TNAG-2796-FCO40-4036-Relations-between-Hong-Kong-and-international-organisations-1993 — Page 47

MEETING OF UPU EXECUTIVE COUNCIL

26 APRIL -14 MAY 1993

SUMMARY

1. This was a long but very busy and eventful meeting. Particularly busy for me because of my membership of the Project Management Team for the restructure of the Union and eventful for

all because Mr Botto de Barros unexpectedly handed in his letter of resignation on the last day following extensive criticism by the members of the Executive Council (EC) and the staff of the Bureau of his management style. UK line-questioned how cotatandu-

dibts would be handled

2. Zero real growth was achieved although it was not entirely clear how the Bureau managed to find extra resources for a number of new initiatives which were proposed by the EC.

3. The proposals in the Ernst and Young report for the future structure of the Union were accepted in principle but there is still a great deal work to do in clarifying the roles of the respective bodies. The concept of flexible financing (lifting certain non-mandatory services out of the regular budget to be financed by those who participate) was not universally accepted and there was particular hostility to treating EMS in this way.

Expedited their soureafe & Laps

4. Proposals for a new inter-face system for terminal dues were not accepted. There is still a great deal of work to be done in all the restricted unions if the system has any hope of being adopted at Seoul.

vaucus countin's wanted to difer tipe undel after Sictions in Africa 5. On the political front, the question of steps towards re- admitting South Africa to the UPU was deferred until next EC in February 1994; there was a measure of embarrassment about the presence of Hong Kong for some of the meetings and Argentina did not raise the question of the Falkland Islands (this was because, for the first time individual territories for which the UK is responsible were not listed in the work of the union). I kingsley

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this happened)

Resignation of the Director General(Committees 1,2 and Plenary)

6. It was clear from the outset that a number of countries, mainly from South America were anti-Botto. This showed itself particularly in discussion

discussion on staff matters where the DG was openly criticised for his disregard for the judgements of the ILO against the Bureau management on a number of recent staff issues. This had led to further appeals from the staff concerned so there were also significant financial implications for the budget which simply appeared in the document on the Work of the Union as "below the line commitments". Because of the persistence of the finance meeting, the IB produced a document on the cases in question for the

the Plenary meeting (Annex A). This led to a vitriolic debate fuelled by a merciless attack on the DG's management style from a member of the staff side and an emotional response from Mr Botto which went far beyond the bounds of propriety. The Chairman Tom Leavey, (himself a candidate for the DG's post) did nothing to protect Mr Botto from himself and indeed, was thought by some to have helped fuel the debate. The