WB Staff Assn memo on Wolfie

[someone passed this memo from the World Bank Staff Association about =

special treatment for Wolfowitz’s girlfriend along to me - Woj =

earlier posted links to stories on the affair in the WashPost and =

Arab News - I’ve appended the FT’s]

Staff Association Update April 3, 2007 Dear Colleagues, Since publication of the March 28, 2007 “In the Loop” column in the =

Washington Post, the Staff Association has been inundated with =

messages from staff expressing concern, dismay and outrage. The Staff =

Association has looked into the concerns and would like to inform =

staff of what we have found. At the same time, we call on Senior =

Management and the Board to clarify what appear to be violations of =

Staff Rules in favor of a staff member closely associated with the =

President.

Bending the Staff Rules

At issue are the terms of external assignment for Ms. Shaha Ali Riza, =

formerly a Senior Communications Officer in the Middle East and North =

Africa Region (MNA). According to the Postand a subsequent New =

Yorkerarticle, the Board’s Ethics Committee determined that Ms. Riza, =

who was linked romantically with Mr. Wolfowitz, should be placed on =

external assignment so as to avoid what Staff Rules define as a de =

factoconflict of interest, when one partner supervises another. =

Accordingly, Ms. Riza went on external assignment, with pay, on =

September 19, 2005. The Staff Association has not been able to =

determine who drew up and approved the terms of the external =

assignment. However, we have been able to verify that they are =

grossly out of line with the Staff Rules.

Promotion: Despite the “complement control” that limits the number of =

staff at grades GH and GI, Ms. Riza was given a non-competitive =

promotion to level GH on the day that she left on external =

assignment. Promotion from GG to GH is supposed to be competitive, =

vetted and approved by the relevant sector board and is supposed to =

be against a specific position (Staff Rule 5.05). This promotion =

clearly does not conform to the procedures.

Promotion Increase: Staff Rule 6.03 stipulates that salary increases =

upon promotion should be the greater of (a) 3-12% of the Market =

Reference Point (MRP) of the new grade, or (b) the amount necessary =

to bring the salary to the minimum of the new grade. Ms. Riza’s =

promotion increase should have been determined by the former =

calculation. However, she was given a promotion increase of 28% of =

the MRP =96 more than double the amount allowed by the Staff Rules.

Annual Increase: Since the performance of staff members on external =

assignment cannot be assessed and compared to that of their =

colleagues, Staff Rule 6.05 directs that their annual salary =

increases be set at the average percentage applied to adjust the MRPs =

for grades GA =96 GI. For FY07, the average percentage was 3.7%; Ms. =

Riza’s annual increase this FY amounted to 7.5%.

Leak or Whistleblowing?

In general, the Staff Association defends a staff member’s right to =

have the Bank Group preserve the confidentiality of certain =

information=97and we deplore this leak of a staff member’s confidential =

salary information. However, in this case, the information shared =

with the press reveals a violation of the Staff Rules and therefore =

seems to us a clear case of whistleblowing. We call upon Senior =

Management and the Board to address this issue: explain how/why the =

Staff Rules were bent in this case, take steps to ensure compliance =

with the Staff Rules with regard to Ms. Riza and set in place a =

system that will ensure (and allow verification) that Staff Rules are =

consistently applied. If everything is above board, it reduces the =

impetus to “leak” information and the need to blow the whistle.

Effects on Staff Trust and Morale

The 2005 Staff Survey revealed the low level of staff trust in our =

Human Resource processes =96 largely because the rules are either =

ignored or are applied unevenly. This case sends the message to staff =

that the rules apply to everyone exceptthose associated with the most =

senior levels of management. It also sends the message to managers =

that they may flout the Staff Rules with impunity. It is =

extraordinarily discouraging to staff who have been denied promotions =

and/or who receive a minimal salary increase despite a stellar =

performance evaluation =96 and to hardworking GA-GD staff whose entire =

annual salaries are less than Ms. Riza’s promotion increase. This is =

not the first instance of such Staff Rule violations by the current =

World Bank Group Management, and the Staff Association calls upon =

them to abide by and uphold the Staff Rules that govern allof us.

Senior Management has put forward a call for good governance, both =

within the Bank and among our partner countries. Good governance is =

founded in a respect for rule of law, transparency and =

accountability. In order to be credible, Senior Management must model =

the behavior it espouses.

World Bank Group staff await the answers to these questions.

P.S. Comments and questions may be directed to the Staff =

Association’s Confidential Feedback Line.

=3D=3D=3D=3D=3D=3D=3D

Financial Times - April 5, 2007

Wolfowitz partner’s pay rise sparks protest By Krishna Guha in Washington

World Bank staff are protesting over reports that Paul Wolfowitz’s =

partner, Shaha Riza, a bank official, was given a promotion and pay =

increase to $193,000 when she was seconded to the US State Department.

In an e-mail circulated to all bank employees, the staff association =

on April 3 called on its management and board to explain “what appear =

to be violations of staff rules in favour of a staff member closely =

associated with the president”.

The association said it had been “inundated with messages from staff =

expressing concern, dismay and outrage” at the terms of the =

assignment, first reported in the Washington Post.

The controversy is a sign of the poor state of relations between Mr =

Wolfowitz’s management team and bank staff.

The World Bank refused to comment on the accuracy of the reports =

which, if true, would make Ms Riza the highest paid official in the =

State Department. Condoleezza Rice, secretary of state, earns $186,000.

The association claims that Ms Riza’s promotion did not conform to =

bank procedures, that she was given an initial pay increase more than =

double the amount allowed by the staff rules and that she was then =

given an annual pay rise that was above the rate applied to bank =

staff on external assignment. On Wednesday night the bank was unable =

to comment specifically on these three allegations.

However, the bank’s general counsel is understood to be seeking =

permission from the board of directors to release a detailed memo.

The question of what would happen to Ms Riza, who was a =

communications officer in the bank’s Middle East and North Africa =

department, arose as soon as Mr Wolfowitz was nominated for president.

Bank rules prohibit one spouse or partner from working for another. =

Mr Wolfowitz, though, was determined to ensure that Ms Riza’s career =

should not suffer on account of his appointment.

“The president asked the board to be recused from any personnel =

decisions involving the staff member,” a senior bank official said. =

“The board over-ruled him and over his objections instructed him to =

resolve the issue through an external assignment.”

The official said the terms of Ms Riza’s secondment were approved by =

the ethics committee of the board =96 not by Mr Wolfowitz.

He said the terms of the assignment “recognised her professional =

contribution and career opportunities”, which might be impaired by =

her departure to the State Department.

Mr Wolfowitz was asked by the FT if he wished to comment but referred =

the matter to career bank staff. The FT tried to reach Ms Riza for =

comment via the bank, but was unsuccessful.

Leave a Reply