Tokelau Public Service Commission of Inquiry

Executive Summary

The New Zealand modelled Tokelau Public Service was established in the 1970s. The TPS concentrated authority centrally in Apia and created a distinction in the villages between village and national staff. From early 1990s Tokelau’s elected leaders and Toeaina have been expressing the desire to "Bring the services back to where the elders are, and where the authority is to restore traditional power to the villages and to address the widespread dissatisfaction with service provision. The General Fono has supported devolution for many years, and in the June 2003 decided to set a target date of 30 June 2004 for each Taupulega to have full responsibility for running the public services on its atoll.

With this in mind, the Administrator of Tokelau established a Commission of Inquiry to undertake "a comprehensive review… to ensure that the Tokelau public services (at both the village and the national level) have the structures, working environment and capability to deliver an appropriate range and level of services to Tokelau."

In doing so the Administrator directed that the Review Team (the Review Team) take a participatory approach; work closely with the Council of Faipule, Taupulega, special interest groups and all employees; and that the final report reflect understandings reached during the Review. The Inquiry was conducted over a ten week period, with seven being spent in the villages

This report outlines the processes used by the Review Team and tries to faithfully reflect the understandings reached. It also outlines what need to be done to achieve the transfer of Public Service responsibilities; It is intended to be a "working document" with detailed recommendations and guidance that will assist with the way ahead. It is addressed to the Administrator but in a form that can readily be handed over to Tokelau’s leaders and workers for actioning.

The review team found that current services are inadequate and require improved delivery and coordination.

This report found strong support for the transfer of Public Service responsibilities, and recommends the transfer of school, hospital, power, local economic development, police, travel advisor functions to the Taupulega of each village. Economic development, shipping operation, supply procurement, medical referral, scholarship administration and international relations will al continue to be managed nationally, as will the support function of setting standards and monitoring. Other support functions of financial management, planning, policy advice, human resource management, administrative support, revenue collection, property and asset management, will be managed at national and local levels.

Considerable preparation is necessary for these transfers.

The Review Team examined the structures, working environment and capability to deliver services, and supports current village initiatives. Each village is developing a greatly strengthened Office of the Taupulega that forms the "umbrella" for all its services. Each Office is, or will be, headed by a person who is directly responsible to the Taupulega. That person will support and advise the Faipule and Pulenuku, and manage the villages’ staff and services.

At the national level the report recognises the need for more responsive and better coordinated services. It recommends a restructuring involving the appointment of a General Manager to head the National Office and increased economic development, and planning and monitoring capacity. It also recommends improved support to the Council of Faipule.

The report reflects the understanding reached that the TPS workers transferred and village workforces should be combined, and that the terms and conditions of employment of the TPS should largely be retained and adopted for all workers. The reallocation of TPS positions is also detailed.

The current appointment and appeal processes are examined and changes detailed for both the nation and villages. Responsibilities in these areas move to an appropriate village or national body with enhanced human resource management capacity. Accordingly the Review Team recommends the discontinuation of the TEC.

Funding the new structures and transfer is also discussed. The conclusion is reached that the changes can be achieved within the current budget.

Finally the report focuses on the implementation of the recommendations and actions needed to effect the transfer of full responsibility for running the public services on each atoll by 30 June 2004.

In the longer term the Review Team recommends transferring the key support and advisory functions of national government to Tokelau, with a smaller Apia Office. Each local Office of the Taupulega would perform the key national functions on a rotational basis.

Summary Of Recommendations

Recommendations:

1.1 Future Village Roles, Responsibilities and Structures

The Review Team:

a. Recommends that Fakaofo urgently establish a new structure to take on the additional responsibilities as discussed in sections 6.2 and 9.1. (This issue needs rapid progression, as well as much preparation and training undertaken, if the target date of 30 June 2004 is to be achieved by Fakaofo.)

b. Notes that Nukunonu has had a new structure with an Office of the Taupulega headed by a General Manager for over two years, which appears to be appropriate and accepted (and with further preparation and training Nukunonu will be well placed to take on the additional responsibilities by the target date.)

c. Recommends that Atafu accept the basic structure they agreed to in 2001, with the Office of the Taupulega being headed by a Director who is part of a management and advisory team that includes the Faipule and Pulenuku. (A basic structure needs to be accepted; a number of roles and procedural aspects reviewed; and much preparation and training undertaken in Atafu, if the target date of 30 June 2004 is to be achieved.)

d. Recommends the establishment of Village Health and Education Committees in line with the composition and roles set out in section 6.4.

1.2 Future National Roles, Responsibilities and Structures

The Review Team:

a. Recommends that immediate steps be taken to make services more responsive and better coordinated by:

preparing a Council of Faipule Handbook setting out principles and procedures for the operation of the Council of Faipule, the development and enactment of legislation, and reporting by Faipule and officials to the General Fono.

discontinuing of portofolio based distribution of responsibilities within the Council of Faipule.

appointing of a Secretary for each of the Faipule to enhance administration and support. (The Secretary will hold the new post of Secretary of the Council of the Faipule during their Faipules term as Ulu.)

transferring the administration and support for the General Fono, to the Office of the Taupulega of the hosting village.

appointing a National General Manager to:

restructuring the National Office including the establishment of Economic Development, and Planning and Monitoring Units (the key policy unit).

colocating policy advisors in the Planning and Monitoring Unit, with policy advice provided on a "project basis." These projects should be prioritised and agreed to by the Council of Faipule.

improving national communication services by making the National General Manager directly responsible for dissemination of information from the Council of Faipule and the National Office, and by the appointment of a Communications Officer to assist with this task.

reviewing supply provision, specifically focusing on future purchasing approaches.

establishing a special project, chaired by the National General Manager to review internet and telecommunication services (including teleconferencing). The project team should include the National General Manager, the General Manager/Director/Coordinators from the three villages and the General Manager of TeleTok.

1. - - coordinate national policy advice, planning and activities
    - provide policy advice to the Council of Faipule and General Fono
    - manage the servicing of the Council of Faipule
    - liaise with Village General Manager/Director/Coordinator
    - manage the dissemination of information from national government
    - manage the departmental Directors
2. Recommends that at the earliest possible time the following changes be implemented:
  
  transferring the key support and advisory functions of national government to Tokelau, with a smaller Apia Office remaining providing primarily a liaison role for health, education, shipping, banking and also Foreign Relations services.
  
  rotating of the key support and advisory functions of national government to each atoll at the same time as the Uluship. The local Office of the Taupulega would during that year take on the key support and advisory functions of national government.
  
  locating all departmental Directors (with the exception of the National General Manager) in Tokelau.

1.3 Relationship between Village and National Structures

The Review Team:

a. Recommends that to improve coordination:

the four General Manager/Director/Coordinators work closely together

departmental Directors continue to visit and meet Taupulega on a quarterly basis, and that these visits be a job requirement in their employment contracts.

the procedures of the Council of Faipule require villages be consulted on all submissions to the Council of Faipule with village implications

for a period of about four weeks prior to each General Fono the Faipule, the four General Manager/Director/Coordinators and key national and village advisory staff assemble to prepare for the Fono; plan; develop national and village proposals; and share information

Taupulega and Faipule be consulted on the appointment of National Directors b. Notes that the Faipule and Departmental Directors will continue to be key links between the villages and nation

1.4 Future Allocation of Tokelau Public Service Responsibilities and Positions

The Review Team:

a. Recommends that the following on atoll functions and associated staff be transferred to the villages (as per Appendix 15: "Recommended Allocation of Tokelau Public Service Functions"):

1.5 Human Resources Issues

The Review Team:

Recommends a standard Personnel Manual of the terms and conditions of employment be prepared for all workers (national and village) for all three atolls. The Manual should be based on the current TPS Manual and "reflect the "faka-aganuku". It should include sections on the following:

b. Recommends that the transfer of positions to the villages proceed at the current salary rates and that a further salary review be conducted when the transfers are complete.

c. Recommends that village worker positions be incorporated in the current "TPS Gradings and Salary Scale" (as per Appendix 18: "Tokelau Gradings and Salary Scale") with:

village "Foreman" being classified as "Leading Hand" (within the current Scale) and pay rates increase to reflect this.

the general village worker and school leavers being treated as "casual workers" and continue to be paid on the same hourly rate

the category of "school leaver or new entrant" being redefined as a manual worker with less than one years continuous service.

d. Notes the incorporation of village workers into the Scale as recommended will result in foremen and a few general village workers receiving a small salary increase. It is estimated that the additional cost is $36,000.00pa.

e. Notes that the Review Team is of the view that it is necessary to retain the ability to employ people on short term contracts.

f. Recommends that Taupulega members be paid an honorarium of $7,000pa and the current fono allowances cease. This honorarium is for members who receive no other, or a lesser, salary.

g. Recommends that no changes be made to the current remuneration arrangements for positions such as Faipule, Pulenuku, Failautuhi, and Law Commissioners.

h. Recommends that a new allowances regime be approved, as per Appendix 19: "Rate of Allowances and Charges", and as outlined in this section.

i. Recommends that to make village appointments each village establish an Employment Committee consisting of two staff members from the Office of the Taupulega and one or two staff representatives from the work area involved.

j. Recommends that for the appointment of the village General Manager/Director/Coordinator the Taupulega establish a special sub committee and that their recommendation should go to the full Taupulega for endorsement.

k. Recommends that the National General Manager be responsible for permanent national appointments and he/she will delegate the task of appointing staff to the appropriate Directors.

l. Recommends that the General Manager be directly responsible for the appointment of Directors and that before making Director appointments the Council of Faipule be consulted and the appointee elect visit and present themselves to each Taupulega.

m. Recommends that the final appeal authority be the local Law Commissioner in each village and two or three of the Law Commissioners for national appeals

n. Recommends that human resource issues be assigned as follows with:

local staff training, recruitment and other human resource issues being the responsibility of each village with the exceptions of International training and the Personnel Manual, which will be coordinated nationally.

the National Human Resource Development position having responsibility for having the Manual readily available; fully explained to all staff; and its use monitored

a National Human Resource Development staff member organising and advising on national recruitment, interview and appointment processes.

o. Recommends that improved communication processes be adopted as outlined in the Communication section.

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1.6 Future of the Tokelau Employment Commission

The Review Team:

1. 1. school
  - hospital
  - power
  - administrative support
  - policy advice
  - financial management
  - programme monitoring
  - economic development
  - police
  - travel advisory
- - - appointments/appeals
    - remuneration/allowances
    - discipline
    - working hours
    - leave and holidays (including study leave)
    - provision for casual workers
    - conduct of workers
    - transport and travel (including policy for travel and accommodation outside Tokelau.)
    - training
    - delegations
    - casual workers
    - individuals on contract

a. Notes that:

the Tokelau Public Service Rules 2001 that established the TEC applied to the TPS and not to village workers.

at their time of appointment the TEC Commissioners were informed that they were to be subject to an annual review and that change was a possibility.

b. Notes that at present there is:

c. Recommends that the January 2004 General Fono consider discontinuing the TEC, with their functions being transferred and included in new Rules and/or the Personnel Manual.

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1.7 Relationship with New Zealand

The Review Team:

a. Recommends that Tokelau makes full use of the Administrative Assistance Programme to provide it with advice and expertise needed for the transfer of responsibilities.

b. Recommends the Administrator of Tokelau consider adopting the following as the functions of his Office:

servicing the Administrator and his links to the New Zealand Government and Tokelau

coordinating all New Zealand government activities relating to Tokelau

supporting Tokelau in the specific areas of:

1.8. Other Matters

The Review Team:

a. Recommends the following financial management improvements that:

- substantial public service change with the transfer of many service responsibilities to the villages
- very limited support for the extension of the TEC responsibilities to the villages
- questioning and criticisms of the performance of the TEC, and
- a suitable alternative to the TEC available
- - Health medical referrals; medical standards; medical supplies; locum doctors
  - Education scholarship students; education standards; teachers; supplies
  - Other Supplies eg. shipping, computer
  - Recruitment
  - Public service training
- Providing advice on specific topics, upon request
- managing the Administrative Assistance Programme in relation to Tokelau
- liaising with Tokelau communities in New Zealand and manage "Friends of Tokelau"
- assisting, when requested, in international fora
- - a requirement to consult Finance on all submissions to the Council of Faipule with financial implications, be included in the Councils handbook.
  - financial management systems be reviewed and updated and fully explained to budget managers
  - donor funding be fully reported
  - udget managers be required to follow the financial systems, and that this be monitored by the Director of Finance
  - budget managers to receive a financial report on a monthly basis (as per Finance Rules 1998)
  - outstanding issues from the Review of the Department of Finance, Apia Office (2000) be addressed. (In particular those relating to: the savings scheme; reconciliations; and arrangements for general oversight and governance of expenditure)
  - all travel outside Tokelau and Apia require approval of the Council of Faipule.
    
    b. Recommends village Finance staff collect village revenues
    c. Recommends a review of the Co-operative Stores financial processes and that financial management training be provided for the managers.
- 1.9 Change Management

d. Recommends a new annual financial cycle involving priority setting, budget proposal, budget approval and budget review phases.

e. Recommends that the proposed review of internet and telecommunication services (including teleconferencing) include the issue of the future structure of TeleTok and the best way of combining telecommunication and IT staff.

The Review Team:

a. Recommends that a "Transfer and Support Coordination Group" comprising the three village General Manager/Director/Coordinators, the National General Manager and a Transfer Manager be established to:

oversee the implementation review management, planning and monitor and coordination

provide advice to the Transfer Manager

coordinate and prioritise the use of the resources of the Transfer and Support Team

liaise with their Taupulega and the Council of Faipule

provide full information on the changes to their atoll.

appoint/direct/manage the Transfer Manager

b. Recommends that village "Transfer and Support Teams" and a national "Transfer and Support Team "be established. The three village teams and the nation will be headed by the village General Manager/Director/Coordinator and the National General Manager. Each team should include two or three transfer specialists; and two or three local seconded staff (either full or part time). The teams should:

- - - - support and implement the changes
      - provide advice/ coordination/ planning/reporting/ monitoring
      - provide full information to Taupulega, special interest groups and the community

c. Notes that in the Review Teams view there is sufficient funding available within the current Budget for the new structure and cost of the transfer of responsibilities

d. Recommends that funding be allocated for the changes at the January 2004 General Fono.

e. Notes the Implementation Guide at the end of the Report, which provides a summary of actions to be taken to effect the transfer of responsibilities.

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