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Elective Public Management – Week 8 HR in the Public Sector

Elective Public Management – Week 8 HR in the Public Sector. Prof. Dr. Andreas Bergmann Institute of Public Management andreas.bergmann@zhaw.ch. Civil servants vs. Employees. Civil servants Tenured status In Germany for lifetime

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Elective Public Management – Week 8 HR in the Public Sector

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  1. Elective Public Management – Week 8HR in the Public Sector • Prof. Dr. Andreas Bergmann • Institute of Public Management • andreas.bergmann@zhaw.ch

  2. Civil servants vs. Employees • Civil servants • Tenured status • In Germany for lifetime • Elsewhere typically for a few years (e.g. 4 to 6; almost guaranteed renewal) • High levels of values: Integrity, political impartiality, merit, loyalty, devotion to public service • Not contracted but elected, as consequence no normal termination of contract • In some countries separate pension schemes

  3. Civil servants vs. Employees • Employees • Contract or other forms of consensus mechanism • Loyalty limited to contractual obligations • Discontinuation possible, by both parties • Normal fringe benefits, similar to private sector

  4. Civil servants vs. Employees • Under NPM • Many countries change from (special status) civil servants to employees, in order to • Increase flexibility • Save cost • Introduce performance management systems • „Hybridisation“

  5. Civil servants vs. Employees • Under NPM • Switzerland: Cantons abolish special status in 1990s, federal government in 2001 • Also for current civil servants • Facilitated through identical pension system for employees and both sectors • Free movement between sectors

  6. Civil servants vs. Employees • Under NPM • In Germany: • Number of employees increased, now about 2/3 • But civil servant status maintained • Separate pension schemes as main obstacle • Retention of civil service status • puts strong limitations on any form of Performance Management and any organizational change • Inhibits any change of employment/sector of employment

  7. Civil servants vs. Employees • German pension system for civil servants • Only for civil servants, not for employees! • Pensions are „pay-as-you-go“, i.e. salary is paid (at reduced level, about 72 percent) even after retirement • Pensions are funded same as salaries, i.e. from government budget • Entitlement is based on last gross salary

  8. Civil servants vs. Employees • German pension system for civil servants • Large number of entitled civil servants to increase • Supplementary pension scheme (funded) only recently started

  9. References • EMERY, Y./GIAUQUE, D.: Employment in the public and private sectors: toward a confusing hybridization process. In: International Review of Public Administration, Vol. 71, 2005, 639-657. • KUHLMANN, S./RÖBER, M.: Civil Service in Germany: Characteristics of Public Employment and Modernization of Public Personnel Management. Paper presented at the meeting Modernization of State and Administration in Europe: A France-Germany Comparison, 14-15 May 2004, Bordeaux, Goethe-Institut. • OECD: Economic Survey of Germany. 2004. • WILSON, R.: Portrait of a profession revisited. In: Public Administration, Vol. 81, 2003, 365-378.

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