president Dorothy Berry, implications, but they concede jobs or where you are hiring in a about 12 percent a year - so you quite obviously this is not some­ deputy VP Richard Stern, that several devils may be lurking high-level expert for a couple of do not need to be a rocket scientist thing that can be done overnight. Schweitzer and other senior staff in those details. years to help you think through to realize that in about five years We are proposing that there will of the human resources team have Schweitzer pledged to get rid banking reform, for example. So, half of the Bank staff could be (Continued on page 8) INSIDE •.. INSIDE ..• IN Letters, Answerline ..••.....•..•2 EDI teaches the world .•...•..•.3 Our man in Korea •••••••..•••.3 PMP one-liners .•.••••.•.•••.•.5 Keynes deflates markets •.•••••••6 Staff Association •••••••••.•....6 Sewage stinks up Atrium •••.•.••8 Survey Update ...•.....••....•8 First class mail - p. 3 Bank battles child labor - p. 7 No room for art class - p. 7 2 January 28, 1998 ... ANSWERLINE .. . ANSWERLINE ... LETTERS . .. LETTERS ... LETTERS ... lETTERS . . . LETTERS Now that the constructions park in front of the main complex; Q : of the World Bank main complex and the IMP extension expects to sign an agreement in February; and will implement STROLL UP KILIMANJARO before being sent home. HMO Re: the piece on Kilimanjaro: (1) physicians were forbidden to discuss TOO MANY DAYS OFF I am impressed by how hard people SAGA, the organization for the retired certain important information with in developing countries work, from are nearing completion, the two improvements during the months and elderly, arranges walks to the top of their patients. Many types of differ­ before dawn to beyond dusk, taking institutions should attempt to of March, April and May. While Kilimanjaro for its members. (2) Back ent abuses have been reported in the maybe a half day off each week and beautify the triangular parks the basic configuration of the park in 1961, I found this remark in the book media about access to emergency stopping only for one big holiday a year between MC and N buildings on will remain unchanged, you can kept in the then "Bismarck Hut" ­ "A room treatment, access to special life and then only for a couple of days. Even both sides of Pennsylva­ look forward to the fol­ pleasant Sunday afternoon stroll," saving treatment, etc. signed by Hillary of Everest. Is that the type of care recom­ when government offices close, the nia Avenue. For years, lowing: - John Oxenham mended for the Bank employees and ordinary people have to make their liv­ the staff of these institu­ • Dead and dying trees their family now and when they will ing in the fields or in commerce and tions have enjoyed the will be removed. HMOS DAMAGE retire? I am not an economist, but I industry. So I was amazed that the Bank breathtaking beauty of • New trees will be do not find surprising that a health MEDICAL CARE shut down its operations, not only for the tulip magnolias that added at strategic loca- Thank you for bringing to the system adequate for an environment Christmas, but for the next day as well, bloom there in Spring, ~ tions. retirees attention Richard Feacham's which has attained a high standard of but done little towards o o· Approximately a for New Year and for the day after. suggestion for the Bank's health care development may be recommended Aren't we in danger of taking too the upkeep and improve- Wessmann dozen light poles will system. As a former director of the against in an environment which is many days off if we want to serve our ment of the area in any season. be installed. Bank's health services department, I still developing. There is a time for clients? Some clients complain that it is Is it the responsibility only of • The existing pavement will be feel compelled to support Bernhard everything. Health care is NOT, impossible to get any decisions from us the DC government or can we resurfaced. Liese, (the current director) in his eval­ unfortunately, a simple exercise in uation of this suggestion which seems Economics 101. The product of an on Fridays with the AWS. "adopt a park" in the same way The Bank and the park service to demonstrate a profound unfamiliari­ arithmetical computation, particular­ - Name withheld that private corporations "adopt a will assume joint responsibility ty with the realities of managed care. ly with "back-of-an-envelope fig­ PS: I wanted to put this in an highway?" Is there a commit­ for keeping the park clean and the Although the main objective of ures," is the answer to an equation; it Answerline, but was advised that there tee/contractor responsible for the trees watered. the Bank, if not its raison d'etre, is to is not the solution to a social prob­ wa<; no one around to answer. greenery around the World Bank Carl Wessmann, raise the standards (including health lem. Arithmetical proofs of a theo­ and IMP (e.g., the trees that were Division Chief, GSDFM care) in the developing world, this is rem that has no arithmetical basis is planted on 18th Street between not going to be achieved by lowering proof of nothing. Health and disease BANK'S W@7RID MC and 1)? Can staff volunteer to Send questions to Morallina World Bank Group them over here. HMOs have already certainly do not have an arithmetical 1818 H Street, NW participate? If so, who should we F. George, Answerline, Rm U- damaged the best medical care sys­ basis. Washington, DC 20433 contact? 11-028, using an envelope sealed tem in the world. HMOs came with I shudder when I think of what Phone: (202) 473-2211 Fax: (202) 522-2477 with a "CONFIDENTIAL" the idea of what was dubbed "drive­ could happen to Bank employees in Editor Kevin Rafferty You will be pleased to know sticker. Non-confidential ques­ in mastectomy," when women hav­ mission or in residence overseas, if A : that the Bank does indeed tions may be sent as an e-mail to ing had a mastectomy were sent their health care were left only to home the same day. The Congress HMOs, without any input from the Assistant Editor Design Editor Production Coordinator Anna Shen Alexandra Tuller R. Yeddanapudi have plans to beautify one of the Banks World, using "Answer­ had to intervene so that women health service department. parks mentioned in your question. Line" as the subject line. - Andre Lebrun. Physician, Florida Contributors could be hospitalized for two days Morallina George Both parks are owned by the U.S . ----- -------------------------------, Guy Pfeffennann department of interior's national Stephanie Wheeler park service. The park on the r BANK,S WORLD ~ot ordinary people in the member given their chance. It was our I Bank's World is a publication for the staff of the World northern side of Pennsylvania I 1998 CALENDAR countries and were intended to intention to offer any sbght .or I Bank Group and is published by the vice-presidency show both how ,far t~e~e is to go to insult to anyone and we ap~logIse I for External Affair.;. The views expressed in Bank's Avenue has already been adopted 1Some World Bank staff have com- World are thooe of its wriler1; and do noI necessarily by MCI, which upgraded it in I plained about a number of the pho- fulfill the Bank s mISSIon and how to anyone who feels hurt or lDsult- I reflect the position of the World Bank Group, the 1992. The Bank has been consult­ ing with the park service about the L____________________ ________________ I tographs included in the 1998 cal- I endar. The photographs were of the people are energetic, able and ready to meet the challenges if ed by any of the photographs. - Kevin Rafferty, Editor ~ I members of il~ Board of Executive Directors. or the countries they represent. Bank's World reserves the right to edit all articles. Fri ay, January 23 (PC) meeting on: pension reform, long-term disability, Board Personnel Committee I retiree medical insurance, and unreduced pension at age 50. Monday, January 26 Board Personnel Committee (PC) meeting on: Interim Compensation, MAKING THE DIFFERENCE and Broadbanding BY INVESTING IN PEOPLE T ursday, January 29 Board Seminar on Interim Compensation arrangements. Visit our website for update papers and the latest on HR Reform URL=http://hrs.woridbank.org/ BANK'S Wt$RID January 28, 1998 3 ". NEWS .. . NEWS .. , NEWS ... NEWS ,., NEWS .. , NEWS ... NEWS ... NEWS ... NEWS .. . First-class envelope ban stirs controversy Mr Speedy by BW Reporter million. Using plain goes to Seoul white envelopes allows the mail room to decide SRI-RAM AIYER, new coun­ THIS MONTH, the mail room which priority to give. try director for Korea, is used to issued a ban on the use of large Moss added that his staff being asked to deal with finan­ first-class or air mail envelopes in had plenty of experience cial crises, but over Christmas a drive to tighten budgetary is deciding which docu­ his popularity introduced a new processes and save the Bank sev­ ments had to be given dilemma: should he continue eral hundred thousand dollars a priority treatment, but if working on South American year. But the decision has caused a department gave spe­ financial refonns, as the Latin confusion and some anger, not cific priority instructions American region wanted; or least because managers complain they would be followed. should he move to Seoul as of the short notice and the fact The other new country director to handle the that there aren't sufficient stocks of plain white envelopes. instruction is that the Ben Shadrach Moss, acting first line of the mail manager of the mail center, address must now con­ admitted that for the first day or sist of the originating so after the instruction his tele­ division's five digit bud­ phone was "ringing off the hook". get code. For the next six He explained that the now banned months, added Moss, the 8.5 by 11 inch envelopes ­ those mail room is doing a with green and white borders and pilot program to check exactly why their mail did not get the instruction first-class or with who is sending what mail at what delivered. We are prepar­ red and blue air mail borders - cost. In July, sample bills will be ing our clients for the indicate that the mail should be sent out according to these esti­ future." given priority first class treat­ mates. But Michael Nelson ment, which costs three times as This is obviously a natural was just one of several Aiyer: from Mexico to Korea much as ordinary air mail. forerunner for a chargeback sys­ complainants who grum­ tem, though Moss said, "No deci­ bled at the waste of Bank's efforts to repair the "All our international mail sion has been taken as yet on scrapping the offending financial system there? goes by air, but there is priority air chargeback. But we should be envelopes. "Every stock In the end, Korea won mail- which costs three times as able to say how much mail is room and desk is filled because of the "high institution­ much as the alternative surface air being generated from where, what with them. I cannot find a al priority" that the Bank has lift," he said. Mail sent by surface kind of mail it is, how much it is plain white envelope any­ placed on helping that country. air lift usually takes three to four costing the institution. Based on where. With the way bud­ "It is a very focused agenda, working days longer to arrive, but that information, we sbould be gets are being slashed, namely to help the Koreans deal any mail placed in envelopes with able to serve our clients better." this seems like a disgust­ with the structural issues that the tell-tale edgings is automati­ He added: "Right now, we are ing waste." But Moss led to their liquidity crisis, the cally sent priority. When the mail room sends six million pieces of taking the customer service added that the old largest part of it being the prob­ mail each year or 2,000 to 3,000 approach. When we receive mail envelopes can still be lem with the financial sector. It pounds weight a day, the costs in the wrong envelopes, or person­ used for domestic mail is exciting, challenging, my add up. The Bank's annual bill for al mail without postage, we return and for mail sent by adrenaline is high." it to the sender with a notice as to pouch abroad. Come rain, sleet or snow, Lare Kinassoh delivers He has a reputation for get­ posting mail comes to about $2.3 ting down to a task quickly, in fact, his nickname is "Mr EDI ready to teach the world by satellite Speedy." Aiyer recalls when he was called in from India to deal with the Mexican debt crisis: by Anna Shen ends access to timely infonnation. with pictures on the waH, paneled VIrtual University, students will sit "We arrived in Mexico City on We are also in the process of ceilings and bright lights, but not down to watch the instructor on a Monday night, and by WITH BIG holes in the walls, working with our department's studio light," said Foley. TV, and have an opportunity to Wednesday night Richard half-raised, half-finished floors task managers to develop and Three cameras will capture phone questions in or query the Frank [then managing director] and ladders strewn about, some deliver classes via distance educa­ several angles: one overhead, one instructor bye-mail. These centers was signing an aide-memoire might wonder whether the main tion, including health finance in the back for close-up shots, will also offer help from tutors, as with the minister of finance, complex is still being renovated. reform, economic journalism, and another for wide shots. well as an opportunity for students outlining the program we were But come spring, a comer of the poverty and public policy." Teachers can incorporate video to exchange ideas. going to support. main complex on the C2 level clips, powerpoint Distance learning will not "I am three days old in deal­ will emerge from the rubble, and presentations, replace the face-to-face learning ing with Korea, but we have be transfonned into two interac­ the internet, and that EDI offers, but it is a way to already started work." He was tive classrooms ready to beam answer questions reach more people for less in Seoul when Bank's World lessons by satellite and the inter­ bye-mail and money. "Traditionally, EDI went to press and was hoping net to the ends of the earth. It will over the phone. would offer a class, but it takes to go to the operations commit­ have two interactive classrooms, Fo1ey envi- years to travel the world. By tee by early next month with an complete with state-of-the-art sions great poten­ offering distance education, you agreed program. "When you cameras, video monitors, and tial for the courses reach many people in a short have a crisis, you need to move computers, a product of bank offered in the time," said Foley. with speed and it does the Bank President James Wolfensohn's interactive class- In fact, in April, the Bank is good to show that it can be vision to tum this institution into ~ rooms, including piloting a program for newly responsive," Aiyer said. a knowledge bank. § the use of the elected city mayors in Mexico on He added that he would The 2,016 square-foot class­ Poring over plans: (I to r) Carl Wessmann, Anna Stahmer, Vinod World Wide Web, municipal management, using have a small staff of about five rooms, which Wolfensohn Thomas, Mohamed Muhsin where learners ten sites in ten states. people of level 18 and above inspected this month, is spon­ When finished, the center will can receive multi-media course "Distance education is a con­ in Seoul and in Washington, sored by the Economic look a bit like the set of the night­ material-graphics, sound, anima­ tinuum of our operations and will but would call on the Bank's Development Institute (ED I), and ly news, but it will not have the tion, simulations and updated text. simply complement our activi­ networks to mobilize teams of is part of the World Bank's larger intimidation of a TV studio, When the operation is fully ties," said Vinod Thomas, direc­ experts to help implement distance learning center. according to designer Michael completed, the potential is for hun­ tor of EDI. "This approach agreed structural reforms. The classrooms, which cost Foley, who built a similar site at dreds of learning sites in the next makes even more sense as we "The two things that the Bank $850,000, will initially offer poli­ the National University of Ireland couple of years. In these centers, connect to other distance educa­ can do are to put its best brains cy dialogue, said Anna Stahmer, in Dublin, where he served as the whether they be resident missions tion projects in the Bank. It will at the disposal of this problem who is heading the distance learn­ fonner audiovisual director. or sites that are part of other satel­ also help fulfill Wolfensohn's solving activity and to do it as ing unit for EDI. "These are short, "It is a studio that isn't a stu­ lite networks that will transmit the vision of reaching an increased quickly as we can," he added. two hour events about current top­ dio. On television, the student classes, such as the Monterey audience with the best knowl­ - BW Reporter ics. This will give people on both will see a teacher sitting at a desk, Institute in Mexico or the African edge currently available." 4 nuary 28, 1998 Ja: meeting rooms in tiative, used all his powers of diplomacy to Washington and persuade the government that a sale would Kampala and be very difficult without a change in the Chappell regularl y entrenched management of the bank. traveled into the Filming ended in late 1996. At the begin­ field to film in vil­ ning of the new year the focus had moved lages and on from Kampala and Washington to the third farms. floor of an elegant Georgian townhouse in Within a few London's Belgrav;a where the post produc­ months, themes tion editing took place. Using computers that were to be and sophisticated video recorders all the followed closely videotape that was likely to be used in the had started to final film was converted into a digital for­ emerge. In his mat. The walls of the room were lined with first meeting with 785 indexed videocassettes that had been finance minister shot over the 15 months of filming, repre­ Jehoash senting some 450 hours which had to he Mayanja-Nkangi, edited down to two 50-minute programs. Wolfensohn had Now, one year iater, the film is finished. discussed the Channel Four exr xts to broadcast it in the problem of UK in prime time on successive nights Uganda's debt within the next month. The French version and reassured the will last for 90 minutes and is scheduled to minister of his be shown in March and other broadcasts commitment to throughout Europe will foHow in the subse­ addressing the quent months (Swedish TV has already problem of the shown a shortened, one-hour version) and Opening shot of the documentary heavily indebted US and Canadian audiences can expect to O n the face of it, the idea sounded Rosenberg had lunch with managing direc­ poor countries. As a result, Nawal Kamel see it before the end of the year. like a pipe-dream. Some British tor Sven Sandstrom, who was very enthusi­ and her debt working group were filmed Audiences at private screenings praised filmmakers wanted to bring their astic about the concept. extensively. Jim Adams had become the the film, saying that they were intrigued to cameras into the Bank for a whole year and As the months went by we all wondered director responsible for Uganda and he see cabinet meetings in Uganda and internal film anything. They wanted to show the whether it would happen. IBT needed to and res. rep. Brian Falconer were filmed debates at the Bank. One wide-eyed viewer world how the Bank really works. find broadcast stations prepared to put up debating with the government the relative in Edmonton, where the film was shown to The first approach was made towards the money - estimated at close to a mil­ merits of investments in roads or education a group invited from civil society, com­ the end of 1992 to John Clark, senior NGO lion dollars - and once that was locked (the Bank emphasizing the latter), and, as mented that he didn't realize before that the specialist at the Bank and a fonner cam­ in, we needed to agree on the borrowing the fIlm progresses, they voice concerns Bank urged countries to invest in education. paigns director of the charity Oxfam. country and secure the support of the about the portion of the budget devoted to "I thought you guys were always trying to Paddy Coulter, the director of the International Broadcasting Trust (IBT), a • A yea e UK charity set up to stimulate television documentaries on development and envi­ ronment issues, was keen to make an "Inside the Bank" film. He had also worked with Oxfam and felt that John I would offer the most sympathetic ear he could find in the seemingly secretive and impregnable Bank. regional vice president. defense. Greg Lanning, IBT's producer, met John along with Michael Prest from external affairs, who happened to be in London at the time, in the snack bar of Victoria Station and outlined his concept for the film. The Bank would have to give the filmmakers Late in 1994, things started to come Cabinet meetings in Uganda were together. The UK's Channel 4 agreed to filmed for the fust time as well as a meet­ fund 50 percent of the production cost, ing of the Bank's executive board. As the with the French Channel 7 (Arte) and debt initiative progressed, debates were broadcasters in several other countries filmed between Bank and IMF staff ahout picking up the rest. As an English speaking coffee export volumes and debt sustain­ the total access and would not have the right to country, Uganda was preferred over ability. The effort to reach agreement on cut the social sectors," he told me. veto the inclusion of any scenes. In return, Mexico (to everyone's subsequent relief the privatization of Uganda Commercial -TIM CULLEN they would maintain confidentiality since the peso's collapse plunged that Bank was chronicled as senior economist throughout the shooting and editing period. country into economic crisis). Museveni Irfan Aleem, the task manager for this ini­ In addition, they would permit a Bank rep­ had agreed to the pro­ resentative (who turned out to be me) to duction and, when the review the footage to confirm its accuracy fonnal approval of the and they also promised to delete personal or Africa Region was professional secrets which might have been sought early in 1995, inadvertently filmed. The Bank would not Kim Jaycox, the then be asked (or permitted) to contribute any vice president, gave the money to the production. proposal his full sup­ When Lanning and his colleague, port. Gerard Rosenberg, came to Washington for After a reconnais­ the flfSt time early in 1993, I warned them sance trip to Uganda, that it would be a hard sen within the Bank, filming was scheduled but that we should try, as it seemed a won­ to start on June l, 1995, derful opportunity to demystify and human­ which turned out to be ize the institution. I suggested that the pre­ James Wolfensohn's requisites would be to find a country that first day as president. In was performing reasonably well; a head of addition to filming his state and government that didn't mind being first press conference filmed; and a Bank resident representative, that day, film director country director and regional vice president Peter Chappell (who, who were all "user friendly." Several coun­ with Philip Wearne, tries emerged as candidates: Mexico, shot the film) was able because of its strong performance, conve­ to follow him around nience to Washington, and its enthusiastic two weeks later when res. rep. looked like a natural candidate; he visited Uganda on Uganda and several other African countries his first trip out of were considered, and Michael Carter, then Washington. Over the the country operations division chief, next few months, a offered to suggest the idea to President camera and a micro­ Yoweri Museveni. In order to get early buy­ phone boom became in from Bank management, Lanning and part of the furniture in Uganda's finance minister Jehoash Mayanja-Nkangi makes his point for the cameras (still photo taken from film) January 28, 1998 5 IDIOT (SAVANT)'S GUIDETO EVALUATIONS As managers think about the perfor­ mance evaluation of their staff, Bank's World, courtesy of Guy Pfeffermann, has raided the personnel records of a well-known financial institution to come up with the following gems: • His IeadenhIp II outatandinl except for his lack of ability to get aIont with subordinates. • He hasn't any mental traits. • Needs careftli watchlnl Ince the borden on the brllUlIIIt. • Bel ..neere., In the power of prayer and It II utonlatllnl to note how many dm.. hi. prapn are auwerecL Wolfensohn dances with Ugandan village women (still photo taken from film) • Open to IUgesdonS, but never 101­ lowsame. F or Peter Chappell and Paddy ing things only because the cameras were Museveni, he was quite surprised by the Coulter, the principals behind the there. On the other hand, one of the iead­ way that the people in the Bank spoke with • Never makes the same mlstab film, getting access as a "fly on the ing Bank staff members commented that great frankness and openness on leading twice, but It teems to me he has made them all once. wall" inside the World Bank was one of the presence of the cameras enabled him to issues, such as military spending for exam­ the most fascinating experiences in move through the agenda more quickly: ple. It also allows both sides to see what • II lcieenly anaIytIcaJ and his hlply decades of filmmaking. "It was brave of people knew they were on the record and happens on the other side of the divide." developed mentality could best be the Bank to wanted to be seen to be working efficient­ Chappell and Coulter are conscious that utilized In the research and d4we1­ push for us to ly." "we had the privilege of being admitted to opment field. He lacb common of get this privi­ At the start the crew shot a lot of film to meetings where normally only the partici­ sense. leged access," allow Bank staff to relax in their presence. pants go, and the film throws interesting said Coulter, "It was film to establish the legitimacy of light on how the Bank goes about dis­ • Tendl to cwereRJmate himself IIIICI underestimate his problems, belnl the director of the project and the legitimacy of our pres­ cussing its agenda." Chappell added: "If it confused by the ....ultlnl IItua­ International ence. Later, it was a testament to how used gives people outside the Bank a sense that dona. Broadcasting people became to us that we got asked a window has been opened for them to • An Independent th nicer with • mediocre mentality. a a • HaIntaIM aood relations unilaterally. • Speaks well t but more attention to the papers which croa his desk would allow him to Impt"0V8 the content of what he sap. Trust, which made the film. questions as to why we did not cover some view the Bank and encourages them to "We were given carte blanche to eaves­ meetings. As we made our progress, it was look further and to read further, then I will • I find It hard to distinguish his easy­ drop and observe real negotiations taking fascinating to watch the dynamic displays feel that we succeeded." IOlnl manner from 1etharJy. place which were to affect the lives of mil­ of behavior from the different players. Viewers who have seen the film also • If ahe I. not continually BIven work, lions of people," added Chappell, who was "The finished film is interesting from say that Bank staff members play distin­ .he will lapse Into the study of the film's director. "We could see the several angles, I believe. It is the story of guished roles. Apart from a highly politi­ German. rough and tumble of debate and discus­ how the World Bank discusses and puts in cal cameo appearance by then British aid sion. After a time, people [from the Bank] place assistance to one of its client coun­ minister Baroness (Lynda) Chalker, now • H.. die annoylnl habit of shadow­ came up and asked me 'Don't you find all tries. For people in the Bank, they will working part time at the Bank, James boxln. while talldnl. of these meetings boring?' I never found it learn about the way in which their col­ Wolfensohn holds center stage when he so, and at least we could go home without leagues work on the ground. For President joins with Ugandan women dancing. • She II an aareuJve younl woman destined to . , through life pushln. the responsibility of taking major deci­ Museveni manages a good laugh when her w.y throulh doo... marked sions on funding programs that would he tells Wolfensohn he is traveling in "Pull". affect the lives of millions." the same vehicle that the Pope used and The film crew arrived at the World asserts that the Bank president is "the • Until called upon to write this per­ Bank on the same day that president Pope of banking." IOn's evaluation I had not realized James Wolfensohn took office. After All in all, say the filmmakers, the that he had been posted elsewhere some months of filming, the makers biggest surprise of all, especially to the for the lut IIx months. selected the most important themes to World Bank's critics, may be the very • Of ...... lntelliaence except for pursue and then set up two crews, one human faces and the passion and com­ lack of ,udl"'ent on one occasion based in Washington and the other, led passion that Bank staff show. These are In attemptlnl to apture • rat­ by Chappell himself, in Uganda. They not the faceless, heartless people that desn~ lor which lite was hospJ. then intensified the shooting. By the popular press commentaries so fre­ taJlzecl. end they had more than 450 hours of quently depict. Brian Falconer, the film about Uganda and the World Bank Uganda resident representative during • The best proof of his pod Jud.. - which they then had to edit down to the shooting, shows he is a diplomat ment com.. from the fact that I, at hit boa, was awarded a merlto­ the finished 90-100 minutes. down to his fingertips, keeping passions rious rvIce award. Chappell pondered whether the pres­ calm. Back in Washington, Jim Adams, ence of the cameras was so intrusive as the country director, is one of the stars. • Hu a tendency toward, pic­ to distort the way that people behaved: And Irfan Aleem and Nawal Kamel also turesque ""e. The rUlnl ofIIcer "I feel that such were the personalities hold the eye of the camera as they show has every confidence that his writ­ that if anyone did make statements out their intense concern for tackling the Inl will wolve toward the neutral, of character, there would be immediate problems of Uganda. coIori. . style which, for better or feedback from others who would jump - BW REPORTER worse. II the Bank nonn. on him or her and criticize them for say- Filmmaker Coulter applauds brave Bank 6 January 28, 1998 LETTER FROM HEAVEN DON'T KID ME THAT MARKETS~ EFFICIENT I can't quite believe it. I am not talking prices are extremely difficult to achieve. ing technological imports priced in ever more about Eternity - I believe in that now By this I mean that, if you are too success­ world. But the devalued currencies. and we've got plenty of it up here. No, ful at controlling inflation, you don't nec­ mere fact that I must say, the more I think I am talking about events on Earth, as wit­ essarily stick at zero - a quite extraordi­ the Fed about it, the more I wonder nessed from this safe distance. narily difficult feat; you go from rising Chairman is how much examination of When I departed the Earth's surface ­ prices to falling prices in, as it were, one prepared to East Asia was going on before I recall that my ashes were scattered on the fell swoop. say that the recent crisis. Markets know South Downs of Sussex, England, while Falling prices - a fall in the average " s 0 m e best, do they? These were my spirit rose above it all - I felt that, if I price level- are what my generation used observers investment flows, were they? had achieved one thing, and one thing to know as deflation. Subsequent - dare I have begun Since there is no alternative to only, I had left the world safe from defla­ say it? - "Keynesian" generations would to question capitalism we - I mean you - are tion. regard measures producing a slowdown in whether defla­ going to have to live with it. But don't The only question, surely, was the rate the inflation rate from 4 percent to 2 per­ tion is now a try and kid me that your markets are at which prices should rise. But falling cent as deflation. The use of the word possibility" is, I sup­ efficient. There are three driving prices were a thing of the past - or not, as deflation got rather out of control.... pose, not uninteresting (a form forces in your global financial flows: the case may be; it now looks as though Not everyone likes stable prices. Your of understatement I first the desire to invest; the desire to make the past is a thing of the past, as I tried to average businessman likes the prices of learned in the UK Treasury). money; and the desire not to lose explain to Bert Einstein in the Ambrosia raw materials and labour to be falling, and Mr Greenspan is money. When you have millions of Bar the other night. the market for his products to be strong as against operators fired by a confused mix of By rising prices, I mean, of course, the enough to afford the room for ever rising deflation as these motives, you have average price level. We are well aware up prices. he is against the potential for here - we have ample opportunity/study Raw material producers in Africa and inflation. I am chaos, as Mr Soros, time - that the real, indeed nominal, other continents would rather like to see entirely with him, • with considerable prices of everything from digital watches to the most sophisticated electronic equip­ ment have been falling dramatically. Some prices rise; some prices fall. You win some; you lose some. It's the average that commodity prices rising indefinitely; but that's not the picture that emerges from The Economist commodity prices index, I fear. Nor does the desperate search for extra revenue by OPEC countries neces­ and raise a glass of nectar to him. If you get monetary contrac­ tion, 1930s-style, down there, it will be over Mr , , experience of all three motives, has noted. My legacy to you all is that gov­ matters. sarily produce the desired result. The inex­ Greenspan's dead body ernments and cen­ Now, conventional wisdom has it that orable laws of supply and demand have - in which case I look tral banks cannot what societies in general and central altered little since my day. forward to many an inter­ possibly be responsible for the con­ bankers in particular crave are stable So we - or, rather you - now have the esting conversation with fused motivations of investors and prices. By that they do not of course mean chairman of the Federal Reserve Board him up here. speculators, but they can do some­ stable prices. They mean a world in which being reported as worrying about the As far as I can work thing about levels of demand to ward the market mechanism produces all man­ prospect of deflation. Closer inspection of out, all this deflation talk off deflation. This, in the so - called ner of upward and downward price move­ Mr Greenspan's text - available to use up stems from examination of "globalized" economy, means world ments, but, on average, prices do not move here on the Stellar Net - suggests that his East Asia, and from con­ demand. You can leave demand in very much. speech was really about the difficulties of cerns about the world Paradise to me. The fact of the matter is that stable measuring price changes in a rapidly mov­ being flooded by cheap -KEYNES STAFF ASSOCIATION ... STAFF ASSOCIATION ... STAFF ASSOCIATION ... STAFF ASSOCIA To cut costs try innovation and creativity C-O-S-T! The ultimate four-letter word cy because of decentralization; however, request of a colleague for help on the eco­ in those units is higher than the average for at the World Bank. When the Board utters concerns about cost run well beyond them. nomic analysis of a project: "I'll do it the Bank Group as a whole. it, every listener assumes the intention is So, again, why do references to cost cause only if my name doesn't appear any­ The recent emergency operation for layoffs or salary reductions. When man­ such disproportionate anxiety throughout where. My promotions and merit increas­ Korea exemplifies a different form of inno­ agement utters it - usually insisting that the Bank? es will come from task management, not vation. Driven by concern for the needs of the context is cost effectiveness, not cost Despite the almost unending discus­ from helping you!" a client in distress, the Bank proved it reduction - staff assume it signals a new sions about change during the past year, Similarly, some younger task managers could work very fast to make one major round of downsizing. When staff talk many managers and staff still believe that actively resist the advice of "graybeards," loan and set up the framework for two about cost, the context is usually unreason­ either (i) the Bank's business cannot be as though the mere presence of Bank vet­ future operations. In doing this operation, able demands by higher-ups to do more done any other way, or (ii) the change erans in their vicinity will prove that they Bank managers and staff were able to dis­ with less resources. efforts will not succeed. It follows, then, are not the super-humans required by the pense with overhead-intensive processes Cost effectiveness is a respectable cor­ task manager paradigm cur­ under conditions of crisis. The challenge porate value in many other institutions. rently in vogue. now is to analyze the positive aspects of Why does a discussion of cost conjure up Still another example of this experience and see which can appro­ such dire imagery at the Bank? ingrained attitudes is the cul­ priately be drawn into the Bank's standard Partly, it is because a very real redun­ ture of negative, disparaging activities. dancy exercise is in progress. At his town criticism. Having such a crit­ In coming months, the Staff hall meeting for managers on November ical attitude is seen to be Association will try to identify and cele­ 24, Mr Wolfensohn said that the time had rewarded, creating a play-it­ brate managerial units that have been suc­ come for managers to identify their teams; safe atmosphere rather than cessfully innovative about organizing their in response to a question, he said the Bank one of creativity. Staff will work. And, innovation will be an important needs to move on with the redundancies. not alter these ingrained criterion with respect to this year's Good Since then, the HR teams have been press­ ideas unless they see better Manager Award. ing the various vice presidential units to ways of doing business that However, recognizing and celebrating New SA chairman Sopher proceed with "the task of identifying they believe can be imple­ cost effective innovation is not the job of redundancies." In fact, some staff are fac­ that skeptical staff cannot imagine that the mented successfully. the Staff Association - it is the job of ing dire consequences and do have a lot to Bank might save money unless the savings There are managers in the Bank who management. We would like to see man­ be concerned about. come out of our hides. are organizing their units' work differently, agement do more to recognize innovative But, management affirms that redun­ The attitudes of staff have been and using their human and budgetary practices that reduce cost without compro­ dancy will be skills-based, and it will be ingrained by the predominant Bank man­ resources more effectively. Some of these mising quality. We would like to see the last resort for dealing with staff whose agement systems in effect over the last creative initiatives involve getting more Bank's World do more to celebrate man­ skills are no longer needed by their VPUs decade. These systems have certain char­ mileage from new technology. Others agerial effectiveness. Management will and who cannot find meaningful jobs else­ acteristics. For example, in operations, entail improving the synergy between only succeed in changing the Bank's cul­ where in the Bank Group. In percentage task management is considered the best headquarters and resident mission staff. ture if it promotes examples of innovation terms, the vast majority of staff are not fac­ way to advance one's career, and task Many units in IFC and MIGA as well as that exemplify desired institutional values. ing redundancy. It is important not to managers are thought to have to perform some at the Bank are successfully delegat­ That is when C-O-S-T will no longer be diminish the anxiety of staff in sunset sec­ heroically. In recent months, one senior ing more responsibility to junior staff and threatening. tors or those who may be facing redundan­ staffer was overheard responding to the paraprofessionals. We surmise I that morale - JAMIL SOPHER, SA CHAIR January 28, 1998 7 250 M L o c I E AT RIS WORLD BANK GIVES NEW PRIORITY TO BATTLE AGAINST CH LD LABOR because official statis­ to work sometimes pairing up with tics only include chil­ their parents. We can't say they can't help dren who are earning with the harvest. But that's not the wages or who are same thing as children in prostitution working full-time. camps." The plight of urban "There are powerful economic argu­ street children has ments for measures to reduce child labor," received considerable argues the paper. "Premature and extensive international media engagement in work prevents children from pUblicity. But the report accumulating human capital and having points out that far larg­ higher earnings in later life, while econom­ er numbers of children ic growth is adversely affected by lower are employed in agri­ rates of productivity growth," it asserts. culture and domestic It sees a clear decline in the incidence of service. Similarly, child labor as a country's per capita income although children mak­ grows. In countries with per capita income of ing textiles or carpets $500 or less at 1987 prices, the labor force for export to industrial­ participation of children between 10 and 14 ized countries have ranges from 30 to 60 percent. But in coun­ attracted headlines, tries with incomes in the $500 to $1,000 child factory workers income range, child labor drops to between are more likely to be 10 and 30 percent. There is also a connection producing for domestic between child labor and a high share of agri­ consumption. culture in gross domestic product. In terms of actual The paper proposes that the Bank should numbers, most child take stronger action in partnership with Minding the store in Yamassoukro, Cote d'ivoire workers are in Asia, bodies like the !LO, UNICEF and non-gov­ D ressed in a simple shift dress and Half a world away in Guangdong in but the proportion of children working is ernmental organizations. "Solutions are pair of shorts, Aisha sits cross­ southern China, eight-year-old Wai Lin the highest in Africa where, on average, one needed to stretch conventional thinking," it legged beside her mother and comes home after school to help out in her child in three is involved in some form of suggests, advocating a fresh look a school father under a huge holey and battered parents' grocery stall. economic activity, mostly agricultural. schedules and finding ways to make sure black umbrella imitating her parents. In Surbiton, suburban London, Edward Although the global incidence of child that children do get good primary education Nimble fingers are essential, otherwise her rushes home, throws off his school uniform, labor has been falling, especially in south­ by providing flexible school hours. hands will take a beating from the hammer puts on a striped coat, stuffs a white hat in east Asia where rising incomes, the spread It suggests that in its country assistance that she chops down repeatedly on the his pocket and cycles off to serve behind the of education and smaller families have all strategies, the Bank should systematically bricks she is holding. At the age of six, counter of the local fish and chip shop; at had an impact, in some Latin American integrate child labor considerations into its Aisha has already been introduced to the 15, it's more important to him to earn the countries and in eastern Europe there has programs. In its lending activities, it cruel world of work and has become a small money for a motorbike than to do his home­ been a rise in child labor. should emphasize child labor issues and contributor to the family income, chopping work to get into university. The report asserts that poverty is at the design projects to mitigate harmful effects bricks into small pieces for the foundations These are five child workers in five very root of child labor, but this makes it a com­ of child work; in non-lending it should of roads in Dhaka, Bangladesh. different situations, a handful of several plex problem with no simple solution. bring child labor issues into the policy dia­ A thousand miles west, across the lndo­ hundred million child workers worldwide Former Bangladesh finance minister, Saifur logue, increase awareness of the problems Gangetic plain in Rajasthan, Prem works who are the focus of a new paper by the Rahman, claimed in an interview that for and strengthen partnerships. The Bank has long shifts in a carpet factory. He says he is social protection group of the World Bank's some girls in his country the opportunity of established a , task force on child labor 15, but there are no telltale wisps of beard nor human development network. working at 14 or 15 in the burgeoning gar­ which will explore ways of developing huskiness of voice to suggest approaching The paper expresses the Bank's concern ment factories is a great blessing since it programs to reduce the costs for families puberty. He says he is lucky because he earns about early child labor, which it terms "a gives them an opportunity to earn money, of sending their children to school and more than friends who spend their days in the serious global issue. In its most harmful establish their independence and save them reduce the likelihood of having to send fields minding sheep or cows. "Without my forms, it impairs the physical and mental from falling prey to prostitution. them to work. money, my family could not stay alive," he development of children." The International Nevertheless, there are many obvious "No institution acting alone can solve says simply. For him, as for Aisha, school is a Labour Office estimates that there are 250 evils of child labor, including long working the problem," the paper says. "The Bank, luxury that their families cannot afford. minion child workers worldwide aged hours or unhealthy conditions that can with its finite resources and special man­ In one of the sprawling suburbs of between 10 and 1.4, of whom 120 million impair development, exploitation, exposure date, is no exception. Partnerships are there­ Mexico City, Juanita, aged 10, is hard at are doing full-time jobs. Both the Bank and to disease in jobs like rag-picking and even fore essential. Working together, a global work from early morning looking after a rr.D concede that the figures are of low virtual slavery in some work, notably the effort to eliminate child labor is feasible and small street stall that sells "fresh" ice-cream quality, not least because child labor is ille­ sex industry. would be a major contribution to world and yogurt; while waiting for customers, gal in many countries and ofticial blind eyes Zafiris Tzannatos, co-author of the development." she reads comics. don't always admit that it's happening or paper, says: "It is natural to expect children - KEVIN RAFFERTY Spare an e-mail for the Bank's homeless artists W ith rare exceptions of those titans who were fortunate enough to latch onto a powerful patron, artists throughout history have never age to almost retirement age. Generation, gender, and pension plan differences were overcome, however, by their common objec­ tive - to make their bit of the world a slight­ sides have now reached a cease­ fire and have had civil discussions had it easy. Although they may have some ly more mellow place by coming in each via e-mail since way to go before they join the leagues of week for two hours, sketching away apples, then, the class Leonardo da Vinci and Vincent Van Gogh, bananas, cups, saucers, and other worthy has been banned the budding artists at the Bank are also fac­ objects to the tunes of Bach and Vivaldi. from using ing similar pressures of outrageous fortune. Nevertheless, such simple pleasures rooms in the H The culture to develop creative, aesthetic were shattered one evening when two building. talent is such that the artists at the Bank, Bank staff entered the makeshift atelier in Apparently, who were sculpting and drawing happily, the H building to protest that the art class this establish­ are currently homeless - and will likely was disrupting the Bank's ultimate goals ment's austerity remain so unless some benefactor turns up of poverty alleviation. The class was told measures of in the near future. that their still-life objects and drawing recent years has Aforlorn Goto takes her sketch pads to MC atrium It wasn't always like that, though. The lat­ boards were in the way of computer termi­ not allowed it to build a separate events unhappy-looking Bank staff member in est session of Bank art classes - divided nals and other instruments essential to the room which would allow the art classes to front of a drawing board endeavoring to between drawing and sculpting - began in Bank's business. Pointing out that nothing express themselves without any future deba­ recreate the beauties of nature in the mid­ autumn last year due to popular demand. The in the room was touched and that every­ cles between artists and the Establishment. dIe of the street, perhaps you could spare a eight or so beginners of the drawing class thing is always cleared up after class Until then, the art class will either have to use penny for a good cause or an e-mail to were not only staff members, but also spous­ proved futile; it was only met with screams the cafeteria, or be completely homeless. plead for a home for the art classes. es and children of staff, ranging from school of protest to the contrary. Although both So, if you happen to walk past an - SHIHOKO GOTO BANK'S W*RI.D 8 January 28, 1998 Wolfensohn pledges 110% effort to repair trust Awful offal by BW Reporter putting together the Korea program in three weeks while simultaneous- energetic leader. If Africa is a good example, then attitudes may perceptions than those at headquar­ ters; indeed, they respond 15 to 30 ushed awa" :l PRESIDENT JAMES Wolfen- ly working on aid to Indonesia and become more positive as the bene- points more favorably than head­ A STRONG smell of sewage, which sohn told a packed town hall meet­ Thailand and continuing all the fits of change appear and the unset- quarters staff. About 48 percent of had infiltrated the main complex ing last week that he was dismayed other programs. "I am enormously tling effects die down. national staff say that their affilia­ from the C2 level, has been fixed, said by the results of the 1997 staff sur­ proud of what you are doing," he There were few differences in tion with a network has begun to building maintenance. Many Bank vey which showed distrust of said, but conceding that the survey the survey results by gender or help their work (15 percent of staff had complained of nausea and senior management, but pleased by showed "basically you have no grade, except that only 54 percent headquarters staff) and 43 percent headaches. the support for the Bank's goals. trust in management." of women believe that their manag- say they are seeing the benefits of ''The smell crept up on us, but we He pledged that he and his team A careful analysis shows some er gives their views serious consid- change (19 percent at HQ). got used to it But then some bugs would make a "110 percent effort" positive aspects, besides the fact eration compared to 61 percent of The most important lesson, a came and we got this killer instinct because we were getting bitten. Little in the coming year to get things that a vast majority of staff support men, and the fixed-term staff stand senior manager warned, was "to chunks of us were being eaten up;' right and restore the trust with the beware of complacency. Many said Julie Lassen, in American staff. of my colleagues believed that Express. ''Even though some people 'The message has been clear­ when the survey foons were say the mosquitoes were from our ly heard," he said. But Wolfen­ collected, it was a once-and-for­ plants in the office, it was kind of a sohn also pleaded that outside all exercise that they could for­ clue to complain about the smell." perceptions of the Bank were not get about. They are wrong. Building maintenance runs a as gloomy as those inside the Change requires work, commit­ tight ship and began investigating institution. He recalled that ment, leadership and team spir­ the problem thoroughly, reporting before he took over, the "50 years it and it is not something that that the problem stemmed from the is enough" campaign was in full will happen overnight or in a lack of four simple traps that the architects neglected to include in the cry, foreign aid was falling and week or month. It requires years original building plans. ''It was an there was a feeling that the Bank of effort and we have to make oversight on the drawing," said was becoming irrelevant. He that effort." Buddy Norris, engineering supervi­ claimed "tremendous progress, Jamil Sopher, the new chair­ sor for GSD. developments of which I am very man of the Staff Association, The traps keep sewage smells proud, especially in the last six told Wolfensohn that his mem­ out by holding water in between months." bers wanted the following: con­ the pipes and blocking gases from He pointed out that the US con­ SA's Sopher (I) meets Wolfensohn after town hall sistently applied institutional val­ coming back through , t he pipes and gress had voted for full payment of ues; a voice in the Bank; and into open spaces, according to Ray IDA funds; that relationships with the goals and mission, enjoy their out consistently as more positive. "leaders who will lead." If they got Weisman, chief of building mainte­ client countries had become work and still want to work for the On the question of morale, 58 per­ these, then staff would "bust their nance. ''So far, workers have installed the traps in two places: the "entirely positive" and they were Bank in five years time. Broken cent of the fixed-term staff say their butts to be the best partners" of man­ sewer ejector pit, which holds sewage singing the Bank's praises; that the down by vice presidency, two morale is high, but only 35 percent agers. water, and in the sump pit, which Bank has built important bridges regions did relatively well, Africa, of regular staff, 44 percent of long­ Wolfensohn appealed to staff to holds aU other water;' said WeismaIL with civil society and that even the where the renewal movement has term consultants and 39 percent of be constructive and to help make He is confident the traps will Pope had spoken positively of the been going on longest, and South long-term temporaries. partnership work. He promised to solve the problem, but if it doesn't, international financial institutions Asia, where the vice president Another big difference is that ''take the issues [the survey raised] maintenance will work until they in his new year message. Wolfen­ Mieko Nishimizu has, by the com­ national staff working abroad are and deal with them and run like a eradicate the smell completely. sohn praised the achievements of mon consent of her staff, been an consistently more favorable in their winner." -AnnaShen The long goodbye For 11 to 17 and 18 to 30, read 1 to 5 continued from page 1 JULIAN SCHWEITZER says every so many years I go up a pay because I do not have any direct be no new hires from July 1, but mented: "I have worked here for six the human resources department is grade. Then it creates artificial reports. I have a team which I am the current NRS can be extended years and have been constantly told hard at work with a plan to get rid hierarchies, for example, I am a leading, but I do not have 120 peo­ for up to 24 months, while we deal what a marvellous job I am doing; of the complicated grading system level 24, how can I possibly work ple reporting to me as I did as a with the issue in as fair a way as we it would be humiliating now if I am in which some staff are known as for you at level 23 on this task? director [in the Latin America can. told I have to compete for my own levels 11 to 17s and others see But if you are in the lead on this region]. But what has that got to do "Quite obviously, we are not job. I'd be out of the door." their lives dedicated to climbing a job, why shouldn't I work for you with the manner in which I get going to do 2,400 job gradings. prickly tree to 25 and 26, then on it. You may work for me on paid?" That would be 100 a month and aspire to the dizzy heights of 27 or something else." Schweitzer has high hopes that that would tax the organization. 28. To outsiders, it is all a bit of a The aim, he added, "is a small­ a new system of broad bands We will essentially look at the mystery, and even president James er number of broader bands, rather than narrow grades will work people are doing generical­ Wolfensohn asked: "Where are the which would permit more flexibil­ "change the mentality of the orga­ ly, look at the responsibilities we levels 1 to 1O?" ity. We have international consul­ nization, away from a very grade, need in those positions and then Soon, promises Schweitzer, it tants to help us design the broad­ hierarchical linear structure. Orga­ multigrade them and invite may be a thing of the past. He told banding and the associated com­ nizations which have [changed] applications and encourage NRS Bank's World: "We are doing seri­ pensation system. have found that people are much to apply. Many of the current ous work in designing a new grad­ "Even if we did not do broad­ less looking over their shoulders at NRS will probably be successful Schweitzer: one staff wherever they are ing system common to the whole banding, we would have to do a everyone else's grades and are because they are doing a good Bank to take into account a much fundamental review of the compen­ having to define their job in terms job." President Wolfensohn also flatter management and organiza­ sation system. The reason is that we of what they are doing. It is quite Asked about the potential uncer­ referred to the cost of regularizing tional structure, moving away now use a system called the Hay unsettling if you derive your sense tainty, Schweitzer responded: 'The NRS when he told his town hall from a civil service system of 20 comparator system, essentially of who you are by being a level 25. board is concerned that we have a meeting: "I can't promise that I can separate grades in which you based on a points system where we Can you think of an organization transparent approval process and treat every NRS as though they move up every three or try to compare our that characterizes a whole group that the staff are truly the best we were engaged as a regular staff four years, towards pay with those of of staff by calling them level 11 to can get at whatever level. Staff who member." But he promised "equi­ one where staff will be other people of 17: is that a healthy organization? have come in as regulars or fixed table treatment and then to go a bit able to move more equivalent levels. It It is horrible. term have been through a competi­ further." wi thin a band based is a very complicated ''The market is demanding that tive approval process, so there has Schweitzer acknowledged: very much more on and sophisticated the way we pay people is based a to be parity in transparency." 'There is obviously a lot of ner­ their individual perfor­ system. bit more on their market value Front-line managers already see vousness at operational level about mance." ~ "But the difficulty rather than equity. We are having problems with the proposed the costs of this phase-out. But the He pointed out § is that it is breaking to practice what we preach to our process. One 25-year veteran blunt­ organization has to decide whether some of the anom- VP Berry down because the cljents: there is a labor market out ly said: "We have been dollar-dri­ 40 percent of its staff doing core alies: "There is no real distinction way that private sector people are there which we have to take heed ven for too long, but the truth is that functions as non-regular is a between the actual work done by awarding pay is no longer based on of. The advantage of broad-band­ I may have eight jobs at current healthy situation. The situation we levels 23 and 24 or 15 and 16 or, the job structure system. The Hay ing is that it gives you more flexi­ NRS salaries, but only six, or are in is a result of a lot of things dare I say it, 27 and 28. If you comparator awarded a lot of points bility within those bands to pay in maybe four, if we have to pay pen­ that happened in the past. There is can't distinguish between levels for the number of direct reports you terms of performance and also of sion and other benefits taking the no painless way. What I am trying within these grades, then why have. I could jokingly argue that in function. And it gets rid of artifi­ total package to 150 or 160 percent to do is to find the fairest, most have grades? Having the grades taking this job [at HRS working on cial distinctions of grade which of what we pay the current NRS." A transparent way." creates all sorts of anomalies. First new employment policy and pay mean very little." long-term NRS staff member com- of all, it sets up entitlements that and compensation], I should lose - Kevin Rafferty