Friday, January 23, 2009


According to U.N. Chief Procurement Officer Akiko Yuge, the contract for PRO-FIT was approved after a "competitive bidding process" in 1998. The contract was approved under an arrangement known as a Reimbursable Loan Agreement, which allows UNDP to pay outside companies for the services of temporary employees, and does not, Yuge says, require further competitive bidding. "UNDP believes that to date it has received value for money from PRO-FIT," she added.

That is a stunning statement from a Chief Procurement Officer, a red herring, no doubt.

RLAs are rarely used, and if so, only to obtain the very specific services/expertise of an individual or a small group (say, a research institution).

The agreement will typically be for a limited period of time (some months, maybe a year).

RLAs are not intended for temp agency services.

Yuge is lying (what's new). A contract for temp services should always be awarded competitively. If this agency has had an ongoing contract for 10 years (or even more) simply for temp services of clerical nature (data entry they claim...) it is a sweetheart deal of the worst kind.

For one, temp services should by nature not end up as a 10 year + contract - that is self-contradictory.

The constant use of temps also constrict career opportunity and development for regular staff, and is in some cases used as intimidation ('If you guys don't behave and do my bidding, we'll outsource what you do!')UNDP needs major house cleaning. Problem is that top management is the big problem.

The Executive Board must step up before this spins further out of control.

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