RESTRICTED  
  
WT/BFA/202  
 
12 April 2022 
(22-3012) Page: 1/11 
Committee on Budget, Finance and Administration    
 
REPORT OF THE MEETING HELD ON 17 MARCH 20 22 
The Committee on Budget, Finance and Administration (CBFA) met on 17 March 2 022. Her 
Excellency Ambassador Bettina Waldmann, German Ambassador to the WTO , welcomed Members 
to the meeting.  
1  ADOPTION OF THE AGENDA  
 
1.1.  The Chair noted that the agenda for the meeting had been released on 7 March , with the 
reference WTO/AIR/BFA/ 50, together with the annotated agenda bearing the reference JOB/BFA/5 9. 
1.2.  The agenda , as set out in document WTO/AIR/BFA/ 50, was adopted . 
2  ORAL REPORT FROM THE CHAIR ON ONGOING WORK  
2.1.  The Chair recall ed that an informal CBFA meeting  had been held on 11 February , during which 
the Director -General provided delegations with a summary of  findings , recommendations, and 
proposed actions resulting from the structural review diagnostic . The Chair added that 
Deputy  Director -General Angela Ellard would provide  a further update under the relevant  agenda  
item of the meeting.  
2.2.  The Chair observed that the Working Group  on Trust Funds  has finalized a document 
summarizing its discussions and conclusions. The document includes principles that Members want 
to see in the management and administration of voluntary contributions  as well as  recommendations 
to the CBF A. She added that t he Working Group on Trust Funds would  convene soon after receiving  
final comments from Members . 
2.3.  The Chair said that , in relation to the topics that she had mentioned and other issues on the 
Committee's agenda,  she will be using CBFA meet ings to ensure  transparency with respect to  
developments across the CBFA Work Plan  for 2022 . 
3  2022 DRAFT WORK PLAN FOR THE COMMITTEE ON BUDGET, FINANCE AND 
ADMINISTRATION – WT/BFA/W/ 583 
3.1.  The Chair noted that the Secretariat had, as in previous years, prepared a draft work plan for 
the year for consideration by the Committee.  
3.2.  Several Members requested that update s on the structural review be a permanent item o n the 
agenda of all regular CBFA meetings in 2022.  
3.3.  Several Members welcome d the inclusion of  long-term liabilities on the work plan, noting that 
these financial commitments are a major issue.  
3.4.  A Member expressed s upport of the inclusion of regular discussions on amending Financial 
Regula tion 10 of the WTO Financial Regulations , adding that this is an important Financial Regulation  
which would enable the WTO to continue to carry out its activities.  
3.5.  A Member said that it  is important for the Committee to  use the work plan  to plan for and make 
progress in its work. The Member stated that M embers look at the full calendar and begin to reach 
out to others who share similar interests well in advance of the date for which a specific item is 
scheduled so that Member s can participate in  CBFA  meetin gs more effectively.  The Member stated WT/BFA/202  
 
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  that he would be interested in participating in consultations  with other Members on relevant CBFA 
topics . Noting that Financial  Regulation 10 is on the work plan for three sessions, he said he had  
some questions about the utility of spending so much time on an issue that was exhausted in 2021 . 
He added that he would be open to continu ing to engage on this topic and would be interested in 
what new ideas Members were considering to advance the work.  The Member thanked the 
Secretariat for having included the topic of Output Reporting on the agenda.  
3.6.  A Member expressed support for the work plan . She called for focussed discussions of topics 
that ha ve regularly been on the agenda of previous meetings, suc h as O utput Reporting, to avoid 
future discussion s coming up in the budget approval session.  
3.7.  The Member recall ed that  her delegation  as well as other s had previously  raised questions 
concerning the IT budget and transparency in procurement . She added that her delegation had 
suggested the introduction of Artificial Intelligence in  translation in the WTO  three years  ago, and 
that the only presentation  on this issue  had been presented to the Committee in late 2019. In this 
regard, the Member asked that the CBFA be update d on IT issues and Artificial Intelligence in 2022.  
3.8.  A Member said her delegation is keen to understand whether and how the structural review 
relates to other elements of the work plan, including in relation to the very important topics of 
ongoin g learning and development as well as diversity in the Secretariat.  
3.9.  A Member thank ed the Director -General and the Secretariat for the information provided in the 
informal CBFA last mont h and said that this  is a good first step for ensuring transparency and , where 
necessary and appropriate , involvement of Members. The Member said his deleg ation would like to 
particularly  highlight the importance of the conclusion of the discussions on  revisions to  
Financial  Regulations 19 and 10.  
3.10.  DDG Ellard thanked Members for their  positive comments about the work plan. She said the 
Secretariat had tried  very hard to take into account the views that ha d been expressed throughout 
last year to make sure that the work plan reflects what the Members would like to discuss during 
the course of the year.  In this context, she noted that the Secretariat had  include d the topic of long-
term liabilities, which is a very important discussion that Members and the Secretariat are committed 
to having.  
3.11.  She acknowledged  Members ' comment s about having regular briefings on the transformation 
exercise and having this topic as  a regular item on the agenda of CBFA meetings . She said the 
Secretariat is  deeply committed to ensuring transparency  on this matter  and that the  Director -
General's meeting  with the Committee  in February  was a demonstration of that commitment . She 
added that  the CBFA would be regularly updated on the process, and that  Members will have an 
opportunity to pose questions and raise any concerns. She said that she would be provid ing an 
update specifically on the transformation exercise  later during the meeting.  
3.12.  In response to the question concerning the IT budget , DDG Ellard said the Secretariat would 
be pleased to provide information  on AI and automation in translation, and  to give Members an 
opportunity to express views.  
3.13.  The Chair thanked DDG  Ellard for her responses and suggest ed that the Secretariat circulate 
an updated work plan. She encourage d Members to arrange  exchange s among themselves  to see if 
there are further developments  regarding Financial Regulation 10. She offered her  help to Me mbers 
in this process . 
3.14.  A Member said, as  a point of clarification , that in the communication from his delegation  (the 
United States ) and Mexico in WT/BFA/W/555 there was assertion that Financial Regulations cannot 
override the  Marrakesh  Agreement . He said  that if the Secretariat has views o n that or does not 
agree with that position,  it would be helpful for the Committee to know . He added that this is a n 
important question for his and Mexico's delegations . 
3.15.  Throughout this portion of the meeting, several Mem bers made statements condemning 
Russia's actions in Ukraine, which they considered breached the territorial integrity of a sovereign 
state and the rule of law.  WT/BFA/202  
 
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  3.16.  The Committee took note  of the work plan and comments made . 
4  2022 WTO SALARY SURVEY  AND DEPENDENCY ALLOWANCES  – WT/BFA/W/ 580 
 
4.1.  An Official of the Secretariat introduced document WT/BFA/W/580 informing the Committee 
regarding the 2022 Salary Survey and the Dependency Allowances.  In accordance with the Salary 
Adjustment Methodology , the salary survey  for 2022  had been carried out comparing WTO salaries 
with those of the market comparators, the United Nations , and the Coordinated Organizations, 
weighted at 70% and 30% respectively.  
4.2.  UN Professional salaries in Geneva ha ve increased by +0.92%  on a no gain, no loss adjustment  
basis,  resulting in no change of net salary levels . Salaries in the UN General Support category  
increased by 0.2% , while the salaries in the Coordinated Organizations have increased by 3.7%  as 
of 2022 . Overall, the salary survey indicate d that a 0.9% increase should be made to the WTO salary 
scale.  As a result, t wo existing frozen salary scales w ould be overtaken and therefore removed.  
4.3.  The Secretariat informed the Committee that , with the new me thodology to adjust the 
Dependency Allowances introduced in 2018, the allowances are adjusted in line with the cumulative 
movement of the WTO salary scale every three years , subject to a 2% threshold being reached. 
Following the 0.9% adjustment  to the sala ry scale  in 2022, the cumulative movement of the salary 
scale for the period 2018 to 2022 stands at +1.5%.  The 2% threshold is currently not reached,  and 
an adjustment of the dependency allowances is therefore not indicated at this stage.  
4.4.  A Member asked to  what extent , and if,  the cost of the salary increase had been factored into 
the overall net salary budget for 2022. The Secretariat confirmed that this was the case.  
4.5.  The Committee took note of the 202 2 salary survey  report . 
5  UPDATE ON THE REPLACEMENT OF DOCUMENTS ONLINE – WT/BFA/W/581  
5.1.  An Official of the Secretariat introduced document WT/BFA/W/581 informing the Committee 
regarding the update on the replacement of Documents Online (DOL).  
5.2.  DOL is the Secretariat's online document repository fo r WTO official document consultation.  
Delegates use it on a daily basis to prepare for their committee  work. The current system is outdated 
and no longer meet s the needs of its users.  
5.3.  At the CBFA meeting in July 2020, Members requested a revamp of DOL to make it  a more 
intuitive search and self -service application  that enables users  to find documents easily. Since then, 
the Secretariat has been working towards  develop ing an authoritative, secure, well -designed , and 
intuitive application. The first update w as provided to the CBFA on 20 Nov ember  2020, and the 
second update on 21 May 2021.  
5.4.  DOL contains more than 180,000 documents covering more than 48 trade topics , and has a 
wide range of stakeholders , including  Members , the Secretariat , and the public at larg e. The selection 
of the right technology platform must  therefore  be rigorous and forward -looking.  
5.5.  Between July 2020 and Jan uary 2021, focus group meetings and individual interviews were 
conducted with Members and the Secretariat to define requirements  to the prospective system . The 
feedback received showed that the current search features do not meet the needs of stakeholders. 
In particular, t he current search features rely mainly on symbols , are not intuitive , and require 
manual work to find documents within the search results. Members expressed the need for a natural 
language search ( search -engine -like) with  intuitive self -service search refinement adding context 
and meaning to search results. This provided th e Secretariat with a clear roadmap for the revamp 
of DOL. One key component that is fundamental to addressing the intuitive search and information 
discovery needs is the development of a common business vocabulary (thesaurus, ontology , and 
knowledge graph,  also known as semantic assets) . 
5.6.  In July 2021 , the Secretariat initiated brainstorming with stakeholders to collect the questions 
that end -users expect the future DOL to answer. Based on this, semantic assets are being developed WT/BFA/202  
 
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  to facilitate information d iscovery. Th is part of the project is expected to be completed by end of 
March 2022.  
5.7.  The Official of the Se cretariat then described the next steps of the project  and emphasized that 
because Members are the main users of DOL, their input is essential. He sa id that the Secretariat 
will be organizing a second round of focus group meetings in April to better understand the searches 
Members would like to have . In this regard, he said the Secretariat will be sending an invitation to 
Members.  
5.8.  A Member expressed full support for the Secretariat 's initiative and expressed appreciat ion for  
the seriousness with which the S ecretariat has approached  bringing DOL up  to date and in line with 
improvements in other areas , such as  notifications. The Member  also confirmed his delegation's 
participation in the focus group meetings  and encouraged the Secretariat to keep up the difficult 
technical work.  
5.9.  A Member  reiterated support for the project and thanked the Secretariat for the work done to 
enhance this very important and helpful tool. The Member stressed the importance of improving  
access to documentation to overcome difficulties in the current system.  
5.10.  The Official  of the Secretariat thanked Members for their support and encouraging words.  
5.11.  The Commi ttee took note of the update and the comments made.  
6  STATUS OF THE IMPLEMENTATION OF EXTERNAL AUDIT RECOMMENDATIONS  – 
WT/BFA/W/5 79 
6.1.  An Official of the  Secretariat  introduced  the agenda item by stating that the aim is to  update 
Members on the status of implementation of recommendations from the External Auditors. He added 
that t his first update in 2022 is based on all external audits conducted in the last three years, 
including the latest two reports of the Cour des Comptes  that were presented to the CBFA in June 
and September 2021.  
6.2.  The Official of the Secretariat said that the Secretariat had accepted all the 
55 recommendations issued for 2019 -2021.  Out of these, 30 were closed; 14 have been 
implemented and will be proposed for c losure during the audit exercise in May 2022; and 11 were 
still ongoing.  
6.3.  He stated that during its first audit  exercise in 2021,  the Cour des Comptes  had issued 
13 recommendations: 10 recommendations related to the financial matters , IT and internal controls 
areas ; and 3 relate d to crisis management.  These are part of the 55 recommendations referred to 
in paragraph 6.2 above.  
6.4.  A Member thanked the Secretariat for t he report and for the progress made on many issues. 
The Member said his delegation looks  forward to  the implement ation of  quantitative measures and 
KPIs to monitor and measure the performance of the Organization , as requested by the Auditors.  
6.5.  The Member further expressed appreciation for the engagement of the Secretariat in the area 
of Trust Funds. In this context, the Member thank ed the Chair of the Working Group on Trust Funds 
for her tireless efforts and said he is  confiden t that the work done will pave the way to revamp ing 
the management of  trust fund s. 
6.6.  A Member noted that  many of the recommendations preced ed the pandemic. He said the  
lockdown and working from home had a significant impact on the Secretariat ; on its interact ion with 
Members ; and, more generally, on th e Organization's various audiences. The Member asked the 
extent to which these events had impacted the implementation of the recommendations relating to 
human resources and trust funds. He added that it would be essential to see what lessons could  be 
learnt from this experience.  
6.7.  Referring to Item 73 of the recommendations, a Member asked for clarification of the response . 
He noted that t he answer that was provided in February 2022 did not fully explain the status of the 
recommendatio n, which dated back to 2018 . The Member  asked  for a better update  because  solving  WT/BFA/202  
 
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  this issue seems to be  problematic. The Member acknowledged that many recommendations were 
to be closed and thanked the Secretariat for its work.  
6.8.  In response, an Official of the Secretariat said  that although  the pandemic had affected 
everyone's work, Auditors and Auditees incl uded, recommendations  pertaining to human resources, 
which preceded the pandemic , concerned  technical aspects and would be addressed by the second 
phase of  the Human Resources Information System implementation . He added that , despite the 
pandemic, the Secretariat had achieved a good ratio of implementation of recommendations and 
was doing its best to implement  the Auditors ' recommend ations . 
6.9.  On Item 73 of the recommendations , the Official of the Secretariat said policy changes had 
been submitted to, and are under consideration by , the internal Joint Advisory Committee  (JAC) . He 
said that the JAC receives multiple documents from all over the Organization, not only related to 
Audit Recommendations , and thus needs more time to provid e its comments . 
6.10.  The Committee t ook note of the update and the comments made.  
7  REVIEW OF OUTSTANDING CONTRIBUTIONS FROM MEMBERS AND OBSERVERS – 
WT/BFA/W/5 78 
7.1.  An Official  of the Secretariat presented the situation of outstanding contributions of Members 
and Observers as at 31 December 2021  and an update as a t 17 March 2022 . She explained that 
total contributions received in 2021 amounted to CHF  198 million and that this was slightly higher 
than in 2020.The difference was mainly due to several Members ha ving paid their 2020 cont ributions 
in early 2021.  
7.2.  Contributions received from Observers were slightly lower than in 2020.  
7.3.  There were 16 Members under Administrative Measures as at 31 December 2021 , with  a total 
outstanding amount of CHF 10 million  and eight Observers with a total outstanding amount of 
CHF 0.8 million.  
7.4.  At the request of the Chair, the Official of the Secretariat outlined the follow up steps taken by 
the Secretariat to manage outstanding contributions . These include reminder letters sent by the 
Director -General  and the Secretariat as well as meetings organized with inactive Members . 
7.5.  The Official of the Secretariat further informed the Committee of a workshop  that had been 
organized by the Secretaria t to present budget and finance matters to  LDCs.  
7.6.  A Member stated  that its economy is under stress because of the Russian invasion and noted 
that it would do its best to remain current in payment of its dues.  
7.7.  Several Members underlined the need to implement all Administrative Measures and 
highlighted that this also appl ied to the General Council.  
7.8.  A Member pointed out that good budgetary discipline should start at the outset of accession 
process es of Observers.  
7.9.  The Chairman concluded by reading out the following recommendation to be made to the 
General Council, which the Committee endorsed : 
7.10.  The Committee invites the General Council to urge Members and Observers under 
Administrative Measures to liquidate their arrears.  
8  WTO PENSION PLAN 2020 FULL ACTUARIAL VALUATION - WT/BFA/W/5 77 
8.1.  The WTOPP Chair recalled that , in his last report to the Committee, he drew attention to 
unprecedentedly low (and even negative) interest rates and to shifting staff demographics , trends 
that were likely to lead to a projected actuarial imbalance. Since then, the WTOPP 's Consulting 
Actuary issu ed a Full Actuarial Valuation based on 2020 data, which was approved by the WTOPP 
Management Board in February and was being  presented to the Committee.  WT/BFA/202  
 
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  8.2.  The WTOPP Chair offered three observations. First, while the WTOPP  has been sailing under 
favourable winds in recent years, it must change course to avoid hitting troubled waters ; the design 
of the WTOPP  is robust  - the latest financial returns are above expectations; and pensions are  being 
paid. However, it faces a sign ificant long term actuarial deficit. Expressed in terms of contribution 
rates, the actuarial gap is 10.5%.  This gap will need to be addressed for the WTOPP  to be sustainable 
and continue to deliver benefits to the organization and staff over the long term.  
8.3.  Second, the environment that the WTOPP  is facing is not different from  that faced by  other 
pension plans. The m ain drivers of the long -term actuarial deficit of the WTOPP  are the increase in 
life expectancy and depressed interest rates that can negatively  affect financial performances. Other 
pension plans – including those  of other International Organisations - are also affected by these 
trends. They have already adjusted or are in the process of doing so.  
8.4.  Third, while questions about how the actuarial gap  will be addressed are very legitimate, the 
WTOPP Management Board is not able to provide detailed answers to these kinds of questions yet. 
Working on the reforms to address the actuarial gap is its priority , but assessing the different options 
and underst anding how they interact and/or can be combined will take some time. Therefore, the 
WTOPP Management Board requires  time and space to work before coming back to the CBFA to 
formally submit a reform proposal that is meaningful and viable. He assured the Com mittee that the 
WTOPP Management Board will be using multiple channels to stay in touch with the different 
stakeholders.  
8.5.  He then turned to the Board 's Lead Actuary, Dr David Schiess from C-alm, to present the key 
findings of the Actuarial R eport.  
8.6.  The prese ntation included introductory information on the actuarial model and the concepts 
behind the long-term actuarial valuation. The Actuary then explained the intuitive cashflow approach 
to understanding the situation. He emphasized  that contributions to the WTOPP are not sufficient to 
finance future benefit promises. Therefore, the WTOPP  has started to consume investment income. 
If left u naddressed , two pivotal points will develop.  First, it is projected that the WTOPP  will need 
to begin liquidating assets to  pay benefits in 2033. Second, the assets of the WTOPP  would become 
exhausted in 2061 , and it would no longer be able to fulfil its obligations.  
8.7.  Next, the Actuary provided specific details on the components of the valuation. He identified 
two sources as responsible for the bulk of the projected gap. First, low interest rates have led to 
reducing assumptions about future returns on the WTOPP's  assets. Se cond, longer life expectancy 
means that benefits will be paid for longer periods to current retirees, current staff, and future staff. 
Combined with some other demographic and technical adjustment s in assumptions , this will  lead to 
an overall gap of 10.5% in the required contribution rate . 
8.8.  The Actuary reiterated the point of the WTOPP Chair : that these challenges are not unique to 
the WTO and are being faced by many other organizations and governments around the world. To 
address the gap , contributions can be increased through various means and/or benefits can be 
reduced in various ways. He recommended that the Organization act in a timely way to close the 
gap through an appropriate combination of the two approaches.  
8.9.  Several Members took the floor to express  appreciation for the clear report and to convey their 
understanding of the seriousness of the situation. They reiterated the need for the Committee to 
closely follow  the issue  as part of its anticipated review of long -term liabilities , as foreseen in the 
Committee's work plan. A few Members offered preliminary thoughts on potential specific measures 
to consider, including possible review of the current mandatory retirement age.  
8.10.  One Member asked for a clarification on how the current contributions are share d between 
staff and the Organization. The WTOPP Management Board Chair responded that contributions are 
one-third from participants and two -thirds from the Organization. Currently those shares , as a 
percentage of gross pensionable salary  are 7.9% by staff and 15.8% by the Organization . 
8.11.  A Member asked what steps were being taken to communicat e the situation to other 
stakeholders , such as staff and retirees. The WTOPP Management Board Chair confirmed that the 
same report and information would be presented in a staff and retirees' Town Hall Meeting on the 
following day.  WT/BFA/202  
 
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  8.12.  The Chair of the CBFA asked if there was a timeline for when specific reform proposals might 
be brought back the Committee. The WTOPP  Management Board  Chair indicated that it was 
premature to co mmit to specific timing and reiterated the need for the WTOPP Management Board 
to have time to develop proposals while continuing to consult with all stakeholders.  
8.13.  The Committee took note of the information and the comments.  
9  UPDATE ON WTO MEDICAL INSURANCE PLAN AND ASHI  LIABILITIES  – WT/BFA/W/5 82 
9.1.  An Official of the Secretariat presented a report  on After Service Health Insurance  (ASHI)  and 
the WTO Medical Plan. He clarified that most of the data reflects an analysis of 2021 information 
and, in some instances, 2020 data . 
9.2.  He mentioned that the report contains general background information because the financial 
and actuarial aspects of a medical plan are not immediately intuitive for non -specialists.  He 
proceeded to highlight a few key ele ments in the report.  
9.3.  First, the WTO Medical Plan is a pay -as-you-go plan. That is, both staff and the WTO contribute 
to its costs as they arise  because there is no systematic mechanism for financing the liabilities as 
they accrue. Instead, the WTO Medical Plan's financing is managed on a cash flow basis.  
9.4.  The Official of the Secretariat explained t he relationship between premiums and 
reimbursements and the ir correlation over time . Higher claims in a given  year lead to higher 
premiums in the following years. Recently , reimbursements have been less than premiums . This is  
likely related to the C OVID -19 situation , which has had the effect of supressing demand for elective 
medical services over the past couple of years.  
9.5.  Next, he mentioned two additional points abo ut the WTO Medical Plan in general. First, its costs 
are shared between its participants and the WTO budget  – 60% is to be covered by the WTO budget 
and 40% by participants. Therefore, both sets of stakeholders have an interest in controlling costs. 
Second , demographics are an important driver of its costs. While the population of active staff is 
relatively stable, the number of retirees is growing each year. This means that , on average, the 
population of plan participants is getting older.  
9.6.  The Official  of the Secretariat then turned to ASHI aspects , clarifying that these refer to the 
portion of costs borne by the WTO budget and that are attributable to retired staff. The most directly 
visible aspect of ASHI  is the liability that must be reported each year in the financial statements of 
the WTO , in accord ance with  IPSAS reporting requirements. This is an estimate of the future costs 
of paying for ASHI benefits for current staff and retirees. Due to an aging p opulation and medical 
inflation that is higher than general inflation, the liability estimate is forecast to grow steadily over 
the coming 40 -50 years. Most of that growth will come from future participants. The cost of current 
participants has largely bee n factored into the already reported liability. As current staff retire and 
use up their benefits under the WTO Medical Plan,  the liability associated with them diminishes and 
is replace d by benefits earned by new staff.  
9.7.  While the full ASHI  liability is an important accounting concept and cannot be ignored, the pay -
as-you go structure of the Plan means that it is the annual cash flow projections that are the most 
relevant to budgeting. The long -term cost implications for the budget require a n actuarial study 
which is not undertaken every year. However, this was revised in 2021 based on 2020 data. The 
revised estimate foresees higher costs than estimated in 2017, but comparable to what had been 
previously estimated in 2014.  
9.8.  The Official of the  Secretariat  said that fluctuations in estimated costs illustrate the sensitivity 
to changes in assumptions. For example, a change of 1 year in life expectancy increases the ASHI 
costs by about 4%. Conversely, a reduction in medical inflation of 1% (from 3 % to 2%) would reduce 
the costs by almost 25%.  
9.9.  Finally, the Official  of the Secretariat reminded Members that while the  WTO Medical Plan is 
still officially a pay -as-you-go plan, the CBFA has taken steps in recent years to anticipate these 
increasing costs .  In 2017 , a Special Reserve Account was established to absorb any surplus derived 
from the budget  for the WTO M edical Plan. This could help manage future ASHI costs. As at the end WT/BFA/202  
 
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  of 2021, the accumulated balance resulting in this Special Reserve Account  was CHF 6.5 million . In 
addition, CHF 1.6 million was incorporated from extra budgetary funded staff.  
9.10.  A Member sa id that , in her delegation's view, paragraph  8.1 of the Actuarial R eport is incorrect 
in saying that Members had taken a decision to remain on  a pay -as-you-go approach. She said that 
Members were unable to reach a consensus to move away from the pay -as-you-go approach. She 
said that the absence of consensus is not a decision.  
9.11.  Several  Members expressed appreciation for the work done on the report . 
9.12.  A Member  asked for comparisons to how other I nternational Organizations  are managing the ir 
ASHI. 
9.13.  A Member pointed out the potential risks from increases in inflation , given some of the signs 
in the economy.  
9.14.  The Committee took note of the report . 
10  ENHANCIN G OUTPUT REPORTING – CONTINUING THE CONVERSATION – 
COMMUNICATION BY THE UNITED STATES – JOB/BFA/58  
10.1.  A Member introduced the topic of Output Reporting  and said that his delegation's objective is 
to get a better understanding of the outputs in the budget process . He emphasized that he does not 
want this to be an agenda item at this stage.  
10.2.  Some Members highlighted that outputs should be examined in line with the structural review 
and asked for further information in order to get a better understandin g of the Output  Reporting  
process.  
10.3.  A Member said that Output Report ing did not seem to be reflected anywhere for 2019 and 
asked in which documents such reporting is contained . 
10.4.  An Official of the Secretariat replied that Output Reporting is included  in each  Financial 
Performance Report and that a projection on the Outputs is also included in each Budget Proposal.  
10.5.  A Member said his delegation supports the calls for improved and enhanced Output Reporting 
by the WTO Secretariat to ensure that Members have a complete picture of how the Organization 
spend s Members' contributions. He noted that the discussion of this topic started in 2019, but due 
to various reasons, could not move forward. He said that his delegation had regularly expressed 
concerns regarding the utilization of WTO resources, paid from Members' contributions, on matters 
for which Members have not given a mandate to the Organization  to address,  such as Joint 
Statement Initiatives.  
10.6.  The Member said his d elegation requests that the agenda of enhanced Output Reporting be 
included as a standing agenda item in the work plan of the CB FA, and that his delegation  looks 
forward to engaging cons tructively with Members on this issue in the course of the year.  
11  ORAL UPDATE ON THE STRUCTURAL REVIEW  
11.1.  The Chair recalled that the Director -General, DDG Ellard , and Nthisana Phillips h ad been  
provid ing information and updates to Members regarding the struct ural review of the Secretariat 
starting in June 2021. She added that the Committee h eld an informal  meeting in February 2022, 
where the D irector -General had updated Members on this subject . 
11.2.  DDG Ellard acknowledged that many Members  are interested in this t opic and welcomed th at 
interest . She said the D irector -General  had established the Transformation Office  at the beginning 
of February  to drive forward the implementation of the recommendations made in the  diagnostic 
phase, which had been led by the external consultants in the  summer  of 2021 . 
11.3.  DDG Ellard informed the Committee that  the Transformation Office is led by a long time 
Secretariat staff member, Victoria Donaldson , and that, a s of 28 March  2022, she will be joined by WT/BFA/202  
 
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  another professional and an assistant . All three had expressed interest and were selected following 
a competitive process open to all WTO staff. 
11.4.  DDG Ellard noted that the transformation exercise is now called "Strengthening our 
Secretariat , Preparing for the  Future". She said that , during the diagnostic phase , the exercise was 
known as the  structural review. She added that the diagnostic is completed and that  the current 
work relates to design and assessment.  
11.5.  She said  that the Director -General and the Transformation Office w ish to highlight the 
opportunities that this transformation process presents to make positive changes that will strengthen 
the Secretariat, embed modern and best practices , and prepare the Secretariat  to serve Members 
even better in the future.  
11.6.  DDG Ellard informed the Committee that e xtensive work is already underway at a fast pace.  
The first part of the work focuses on two main themes: talent management and ways of working. 
Within each of these streams, there are several discre te initiatives that are the subject of work in 
short sprints of three to six weeks.  
11.7.  The first three initiatives , which  were launched during the week of 21 February , concern  staff 
rewards outside promotion s, risk management , and proc urement processes.  
11.8.  This week , three more initiatives  were launched :  career pathways, recruitment , and mobility.  
11.9.  Work on the third stream, related to data, technology , and innovation , is scheduled to begin 
in May  2022. 
11.10.   DDG Ellard elaborated that the p roposals for change in each subject are generated by a 
small group of staff working with the Transformation Office and the external consultants , and then 
shared more widely  for evaluation by  volunteer staff stakeholders as well  as with the Transformation 
Advisory Committee made up of all Directors. After further re finement, proposals are then sent to 
the Steering Committee, which is made of the Director -General, the four Deputy Directors -General , 
and the Chief of Staff. Detailed  implementation of approved proposals will be led by the 
Transformation Office , working with relevant Divisions , on the basis of implementation and action 
plans developed by the design groups. Where implementation will involve change s to policies or 
rules and regulations, the usual procedures to enact such changes will be followed.  
11.11.   DDG Ellard recalled that  Members were involved during the diagnostic phase .  Their input 
and views were a  valuable part of the exercise and were taken into account by the externa l 
consultants when developing their assessment of the strength s of the Secretariat, as well as 
identifying areas for improvement.  
11.12.   She referred to Article 6 of the Marrakesh Agreement , which  provides that, as the Head of 
the Secretariat, the Director -Genera l has responsibility for the appointment of the members of the 
staff of the Secretariat and the determination of their duties and conditions of service. The current 
transformation work on talent management and ways of working reflects the seriousness with which 
the Director -General takes these responsibilities and her desire to ensure that all stakeholders 
benefit from a stronger Secretariat that is ready to update itself and embrace positive change, always 
mindful of the need to protect and cultivate the p rofessionalism and expertise for which it is known.  
11.13.   A Member welcome d the update and reinforce d an earlier statement  that such updates are 
of utmost importance and should be a permanent item on  the agenda of CBFA meeting s in 2022.  
11.14.   A Member encourage d the S ecretariat to  share, when appropriate, written updates in 
advance of CBFA meetings.  
11.15.   The Member noted that  one vacancy notice has been published to date for the senior 
positions that are to become vacant. He asked for an update on the  status of the recruitment process 
for vacant senior positions.  WT/BFA/202  
 
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  11.16.   The Member further asked if there were any specific update s pertaining to  changes or plans 
that have already been implemented with respect to staff incentives and whether there have been 
any developments regarding the envisaged changes to procurement rules.  
11.17.   A Member said that,  going forward , it would be good for the Committee to reflect on the 
overlap between some of the changes that are ongoing and what falls clearly within the realm of the 
Secretariat to make changes . He noted that several of the identified areas , including HR policies, 
salaries, and benefits, are aud ited and thus  are subject to oversight  by Members . In this regard, he  
added that it  would be helpful for the Committee to know how it can provide input and ensure  that 
the conversations that it had  had, particularly over the last decade, on the salary stru cture and the 
inverted pyramid , and all of the work  former  DDG Brauner put in making sure that the Secretariat 
structure reflected what Members needed , were taken into account . He said that any changes to 
these at the very least warranted a conversation be forehand. 
11.18.   A Member  noted that the new working title for the exercise includes preparing for the future . 
He said this  is another term for strategic planning. He added that it is a  bit disappointing that there 
is no provision within the various exercises for  at least a consideration of a strategic planning 
exercise, maybe even a strategic planning office , to make use of the talent in the Secretariat . He 
said a lot of focus is on individuals , individual talent , and mobility  but not much on managing the 
exercise across the Organization. He asked whether, in future updates , the Committee could get 
some indication of whether strategic planning  is part of the agenda.  
11.19.   A Member welcomed the consultative approach  to implementing the recommendation s and 
said that, bearing in mind the issue raised regarding long -term liabilities,  it is important  for Members  
to do everything possible  to continue having motivated  and productive staff in the future.  
11.20.   DDG Ellard thanked Members for their comments and supp ort of the process. She assured 
Members that the Secretariat is very committed to providing regular updates as requested  by 
Members.  She added that written updates would be provided, when appropriate. She stated that 
progress was very fast, and that  the term for the implementation of various aspects  of the exercise  
is, quite literally, "sprints ". This fast pace could render some documents that would have been 
circulated well in advance of Committee  meetings outdated when the meetings actually take place.   
She emphasized that Members would be kept fully informed.  
11.21.   Responding to a question on procurement and staff rewards , DDG Ellard said these are in 
progress . She informed the Committee that work on non -monetary staff rewards is the most 
advanced.  
11.22.   Regarding t he comments that were made on  strategic planning , DDG Ellard  said this  aspect 
was included in the slides that w ere provided to Members during the informal meeting of the CBFA 
in February . She said the D irector -General  is very interested in instituting  some type of strategic 
planning and that a  possib ility of  creating a strategic planning unit or a function within the Secretariat 
is being considered . 
11.23.   In response to the question on vacancy notices  for senior positions, D DG Ellard said the 
current vacancies are for Director posts for LDSD, CTNC , and HRD, and the upcoming ones are for 
IERD and ERSD. She said a ll the vacancy notices will be publicised through the usual channels that 
the Human Resources Division uses , which a re the WTO website, LinkedIn , and Impact Pool. She 
added that the vacancy notice for LDSD was publicised in 2021 and had closed in December , and 
that the selection process is well under way. The CTNC Notice was published in mid-March  2022 and 
is open to internal and external applicants. DDG Ellard said she expect s that the HRD notice will 
soon be posted and th at other notices  will be posted in due time as the dates for the incumbents' 
retirement approach.  She said head-hunters will be used to help identify candidates  for some of the 
posts . 
11.24.   The Chair said this agenda item will continue to be part of ongoing dialogue involving the 
active participation of the Committee.  WT/BFA/202  
 
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  12  APPOINTMENT OF THE CHAIR  OF THE CBFA  
12.1.  The Chair introduced this agenda item by recal ling that  the General Council  had recently 
approved the appointment of the new Chairpersons for the different WTO standing bodies, in 
accordance with the established guidelines.  
12.2.  She said it  was a privilege for her to serve as the Chair of this important Co mmittee in 2021 . 
12.3.  She then stated that t he General Council envisages her reappointment as Chair of the CBFA 
for 2022. Accordingly, she expressed her happiness to continue in this capacity and propose d that 
the CBFA move forward on this basis . 
12.4.  The Committee adopted the appointment of its new Chair, by acclamation . 
12.5.  The Chair  thanked Members for the trust and confidence they had shown in her.  
12.6.  The meeting was closed.  
 
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