1. How does lifelong learning work in the Hungarian civil service? How does lifelong learning work in the Hungarian civil service? Éva Perger ECOSTAT Hungary ‘ The European Public Service faced with the challenges of globalisation and European integration: the role of lifelong learning’ CESI-Europe Academy (Malmö, 28-30 October, 2009)

2. Scheme of presentation The Hungarian civil service The Hungarian civil service Challenges for the Hungarian public sector Challenges for the Hungarian public sector Does the legal background stimulate civil servants to improve their competences? Does the legal background stimulate civil servants to improve their competences? Further training system for civil servants Further training system for civil servants Results and problems Results and problems Hungarian civil service in a wilder context of the life- long learning concept Hungarian civil service in a wilder context of the life- long learning concept Conclusions Conclusions

3. Background information Population of Hungary: approx 10 million Four special categories in the public sector:   public employees: 530.000 – 540.000   civil servants: 90.000 – 100.000   in service of the armed forces: 70.000 – 75.000   employees of the courts, prosecutor offices: 10.000 – 11.000

4. The Hungarian civil service  Civil Service Act (CSA) 1992 – basically a carrier system 2001 - pay-system reform - attractiveness 2001 - pay-system reform - attractiveness 2007 - more elements of a position-based system – flexibility 2007 - more elements of a position-based system – flexibility  competition based recruitment („competition” exam is mandatory)  appointment for indefinite period (except for special tasks and higher rank positions in the central administration)  promotions with categories depending on qualification and on length of service (except honorary titles and professional advisers)  remuneration based on the salary scale by the different promotion categories (honorary titles and executive positions - higher payroll degree, alteration +30 /- 20% degree on the base of professional performance)  merit-rating (for promotion), „new” performance assessment on central level (bonus),  fundamentally decentralised personnel management (but centrally regulated performance evaluation, semi-decentralized training system and partly centrally launched recruitment for leading positions in central administration)

5. Challenges for the Hungarian public sector Challenges for every member state:  globalization  new technologies  European integration  new market trends (crises, budgetary burdens etc.) Extra challenges for new-comers:  building up the institutions and mechanism of a market orientated democracy  management of the EU accession process  proper implementation of the Union Law,  adaptation to the European Administration Space  capability for the effective use of EU Structural and Cohesion Funds

6. Effects modernization of public administration has become a permanent process modernization of public administration has become a permanent process recently emphasis is on the effectiveness of the public sector recently emphasis is on the effectiveness of the public sector recent measures more directly aim the civil service itself (amendment of the Civil Service regulation, a drastic organization transforming and staff reduction programme etc.) recent measures more directly aim the civil service itself (amendment of the Civil Service regulation, a drastic organization transforming and staff reduction programme etc.) improvement of the quality of the human resources must be a main goal improvement of the quality of the human resources must be a main goal

7. Legal background Education is a right of each civil servant (“contract on education”, guaranteed free-time), entitlement for 30 hours of further training in 4 years Education is a right of each civil servant (“contract on education”, guaranteed free-time), entitlement for 30 hours of further training in 4 years Learning is also a duty (continuous maintenance and enhancement of professional competences, mandatory training programs, for managers – once a year) Learning is also a duty (continuous maintenance and enhancement of professional competences, mandatory training programs, for managers – once a year) Further training is mostly financed by the state budget Further training is mostly financed by the state budget The employer is obliged to insure the participation - free-time for the courses with pay The employer is obliged to insure the participation - free-time for the courses with pay Moving to a higher grade is possible if civil servant pass the exam as required (qualifying examination) and meet the other conditions set by the supervisor (who met the requirements before the end of the waiting time receives the minimum pay of the next grade. Moving to a higher grade is possible if civil servant pass the exam as required (qualifying examination) and meet the other conditions set by the supervisor (who met the requirements before the end of the waiting time receives the minimum pay of the next grade. Possible extra allowance for higher degree of qualification than required Possible extra allowance for higher degree of qualification than required New performance assessment system – a tool for stimulation to develop competences New performance assessment system – a tool for stimulation to develop competences

8. Further training for civil servants  Operates under central guidance and with central assistance  Responsible: Minister of the Prime Minister’s Office  Distinguished role of Centre for Human Resource Services (till 2007 HIPA - coordination, consultancy, methodology, tendering and administration of training programs and trainers, prepares and organizes „central programs” on high priority areas) (till 2007 HIPA - coordination, consultancy, methodology, tendering and administration of training programs and trainers, prepares and organizes „central programs” on high priority areas)  Planning system: - Medium term plan on government level - gov. decision - Medium term plan on government level - gov. decision (general principles and guide-lines, the main goals and priorities) (general principles and guide-lines, the main goals and priorities) - Annual plans on the level of ministries, central offices, territorial - Annual plans on the level of ministries, central offices, territorial administration offices administration offices ( mandatory and optional central programs and qualified programs of the private ( mandatory and optional central programs and qualified programs of the private companies, participation in education, and in special programs for managers) companies, participation in education, and in special programs for managers) - Annual action plan on „local” level of separate central organs - Annual action plan on „local” level of separate central organs (concrete concrete names and time-schedules) (concrete concrete names and time-schedules)

9. Training assistance from the EU  2004-2006 – OP for Regional Development project of 13,2 million euro supporting the human capacity-building of the local administration project of 13,2 million euro supporting the human capacity-building of the local administration  2007-2013 - State Reform OP priority axes: improvement of skills and competencies which facilitate the modernization of public administration (special attention to training for managers, training on new performance assessment) priority axes: improvement of skills and competencies which facilitate the modernization of public administration (special attention to training for managers, training on new performance assessment) The new project-management logic has been successfully integrated to the general national system based on medium term and annual plans

10. Results established legal and institutional framework established legal and institutional framework basically ensured financing from state budget and from EU Funds basically ensured financing from state budget and from EU Funds EU related issues are mostly involved in the general training system EU related issues are mostly involved in the general training system more and more programs for developing skills and practical knowledge more and more programs for developing skills and practical knowledge development in training methods development in training methods high number of participants high number of participants

11. Problems due to high turnover and staff reduction individuals do not use the acquired knowledge or competence level in the civil sector. due to high turnover and staff reduction individuals do not use the acquired knowledge or competence level in the civil sector. training system is still not really based on a complex HR strategy either on central or on organization level training system is still not really based on a complex HR strategy either on central or on organization level the carrier and the position-based elements of the HR system are not totally harmonized the carrier and the position-based elements of the HR system are not totally harmonized the planning mechanism is not always able to find a good method which balances “top – bottom” and “bottom – up” approach. the planning mechanism is not always able to find a good method which balances “top – bottom” and “bottom – up” approach. flexible forms of training and special courses mainly based on personal needs and real continuity for the individuals are still missing flexible forms of training and special courses mainly based on personal needs and real continuity for the individuals are still missing financial problems - serious deficit and dept, one third of the ÁROP budget has been rearranged to another OP financial problems - serious deficit and dept, one third of the ÁROP budget has been rearranged to another OP

12. ...in a wilder context of the life- long learning concept working arrangements do not really facilitate learning (no part-time or telework, flexible working time is rarely used) working arrangements do not really facilitate learning (no part-time or telework, flexible working time is rarely used) time for preparation or for individual learning is not included in the working process time for preparation or for individual learning is not included in the working process overtime is usual and without pay overtime is usual and without pay in the circumstances of a relatively high level of unemployment and due to the more flexible regulation for dismissal civil servants are not always able to benefit from their rights in the circumstances of a relatively high level of unemployment and due to the more flexible regulation for dismissal civil servants are not always able to benefit from their rights high percentage of female civil servants (more than 70 %) but there are no special possible working arrangements available for women. high percentage of female civil servants (more than 70 %) but there are no special possible working arrangements available for women. unfavourable age-structure (few servants in the middle of their careers) unfavourable age-structure (few servants in the middle of their careers) few possibilities to individuals for informal learning, no such special forms of training as exchanges with other organization, counselling and guidance services, workshops, conferences, experience-sharing, few possibilities to individuals for informal learning, no such special forms of training as exchanges with other organization, counselling and guidance services, workshops, conferences, experience-sharing,

13. Conclusions Training is more and more considered as one of the most effective instruments for developing civil service but there would be a need to handle the new challenges in the wilder context of the life-long learning concept. Training is more and more considered as one of the most effective instruments for developing civil service but there would be a need to handle the new challenges in the wilder context of the life-long learning concept. Because of the unfavourable economic and labour market situation, the limits of the state budget and the unconsistent and relatively inflexible regulation of the civil service there is a little hope to link the further training system for civil servants with a life-long learning policy Because of the unfavourable economic and labour market situation, the limits of the state budget and the unconsistent and relatively inflexible regulation of the civil service there is a little hope to link the further training system for civil servants with a life-long learning policy Reality: Reality: - better harmonization of the demands of the individuals, and the employers - better harmonization of the demands of the individuals, and the employers - new methods and forms of training, enhancement informal learning possibilities. - new methods and forms of training, enhancement informal learning possibilities. - more attention to that services which can help individual learning or other not “training-course like” possibilities. - more attention to that services which can help individual learning or other not “training-course like” possibilities.