PACP Committee Report

The Government of Canada has carefully considered the Report of the Public Accounts Committee on Human Resources Management within Foreign Affairs and International Trade Canada (DFAIT).

The Government would like to thank the members of the Committee for their work in preparing this report and welcomes its continuing interest in strengthening human resources management in the federal government. 

Further to the update on the actions taken in response to the May 2007 Report of the Auditor General of Canada, which was provided by DFAIT to the Committee in the summer of 2009, this response specifically addresses the recommendations included in the Committee’s report and demonstrates that the Government has acted and continues to act on these recommendations.

1. Context

As the department responsible for coordinating international affairs on behalf of the Government of Canada, DFAIT faces a continuing human resources challenge to ensure that its workforce has the skills and mobility to effectively serve Canadians and advance Canadian interests in a constantly changing world.

The 2007 Report of the Auditor General provided an opportunity for the Government to address some of the key human resources issues within DFAIT.  In addition, the 2007-2008 Strategic Review of DFAIT that followed this audit, solidified the recognition of the department’s need to reinforce its presence abroad as its principal contribution to advancing the work of the Government of Canada. 

The combined result of the audit and Strategic Review has been the development and implementation of a transformation agenda for the department, which is the principal vehicle by which DFAIT will achieve the priorities of the Public Service Renewal and build a modern, and dynamic foreign and trade ministry.

2. Response to the Committee’s Recommendations

Recommendation 1:

That the Department of Foreign Affairs and International Trade provide the Public Accounts Committee with a status report by 30 June 2010 which includes an update on the implementation of the recommendations made in Chapter 3: Human Resources Management – Foreign Affairs and International Trade Canada of the Auditor General’s May 2007 Report.

The Department of Foreign Affairs and International Trade provides an annual Status Report to the Office of the Auditor General regarding the implementation of the recommendations made in the May 2007 Report.  The Status Report for 2010 is complete and has been submitted to the Office of the Auditor General. The Government accepts this recommendation and will provide the 2010 Status Report directly to the Chair of the Public Accounts Committee.

Recommendation 2:

That the Department of Foreign Affairs and International Trade Canada include in its annual Report on Plans and Priorities a discussion of how it expects its strategic human resources plan to change over the fiscal year.

In June 2009, DFAIT published its Integrated Human Resources Plan for 2009-2012, which was aligned to departmental strategic outcomes and ensured that business needs were linked to key human resources results.  The plan established strategies to fill workforce gaps and positioned expected key human resources results, which were clear and measurable. Moreover, it delineated the areas where risk management is required, including people management and financial challenges. DFAIT is currently updating the 2009-2012 Integrated Human Resources Plan.

The Government accepts this recommendation and a strategic human resources plan is now being included in the department’s Report on Plans and Priorities.  In Part III of the 2010-2011 Report on Plans and Priorities, Section 2.5 clearly outlines anticipated changes to the strategic human resources plan over the new fiscal year. The following three areas of focus for human resources management were identified as follows:

1. Workforce of the future: DFAIT will ensure its human resources reflect the department’s business needs and transformation agenda, and are consistent with priorities in the Integrated Human Resources Plan;
2. Data integrity: DFAIT will ensure that its system of record keeping reflects human resource realities to improve benchmarking and forecasting, human resources management, and decision making; and
3. Property and accommodations: DFAIT will develop a management framework and investment plan for office accommodations at headquarters and at regional offices.

In future years, DFAIT will continue to include strategic human resources planning within its annual Report on Plans and Priorities.

Recommendation 3:

That the Department of Foreign Affairs and International Trade Canada provide the Public Accounts Committee with a plan and a timeline for how it will integrate the strategic human resources plans for its headquarters and its missions abroad by 30 June 2010.

The Government accepts this recommendation and DFAIT has already begun to integrate the strategic human resources plan for its headquarters and its missions abroad.  The department’s Integrated Human Resources Plan for 2009-2012 includes the human resources analysis and strategic human resources plans for both Canada Based Staff (CBS) and Locally Engaged Staff (LES) at missions.

Specific to the locally engaged staff, new human resources planning directives and tools were provided to mission management in 2009.  As a result, 94% of the missions now have a locally engaged staff operational human resources plan with a focus on recruitment, succession planning, mobility and learning. These plans are currently being reviewed to identify issues of common interest, regionally or globally, and to develop recommendations for presentation to the Locally Engaged Staff Governance Committee and to the Regional Service Centres (this committee and the centres are described in the response to recommendation 5 below). These results will be fully integrated into the department’s human resources plans in future years.

Recommendation 4:

That the Department of Foreign Affairs and International Trade reinvest in language training for its foreign services officers and report on the statistics of how many officers are tested for and meet the language requirements for their position in their annual departmental performance reports.

In June 2009, the Treasury Board approved the Strengthening Canada’s Mission Network initiative, which was submitted by DFAIT.  Following this approval, the department has re-invested in foreign language training and stabilized funding for the Canadian Foreign Service Institute’s Centre for Foreign Languages.  As a result, new intensive foreign language training programs have been implemented both in Canada and abroad.

The results of this reinvestment are now being felt.  In the last rotation (summer 2009), 92% of the officers in foreign language training received the full duration of their training and/or achieved the required level. Given that the majority of overseas assignments were filled prior to this reinvestment, as of April 2010, 33% of the officers in positions requiring advanced foreign language capabilities have the required level. However, this will continue to rise over the coming years and will grow to 45% in 2010-11 and reach 65% by 2015.

In order to map the existing foreign language capacity within DFAIT, a testing program has been implemented. Of the 1,600 employees identified for testing, 409 have been tested.  Five hundred more tests will be completed in 2010-11, and the remaining identified employees will be tested by March 2013. Recruitment continues to identify foreign language capacity as an asset, and all new recruits with foreign language capacity are assessed before being appointed to positions in Ottawa. 

The above statistics regarding the department’s management of foreign language requirements will be included in the 2009-2010 Departmental Performance Report, with updates to be included in future years.

Recommendation 5:

That the Department of Foreign Affairs and International Trade delegate management responsibilities to the senior managers in each mission abroad so as to ensure that local needs are best being met.

The department is in the final stage of updating its instrument of sub-delegation of human resources authority.  The updated instrument will provide senior mission managers with all necessary authorities to manage their locally engaged staff, taking into consideration local specificities and the need for global policy application.

The department has undertaken a number of initiatives over the last year to help mission managers exercise their authority and to strengthen the governance and management of locally engaged staff.

In 2009, a Locally Engaged Staff Governance Committee (LESGC) was mandated to provide strategic direction and oversight for broad human resources issues and plans concerning locally engaged staff. The committee is composed of senior executives from both headquarters and missions, representing DFAIT and key partner departments.  The primary responsibility of this committee is to ensure that issues raised in the May 2007 Auditor General’s Report are fully addressed, and that the report's recommendations are implemented.  Under the guidance of the LESGC, each mission abroad has created a Locally Engaged Staff Management Consultative Board, chaired by senior mission managers.  These boards ensure formal communication fora with locally engaged staff to disseminate and collect information on matters of common interest to locally engaged staff worldwide.

Also in 2009, DFAIT launched a Total Compensation Review Strategy to ensure that mission managers can refer to modernized local terms and conditions of employment when exercising their authorities.  This strategy encompasses reviewing all locally engaged staff compensation packages and local terms and conditions of employment in cooperation with mission managers.

In order to allow mission managers to devote more of their resources to human resources management, strategic planning and development, the department is creating Regional Service Centres (RSC) abroad.  These centres provide subject-matter experts and resources, including human resources professionals, in the field and closer to the missions they serve.  At the same time, missions of different sizes are individually delivering the same set of services within a wide spectrum of operating environments.  Missions will be able to transfer to Regional Services Centres some of the typically high volume, time- and labour-intensive transactional work and back-office operations that do not require an on-site presence.

Finally, to ensure the appropriate application of the human resource policies governing the working conditions of locally engaged staff, the DFAIT’s Locally Engaged Staff Bureau has developed and published new tools, such as the Step-by-step Guide to the LES Classification Process, the LES Staffing Toolkit and Manager’s Guide to Staffing LES, and the Labour Relations Guide to Managing LES.  Training sessions are being offered throughout the year to mission managers so that they fully understand their role, rights and obligations as management representatives.

Recommendation 6:

That the Department of Foreign Affairs and International Trade implement a system of random inspections of missions to ensure that regulations for security checks are being followed and report on the results of these inspections in its annual departmental performance report.

The Office of the Inspector General of DFAIT conducts approximately twenty-five scheduled mission inspections every year. These inspections provide a systematic, disciplined evaluation of risk management, control and governance processes at missions.  Security divisions at headquarters provide the inspection teams with the status of locally engaged staff security screening, noting any deficiencies.  Where deficiencies exist, inspection teams investigate to address situational or systemic issues and then follow up with mission management, the Locally Engaged Staff Bureau, and the respective security divisions, as appropriate.  Inspection reports are published on the department’s web site.

The department has now provided mission management with a Staffing File checklist and a Personnel File checklist for locally engaged staff that specifically include ensuring security screening confirmations are on file.  In addition, the department recently introduced an automated process, which signals to both mission management and the Security and Intelligence Bureau when the security screening of an employee is about to expire and must be renewed.

The department has also put in place a complementary procedure to verify that no locally engaged staff member is permitted to access the communications facilities of the department (the SIGNET system) until the Security and Intelligence Bureau in Ottawa has received the completed security screening (reliability status) check.

Recommendation 7:

That the Department of Foreign Affairs and International Trade Canada and the Treasury Board Secretariat provide the Public Accounts Committee with the results of the foreign service directives review upon completion, including an action plan on how the results of the review will be implemented.

The review referred to in the May 2007 Auditor General’s Report was completed in 2008 and came into effect April 1, 2009.  All the provisions of the new Foreign Service Directives have been implemented.  Extensive outreach to clients and training of administrators were conducted prior to the effective date and is ongoing.  The new Directives are all available on the National Joint Council’s web site.

The amendments to the Directives have simplified procedures in some instances.  They have also created better conditions for those posted to the United States or elsewhere who are either single, accompanied by one person, or accompanied by more than three dependents.  There are currently no particular difficulties with staffing positions in the United States.

In addition, a new Foreign Service Directive was created, related to “Family Separation Assistance” (FSD 18), to address the conditions faced by families that are separated due to assignments abroad.  This new Directive has been welcomed by staff. 

The next Cyclical Review of the Foreign Service Directives is scheduled for 2012.  It should be noted that the National Joint Council amended its procedures in 2006 so that in very specific, limited circumstances, changes can be made to any of the Directives for which it is responsible.

Recommendation 8:

That the Government of Canada present to Parliament an amendment to the Employment Insurance Act to allow spouses of public servants posted abroad to claim employment insurance either while they are preparing for a posting or when they come back and are searching for employment.

In order to effectively advance Canadian interests internationally and provide services to Canadians, high-quality and experienced public servants are needed to serve Canada abroad.  The Government of Canada is concerned that barriers to spousal employment are a disincentive to working abroad and is committed to improving the spousal employment support available.

Through DFAIT, the Government provides support services to spouses of public servants posted abroad, such as processing security clearances to facilitate employment opportunities at missions abroad and by expanding the number and improving the effectiveness of reciprocal employment arrangements and agreements (the bilateral frameworks that allow spouses to access the local job markets abroad).  Several additional steps have recently been taken to strengthen this approach, including the establishment of the Spousal Employment Support Office (SESO) and the launch of a new human resources policy suite to facilitate spousal employment.

The Government is exploring options to better support spouses through the career transitions associated with international assignments.

Recommendation 9:

That the Treasury Board Secretariat in partnership with the other members of the National Joint Council, improve the flexibility and accessibility of accidental death and dismemberment insurance for public servants posted abroad.

The insurance provided by the Government of Canada as an employer through the Workman's Compensation Board has proven reliable and effective for public servants posted abroad. In response to the May 2007 Auditor General’s Report, DFAIT contracted with a supplier to provide extra accidental death and dismemberment insurance for DFAIT public servants serving in Afghanistan and Iraq.  Other departments have also followed DFAIT’s example and have contracted for accidental death and dismemberment insurance for their own public servants who serve in Afghanistan and Iraq.  This insurance could be extended to other geographic areas not covered by standard insurance.

3. Conclusion

The May 2007 Auditor General’s Report and the subsequent engagement and report of the Standing Committee on Public Accounts have provided valuable insight to guide the Government, and particularly the department, in efforts to improve human resources management within Foreign Affairs and International Trade Canada.  The work is ongoing, however, the effort has already resulted in a department that is better equipped to effectively serve Canadians and advance Canadian interests throughout the world.