Common responsibilities – same standards?

 8 March 2011

Should officials in different parts of the State be subject to differing integrity obligations?

New Zealand had a Public Service code of conduct from 1990 until 2007. The code applied to staff in the Departments listed in Schedule 1 of the State Sector Act. There were between 34 and 37 departments at any one time, encompassing about 43,000 public servants. The code didn’t apply to “non Public Service departments like the Police, the Defence Force and the Parliamentary Service. It didn’t apply to the many agencies detached from departments under the New Public Management reforms of the 1980s.

The Crown Entities Act came into force in early 2005, clarifying governance arrangements of Crown entities, and identifying parts of government that, together with the Public Service make up the State Services. The State Services Commissioner was empowered to issue standards of integrity and conduct that could be applied to the Public Service and to other agencies in the State services. His code, which came into force in December 2007 applied to more than 120,000 State servants (with no decision made yet on whether to apply the code 40,000 school board employees) .

In 2008 an amendment to the Cabinet Manual extended this obligation. The Cabinet Manual directs that all State sector employees in the State must conform to the principles of public service – of being fair, impartial, responsible and trustworthy. These are the 4 elements under which the State Services Commission has group the 18 standards of integrity and conduct for the State Services.

In addition to the standards, the State Sector Act requires Public Service chief executives to ensure their staff maintain standards of integrity and a spirit of service to the community. So the situation in New Zealand is that with the exception of local authority employees, most people working for government agencies are bound to the same integrity obligations.

Canada is now taking that road. A new public sector code is being enacted. This will replace the existing public service code and make many more officials subject to common set of behavioural standards . The statutory proposal is that agencies will develop an agency specific code in addition to the public sector code.

http://www.tbs-sct.gc.ca/chro-dprh/ve-eng.asp http://www.ssc.govt.nz/state_sector_organisations http://www.ssc.govt.nz/integrityandconduct

Expectations of government websites

7 March 2011

The State Services Commission has released survey results showing  the key drivers of satisfaction when public services are delivered online.  Although New Zealanders indicate that different drivers influence opinions about service transactions compared with obtaining information, the most important driver for both accessing information and transacting on line is  that “the service experience met my expectations”. Interestingly the 2009 Kiwis Count survey found that this is also the key driver for overall satisfaction with public services.

What may well be a surprising finding is that the same websites are the most popular for information and transactions although almost 50% more people seek online information (98% in the last 12 months) than want service transactions (68%).  Most referred to sites are shared between central and local government;  Inland Revenue and Land Transport NZ have the central government websites most frequently accessed and local authority and local library sites are the most used in local government.

State Services Commission indicates that these findings will shape the Common Measurement Tool.  CMT has become the means a number of agencies use to measure customer satisfaction with public services, and part of their commitment to strengthening trust and confidence in government.

http://www.ssc.govt.nz/display/document.asp?docid=7985#top

 

Corruption in China

5 March 2011

The Premier’s opening speech the China’s People’s Congress has again referred to the importance of controlling corruption.  He said the party needed to loosen the concentration of power in the hands of a few and “resolutely” deal with endemic corruption.  This policy is a response to public anger.  It builds on a warning from the President last year that the corruption situation was “grave” and that  change would require long-term efforts.  In 2009, more than 100,000 officials were convicted of embezzlement and bribery.

The Chinese Government plays its part in international moves to counter corruption, being active for example in the WTO and  UNCAC, and in 2009 when holding the APEC chair, took the lead in raising the profile of anti-corruption measures in the region. However preventing corruption requires transparency and a willingness to exercise power in the public interest. The nature of Communist Party government can sit uneasily with those drivers.

This week the most senior of China’s leaders ever reported by the media to be corrupt was sacked from the role he has had since 2003 as the Minister of Railways.   He is alleged to  have embezzled more than $121million.  These “serious disciplinary violations” appear to have been bribes in return for contracts for the high-speed rail network.

The Chinese system has a Department for Discipline Inspection that deals with corruption within the Party organisation.  Although offenders often receive death sentences  these usually are commuted.  This occurred last year when a senior anti corruption official in Shandong Province charged with corruptly obtaining assets over a ten year period ended up with a 2 year sentence. The official report was that his assets we confiscated.

http://www.deccanherald.com/content/95388/chinese-anti-corruption-chief-gets.html

http://www.theglobeandmail.com/news/world/asia-pacific/corruption-inflation-top-priorities-chinese-premier-says-in-laying-out-agenda/article1931182/

http://www.bbc.co.uk/news/world-asia-pacific-12605826

 

Who watches the watchers?

4 March 2011

Canada has a complex arrangement of integrity agencies.  This ethics framework was strengthened by the Federal Accountability Act in 2006, creating checks and balances giving effect to the recommendations of the Gomery Commission.  The  Office of the Public Service Integrity Commission is one of them. Unfortunately the appointee has failed to carry out the expectations held for that Office.  Public debate grew. The Auditor General began an inquiry. The Integrity Commissioner resigned.

The Auditor General’s December 2010 report confirmed that the Integrity Commissioner failed to perform her mandate properly, had not acted on complaints, some decisions were not supported by evidence, her conduct and interactions with staff were inappropriate and that she had taken retaliatory action against staff.  In a damning summary the Auditor General stated:

“We are of the view that the Commissioner’s conduct and actions were inconsistent with the spirit of the Public Servants Disclosure Protection Act, the same Act from which she obtains her mandate. Further, the Values and Ethics Code for the Public Service states that ‘Public servants shall act at all times in a manner that will bear the closest public scrutiny; an obligation that is not fully discharged by simply acting within the law’. In our view, the Commissioner’s behaviour and actions do not pass the test of public scrutiny and are inappropriate and unacceptable for a public servant—most notably for the Agent of Parliament specifically charged with the responsibility of upholding integrity in the public sector and of protecting public servants from reprisal.”

http://www.ottawacitizen.com/Disgraced+bureaucrat+getting+severance/4380251/story.html

http://www.oag-bvg.gc.ca/internet/English/parl_oag_201012_e_34448.html

http://www.ottawacitizen.com/Disgraced+bureaucrat+getting+severance/4380251/story.html

 

Academic freedom doesn’t mean intellectual honesty

3  March 2011

Recent entries have commented on integrity challenges flowing from lobbying and from exam cheats.  But what happens when lobbying and academic fraud collude?

A focus on developments in North Africa and the Gulf provides examples. A number of governments in this region have engaged public relations firms to shape foreign perceptions of them, particularly in the developed world.  Many of the agencies providing this service are London based because there are few legal constraints on representing foreign governments.  In the United States, lobbyists must declare any connections with a foreign state.  That hasn’t restrained what has been described as “…an elite band of former members of Congress, former diplomats and power brokers who have helped Middle Eastern nations navigate diplomatic waters here on delicate issues like arms deals, terrorism, oil and trade restrictions…” For more subtle influence, a way around the disclosure requirement is to exploit rights flowing from academic freedom. The Monitor group has identified the following deception that can occur under the guise of research and academia.

A Harvard professor who developed the concept of “soft power”, published a paper illustrating its use in terms of democratic governments working with the regime in Libya. What was not disclosed was that he was engaged by a PR company getting substantial payments from the regime to “enhance the profile of Libya and Muammar Qaddhafi”.  Part of the commission was to increase media coverage “broadly positive and increasingly sensitive to the Libyan point of view”.

British and American universities are known to accept donations from “suspect” sources.  The Guardian reports that the London School of Economics has far deeper links to dictators than are in the news at the moment.

Harvard recently returned a substantial gift received from a Gulf based donor.

Ethical norms must be that funding and academic publications reflect honest and open processes.

http://www.guardian.co.uk/commentisfree/2011/mar/04/lse-howard-davies-libya-uae

 

Who influences who?

2 March 2011

There is lobbying and lobbying.  Making submission to parliamentary select committees fits the democratic model. Interested groups transparently seek to have their viewpoint considered when legislation is being developed.  An award winning entry in the recent Mix and Mash competition for data Mashups provides readily accessible information about organisations that frequent lobby the New Zealand Parliament.

In New Zealand the more questionable face of lobbyists – the undisclosed engagements with Ministers and government decision makers – gets no media attention and has no profile.  The OECD Governance Committee seeks to open up awareness of this type of influence through formal registration of lobbyists, and  disclosure of lobbyists’ contacts with government. The Principles of Lobbying published in February are a tool for promoting this sort of transparency. Regulation of lobbyists is in place to varying degrees in the majority of OECD countries. In a number of jurisdictions, NGOs are active in disclosing the activities of lobbyists. In the United States where the lobbying sector channels multimillions of dollars to elected representatives and their parties, there are growing numbers of websites linking donors, beneficiaries, sums involved, and how voting trends reflect the interests of the donors.

http://whoslobbying.com/nz

http://www.oecd.org/dataoecd/14/57/44641288.pdf

http://www.opensecrets.org/

What happens when cheats start working?

1 March 2011

The academic year has begun. Canterbury and Lincoln Universities affected by the earthquake have postponed the start of lectures, but at other universities the term is underway. New students will be advised about academic ethics and warned about the consequences of cheating. Research findings published last year indicate a growth in the frequency of cheating, with more incidents in some universities than others. The majority of detected cases involve international students. But New Zealand is little different from other countries. Two years ago a high profile case involved a senior public servant who had worked in the Prime Minister’s Office, falsely claiming a PhD. Today a case with international profile involves the German Defence Minister who has resigned admitting that his PhD thesis included work that was not his own.

Cheating at university is likely to reflect a pattern of cheating at school. This week’s Ethics Newsline explores a US survey finding that 95% of high school student respondents admitted to cheating in the past year despite the majority acknowledging that cheating was “morally wrong”. Other statistics include 82% claiming to see cheating on homework and 44% seeing others cheating in exams. The researchers state that these levels are unprecedented. “… like international bribery or government bidding scandals, it’s brash, in your face, and widely known.” Students claim that they can find hardly anyone willing to enforce standards.

Our workforce will include graduates with this experience. Practised in deceit, they will bring that deception into the workplace. They will create a “culture of convenience, compromise and corruption for the next generation…”

Agencies should not take it for granted that new appointees have an ethical awareness. Managers must take responsibility for explaining agency standards, ensuring work practices reflect those standards, taking a lead in modelling those standards, and that they challenge any non conformity. That is what the the 6 trust elements, promoted by the State Services Commissioner, are all about.

http://www.stuff.co.nz/national/education/3210319/Victoria-University-busts-most-cheats/

http://www.nzherald.co.nz/world/news/article.cfm?c_id=2&objectid=10708273

www.globalethics.org/newsline/2011/02/28/students-cheat

Secondary employment can be an integrity risk

28 February 2011

The Western Australian Crime and Corruption Commission is prosecuting a former Health Department contracts manager and the director of an engineering company.  The circumstances relate to the manager fraudulently obtaining payment in the name of his private consultancy for work which was part of his salaried position. He is alleged also to have engaged the engineering company on building projects without following normal procedures.

This case highlights the risks agencies face if they do not have clear conflicts of interest policies, don’t ensure their staff are trained in complying with them, and then don’t aggressively police them. All private business interests are a potential conflict.  Most constitute secondary employment and must be specifically authorised to minimise integrity breaches.  There is an enhanced threat where staff engage privately in the same type of activities for which they are employed.  Where this involves contracting and procurement, there is a particular risk to good government.

An obligation to be trustworthy under the State Services Commissioner’s code of conduct includes the standard to “ensure our actions are not affected by our personal interests or relationships”.

The Commissioner provides guidance that we must be alert to the potential for conflict between our personal interests and the work of our organisation.

  • It is important that we do not act in a way that improperly benefits our family, friends or groups in which we have a personal interest.
  • We must not give preferential treatment to people we are connected with. This will preclude our taking part in employment selection processes, or having supervisory responsibilities, that involve another family member.
  • Any commercial activities, investments or other personal interests must not influence the work we do, and we must declare where our interests may conflict with our responsibilities.
  • Before undertaking additional employment, whether remunerated or not, we must get consent from our employer. We must also disclose any business we set up that will operate concurrently with our work in the State Services.

If we, a close family member, or long-standing friend, have significant financial interests in areas where we have to make decisions, we expect to declare these in an accessible register kept by our organisation.

What is required is to avoid creating any sense among reasonable, fair-minded and informed observers that we favour any party to a decision or that we are serving our own interests, and avoid anything that would make them feel there is a real danger of bias in what we do.

http://www.watoday.com.au/wa-news/wa-fraud-accused-has-passport-returned-20110224-1b6t2.html

http://www.ssc.govt.nz/display/document.asp?docid=7902&pageno=5#P277_25160

 

OECD drives transparency in lobbying

25 February 2011

The Public Governance Committee of the OECD last week published Principles for Transparency and Integrity in Lobbying. These provide decision makers with directions and guidance to foster transparency and integrity in lobbying. The Committee recommends that member states establish rules that take the Principles into ccount and that they disseminate the Principles to legislators, the private sector and to lobbying constitutencies. The proposal is that the OECD will report progress in giving effect to the Principles in three years and periodically thereafter.

In New Zealand lobbying is not recognised as a challenge to the integrity of government or to the effectiveness of the democratic process. Ministers are accessible by all interest groups, effective processes of parliamentary scrutiny are in place and official information is generally available. Reliance on these safeguards may be naive in light of experience in almost every other comparable jurisdiction. A survey in 2010 by OECD disclosed that most member states had concerns about the threat to public trust posed by improper access to decision-makers.  A growing number of jurisdictions have rigorous disclosure requirements and constraints on revolving doors that facilitate the move of public sector leaders into big business. Revolving doors can be seen as reward for the favourable use of influence.

The OECD requirement to report on measures taken to regulate lobbying may influence the New Zealand perspective on the value of disclosing who may be influencing decision makers.

The OECD sees transparent arrangements as a solution.

In South Carolina the newly elected State treasurer now publishes his electronic diary on the web so that all constituents can see who he meets and the nature of those meetings.

http://acts.oecd.org/Instruments/ShowInstrumentView.aspx?InstrumentID=256&Lang=en&Book=False

http://schotline.us/2011/02/03/transparency-in-action-treasurers-request-to-move-budget-control-board-meetings-to-larger-venue-approved/

http://sunlightfoundation.com/blog/2011/02/24/carney-dodges-lobbying-questions/

Pacific way not what it was?

24 February 2011

A Parliamentary report of the Foreign Affairs, Defence and Trade Committee about New Zealand’s

relations with South Pacific countries into the way New Zealand can support economic development

suggests that there have been “disappointing results” from the substantial aid provided by NZ. The Committee found that conditions have deteriorated in the 20 years since the last inquiry.

There was no unanimity among the political parties. The Government members consider that NZ’s aid policy has contributed to “bloated… bureaucracies” and that funding should be redirected. The Labour Party members do not accept that Pacific governments are the problem. The Greens want an overarching commitment to reducing poverty, and the Maori party wants aid to support the establishment of traditional structures rather than attempting to replicate governance processes in Australia and New Zealand.

The poor state of South Pacific governments is evident in the Transparency International Corruption

Perceptions Index.

62nd Samoa 4.1

73rd Vanuatu 3.6

91st Kiribati 3.2

101st Tonga 3.0

110th Solomon Islands 2.8

Although the pro-democracy movement in Tonga – which may have contributed to major destruction in Nuku’alofa 18

months ago – is not referred to by the media when commenting on recent developments in North

Africa, it is interesting that Tonga has a corruption rating falling between Egypt (3.1) and Algeria (2.9)

both which have experienced civil unrest this month.

http://www.johnhayes.co.nz/archives/12-14%202010%20Final.pdf

http://www.transparency.org/policy_research/surveys_indices/cpi