How does lifelong learning work in the Hungarian civil service?

1. How does lifelong learning work in the Hungariancivil 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 • Challenges for the Hungarian public sector • Does the legal background stimulate civil servants to improve their competences? • Further training system for civil servants • Results and problems • Hungarian civil service in a wilder context of the life-long learning concept • Conclusions

3. Background information Population of Hungary: approx10million 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 2007 - more elements of a position-based system – flexibility • competition based recruitment („competition” exam is mandatory) • appointment for indefinite period (exceptfor 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 CohesionFunds

6. Effects • modernization of public administration has become a permanent process • 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.) • 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 for30 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) • Further training is mostly financed by the state budget • 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. • Possible extra allowance forhigher degree of qualification than required • New performance assessment system – a tool for stimulation to develop competences

8. Further training for civil servants • Operates under central guidance and with centralassistance • 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) • Planning system: - Medium term plan on government level - gov. decision (general principles and guide-lines,the main goals and priorities) - Annual plans on the level of ministries, central offices, territorial administration offices (mandatory and optional central programs and qualifiedprograms of the private companies, participation in education,and in special programs for managers) - Annual action plan on „local” level of separate central organs (concreteconcrete names and time-schedules)

9. Training assistance from the EU • 2004-2006 – OP for Regional Development project of 13,2 million eurosupporting 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) 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 • basically ensured financing from state budget and from EU Funds • EU related issues are mostly involved in the general training system • more and more programs for developing skills and practical knowledge • development in training methods • 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. • 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 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 • 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) • time for preparation or for individual learning is not included in the working process • 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 alwaysable 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. • unfavourable age-structure (few servants in the middle of their careers) • few possibilities to individuals for informal learning, no such special forms of training asexchanges 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. • 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: - better harmonization of the demands of the individuals, and the employers - 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.