| Overview : UNDP LESOTHO uses a broadband remuneration system for its Service Contract Holders. Individuals contracted under SC modality are considered as local personnel and not UN staff members. Therefore, they are not covered by UN Staff Regulations and Rules.
The Service Contract remuneration system and salary scales are distinctly different than UN staff salaries in purpose, design, comparator labour market and percentile within targeted labour market. The SC remuneration system is designed to provide for wide remuneration ranges which support flexibility in engagement and movement through service quality evaluation measures.
Engagement of personnel using the SC modality is not intended to support extended employment, nor create a career track. Individuals hired under Service Contracts are typically engaged only by UNDP for the duration of a project, and are therefore expected to return to the national labour market at the conclusion of the project or when the function is no longer required by the project.
The basis for the establishment of conditions of service for SC holders is the corresponding local labour market and must be consistent with prevailing levels of pay for similar services, similar contract conditions and comparable work in the local labour market. It is therefore necessary to gather information on local conditions of employment in a structured manner to support construction of SC remuneration scales. In keeping with the objective of simplicity, SC remuneration scales must be designed to be comprehensive, inclusive of the value of typical allowances and benefits that are found in the local labour market. The objective here is not to manage separate allowances and benefits for SC holders. Rather, the value of these should be included in the remuneration scales such that these scales are broadly competitive with the total remuneration values for the desired market position
Given this, the remuneration package under the SC is set at the gross level and may include an additional lump sum for participation in national social insurance programmes that are mandatory.
The process for establishing Service Contract remuneration scale must be simple and transparent. The contents succeeding section of this TOR aimed at providing structural guidance that will make the process straight forward and consistent across duty stations in a more structured approach.
UNDP LESOTHO would like to update the current remunerations of Service Contract holders in accordance with the set standards and procedures in the UNDP Handbook on Setting Remuneration for Service Contract Personnel herein referred to as Annex A.
In this context, UNDP would like to engage the services of a reputable and technically qualified firm with extensive expertise in labour market analyses, compensation and benefits systems, management and organizational development to undertake the salary survey process.
UNDP therefore hereby solicits proposals from interested firms to conduct a salary survey and support UNDP in establishing a revised and reasonable salary scale for SC holders based on the latest prevailing market rates and in accordance with the policies and procedures provided in Annex |
