Attractiveness of top management positions

Ratio of recruitment procedures to top management vacancies with enough eligible candidates to ensure a competitive process

The ratio of Top Public Management (TPM) selection procedures with five or more eligible candidates; measured centrally; data is collected from the ministry in charge of civil service for all top management positions in the national administration opened to competition in the last full calendar year, if less than 5 TPM positions were filled in, the previous year may be considered to reach the 5 minimum cases. Both internal and external eligible candidates are taken into account. Data relates to the central government administration only. Ongoing recruitments at the end of the year are excluded from the calculation. Points are allocated based on the ratio (x): • x < 20% = 0 points • 20% ≤ x < 100% = linear function • x = 100% = 3 points.

Ratio of gross salary of top managers to GDP per capita

The Top Public Management (TPM) salary is calculated through an estimation* of a typical salary of a TPM of the highest category in a ministry; this figure is compared against the country’s GDP per capita (both from the last full calendar year). Two points are awarded if the ratio is more than four times, 0 points if the ratio is less than two times, and there is a linear distribution between these values. Data comes from the central body in charge of public service salaries and from EUROSTAT or the national statistical office. *Estimation: Option a): The country provides a calculation of the yearly gross salary in the previous year corresponding to a fictitious TPM of the highest category in a ministry who was appointed from within the public service and has 20 years professional seniority in the public service. The salary is calculated by adding the following four salary components (if existing in the country): 1. TPM position salary (base/initial total salary assigned to the highest TPM position in the salary tables); if the TPM position salaries vary across ministries, the highest is used. If the D1 position does not exist in the system, D2 is analysed. 2. (if used in the country) Seniority supplement according to 20 years seniority in the public service 3. (if used in the country) Usual performance bonus: adding the full amount of the annual performance bonus paid to all or most of the TPM with good performance; potential higher bonus for outstanding performance is not taken into account. 4. (if used in the country) Usual supplements: adding amount/s of any supplement universally paid to all TPM; family-related or other singular allowances are not taken into account. Option b): average annual TPM salary (total salaries paid to TPM divided by the number of TPM on 31 December). Points are allocated based on the ratio (x): • x < 2= 0 points • 2 ≤ x < 4 = linear function • x ≥ 4 = 2 points.

Termination practices do not create major risks for the tenure, professional career and income expectations of top managers

The last five cases of terminated top managers in ministries and agencies in the last five years are assessed. If there are less than five eligible terminations, the assessment will be based on the available cases. If there has been a legal reform on this issue in the last five years, all cases should be from after the legal reform came into force. Data is collected through the ministry in charge of civil service. Only terminations in the following situations are considered for the five sample cases: 1. Regular end of term 2. Early end of term for reasons not on the side of the top manager (dismissals before end of term for whatever the reason, except disciplinary) For the five sample cases, voluntary resignations, retirements and deaths are not considered. Disciplinary dismissals are also not considered. The outcome of termination is considered “favourable”, limiting risks for top managers, if: - Persons who were public servants when appointed to TPM positions: when finalising in a top management position, in situations 1 or 2 (after expiration of term or early removal), are transferred to an adequate senior position* in the administration. An adequate position is considered to be: 1) a managerial position one level lower than the previous TPM position, or 2) the highest non-managerial position/grade in the public sector. - Persons who were not public servants when appointed to TPM positions: if involuntarily dismissed early from a top management position, receive an adequate severance pay* (only in case of non-disciplinary early dismissals; no severance pay is required for regular end-of-term or for disciplinary dismissals). Severance pay is considered adequate if not under 25% of salary for the remaining period of the regular term and not under one month salary per year of service in the TPM position (a limit of 6 months maximum pay is considered acceptable). 2 points are awarded if all five termination cases had a favourable outcome for the terminated top managers. 0 points if not.