STU/67th Council/17/009
6 March 2017

The ILOAT sets aside as unlawful the amendments
to the Rules of the Medical Benefit Fund (MBF)

On 8 February, the Administrative Tribunal of the International Labour Organization (ILOAT) published its judgments on three complaints against UNESCO (3760, 3761 and 3762) concerning the amendment of the Rules of the Medical Benefits Fund (MBF) and its governance structure.

According to judgment 3761, the decision to amend the Rules of the MBF, implemented by Administrative Circular AC/HR/43 of 21 October 2014, was not taken in compliance with the provisions for amending them, as set out in Article 7.1 in the MBF Rules, and was thus “ unlawful and should be set aside. It follows that the amendments to these Rules are of no force or effect " (3761).

These complaints against UNESCO were filed with the active support of the STU. The STU sincerely regrets that this situation has arisen despite the reservations repeatedly addressed to the Director-General and Member States [1] about the new Rules and the lack of diligence on the part of the Administration in the approval process [2]. Numerous STU Flashes were also sent out to alert staff that the Organisation was walking unconsciously into a disastrous situation! [3] STU’s comments and suggestions have been systematically ignored. As a result, the Tribunal condemned UNESCO to pay to the complainants (and the interveners in 3761), for moral damages and costs, the total amount of approximately 220,000 €.

Moreover, as a result of this judgment, the Information Circular IC/HR/73 of 3 November 2014 concerning the elections for the new Advisory Board of the Fund was also considered unlawful(3762).

To avoid a prejudicial management vacuum, the STU has already written to the Director-General requesting that the previous Board of Management be recalled as soon as possible , pending new elections.

In following closely this issue, the STU has attempted to ensure that the checks and balances of the system function correctly. We continue to fight for the respect of all rules and to defend the interests of everyone.

Join with us now to help fight for your rights!

Best regards,

The STU Council.

[1] See, in particular 37 C/38 Add.2

[2] Cf. Resolution of the Extraordinary General Assembly of Participants of the MBF of 4 September 2013

[3] See, in particular, STU Flash dated 19 March 2015: The Medical Benefit Fund (MBF): What is happening to it? Who is managing it? Why we are not being informed?