COUNCIL DECISIONS ON THE 5-YEARLY REMUNERATION REVIEW, AJUSTMENTS FOR 2001 AND CHANGES TO THE STAFF RULES AND REGULATIONS

As announced by the Director-General in December last year, Council approved the package of measures concerning the 5-yearly remuneration review, recommended by the TREF Restricted Group, as well as the adjustments for 2001 related to salaries and pensions. These measures, as summarised below, enter into force on 1 January 2001, subject to later implementation of some items. Related changes to the Staff Rules and Regulations will be published as soon as possible in the mean time, changes which were annexed to the Council Resolution can be viewed on the HR Division Web site.

1. Scale of basic salaries (Annex R A 1 of the Staff Regulations) : increased by 4.32% resulting from the 5-yearly Review, and by 0.6% which corresponds to the salary adjustment for 2001. This includes the increases in social insurance contributions indicated below.

2. Scale of stipends of Fellows (Annex R A 2 of the Staff Regulations) : increased by 1.52% resulting from the 5-yearly Review, and by 0.6% which corresponds to the adjustment for 2001. This includes the increases in social insurance contributions indicated below.

3. Contributions to the Pension Fund (Article II 1.07 of the Rules of the Pension Fund) : are modified to attain a ratio of one third to two thirds, by Staff Members/Fellows and the Organization, respectively, without modifying the total level of contributions to the Fund. This entails an adjustment of contributions by Staff Members and Fellows from 9.37% to 10.12% of reference salary (corresponding to an average increase of 0.92% of basic salary/stipend), and by the Organization from 21% to 20.25% of reference salary.

4. Long-term Care - contributions to the CERN Health Insurance Scheme (CHIS)
Long-term Care insurance cover is to be introduced on 1 January 2001, within the existing CHIS, subject to various implementation measures that, necessarily, will be applied with retroactive effect. This new insurance cover entails an increase in the contribution rate of all members of the CHIS from 3.42% to 4.02% of basic salary. It also entails an increase in the contribution basis for beneficiaries of the Pension Fund ('pensioners') by applying the contribution rate to the relevant indexed last basic salary instead of their theoretical maximum pension. The next edition of the CHIS Bulletin will be devoted to Long-term Care to give details of the new provisions.
See also information on fixed contributions to the CHIS and reimbursement maxima in the article published below.

5. Career Structure (Chapter II, Section 2 of the Staff Rules and Regulations, and related amendments available at the above Web address) : The new, more dynamic Career Structure and advancement system, which aims to achieve better recognition and reward of merit, is introduced on 1 January 2001 for implementation on 1 September 2001. In the mean time, the present advancement exercise for 2000/2001 will be concluded in July this year, in accordance with the provisions of the existing scheme. This approach will allow the necessary time for a smooth change to the new Career Structure, which will be the object of an information campaign in the Divisions starting in spring.

6. Annual and 5-yearly Review procedures for financial conditions (Articles IV 1.01, IV 1.02 and Annex A 1 of the Staff Rules) : With the aim of ensuring closer adherence to the application of the annual salary index between successive 5-yearly Reviews, Council has approved the introduction of a new formula for the calculation of the annual salary index, which better reflects developments in a wider sample of Member States. Furthermore, Council has declared in its Resolution on the conclusion of the 5-yearly Review : "With a view to maintaining the competitiveness of CERN salaries and in parallel to increasing flexibility of the career structure, the Council will use its best efforts to adjust annually the salary scale in accordance with the guide provided for in Annex A 1 of the Staff Rules. As regards the 5-yearly Review procedure, Council has approved the proposed clarifications and textual improvements to statutory provisions.

7. New Saved Leave Scheme
The RSL programme is replaced by an optional Saved Leave Scheme on 1 January 2001. The first 'slice' of saved leave in the new scheme is reduced to 1.5% of basic salary, from 2.5% previously, representing 5.5 days' leave per year. Implementation measures, including the publication of the new procedure and application form, are now being taken so that all those who wish to join the new scheme, to modify their participation or to withdraw are free to do so with retroactive effect to 1 January. The notice period for such actions shall not be applied until 1 February 2001.

8. Family Allowance and Child Allowance (Annex R A 4 of the Staff Regulations) have been increased by 1.4% on 1 January 2001. The new figures are 289 and 319 Swiss francs/month respectively.

9. Reimbursement of education fees : Maximum amounts of reimbursement, stipulated in Article R A 8.01 of the Staff Regulations, have been increased by 1.4%. The new maximum amounts, applicable for the academic year 2000/2001, are 13'178 and 15'285 Swiss francs respectively.

10. Paid Associates and Students : Related changes will be implemented wherever applicable to Paid Associates and Students.

11. Variable Subsistence Indemnity rates for duty travel (Article R IV 1.41 of the Staff Regulations) have been adjusted with effect from 1 January 2001, as proposed, in line with the relevant rates of the United Nations Organization. The updated rates are now available in Divisional Secretariats.

by Human Resources Division