RESTRICTED
WORLD TRADE WT/BFA/W/2
27October 1995
ORGANIZATION(95-3326)
THE PROPOSED WTO PENSION PLAN
AND ITSCOMPATIBILITY WITH THE COMMON SYSTEM
Introduction
1. Theproposal toterminate themembership ofICITO/GATT intheUnited Nations JointStaff
Pension Fund (UNJSPF) andtoestablish aWTO Pension Planhasprompted questions regarding the
compatibility ofsuchastepwiththecontinued application bytheWTO ofthecommon system to
determine salaries, allowances andother conditions ofservice. Thepresent paper provides aresponse
tothose questions.
Thecommon system andtheUNJSPF
2. Article 3(b)oftheUNJSPF Regulations states that"membership intheFund shallbeopen
(emphasis added) tothespecialized agencies ...andtoanyother international, intergovernmental
organization thatparticipates inthecommon system ofsalaries, allowances andother conditions of
service oftheUnited Nations andthespecialized agencies". Thatarticle therefore implies thatan
intergovernmental organization which chooses toapply common system conditions ofservice may,
ormaynot,electtobeamember oftheUNJSPF.
3. TheUniversal Postal Union isoneexample ofanintergovernmental organization (andalso
aspecialized agency) which haschosen nottobeamember oftheUNJSPF andhasestablished its
ownpension fund.
4. TheWorld Tourism Organization, which isalsoanintergovernmental organization andarelated
organization oftheUnited Nations system,1applies thecommon system butiscurrently notamember
oftheUNJSPF, although itisconsidering suchmembership.
5. Thereareanumberofotherintergovernmentalorganizationsparticipatinginthecommonsystem
which arecurrently notmembers oftheUNJSPF. These organizations include theInternational
Organization forMigration (IOM), theCommon Fund forCommodities (CFC), thePreparatory
CommissionfortheOrganisationfortheProhibitionofChemicalWeapons(OPCW)andtheOrganization
ofAmerican States (OAS).
./.
1Agreement onCooperation andRelationships between theUnited Nations andtheWorld Tourism
Organization, approved bytheGeneral Assembly initsresolution 32/156 of19December 1977.WT/BFA/W/2
Page2
6. Finally, forcompleteness, therearetwoorganizations (theEuropean andMediterranean Plant
ProtectionOrganizationandtheInternationalCentrefortheStudyofthePreservationandtheRestoration
ofCultural Property) which aremembers oftheUNJSPF although theyarenotmembers oftheUnited
Nations system. Athird suchorganization (theInternational Centre forGenetic Engineering and
Biotechnology) isexpected tobecome amember oftheFund on1January 1996.
7. Itisinteresting tonotethattheGeneral Assembly oftheUnited Nations itselfmakes adistinction
between thecommon system andthepension system. Theagenda items concerning those twosubjects
areentitled, respectively, "United Nations common system: report oftheInternational Civil Service
Commission" and"United Nations pension system".
Conclusion
8. Participation intheUnited Nations common system ofsalaries, allowances andotherconditions
ofservice doesnotrequire membership intheUNJSPF. There areprecedents toshow thatneither
aspecialized agency oftheUnited Nations system, noraUN-related agency, noranintergovernmental
organization outside theUnited Nations system would beacting incontravention ofthecommon system
ifitchose nottobeamember oftheUNJSPF.