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The consultant estimated potential savings offered by the only company specializing in tracking accrual of business frequent flyer miles and applying miles to official travel (frequent flyer miles company). (...) Owing to the complexities of obtaining frequent flyer miles tickets, it was decided not to capture frequent flyer miles in their travel programmes. (...) If the United Nations were to adopt a frequent flyer miles programme, other factors would come into play, as follows: A/66/676 12-21912 14 (a) Changes to the booking and approval process: (i) The contracted travel agencies would book the lowest negotiated fare within policy, as usual, and programme their systems to forward potential frequent flyer miles itineraries as they are booked and changed to the frequent flyer miles company to review for possible frequent flyer miles savings; (ii) If there is an opportunity for savings on the same itinerary, the frequent flyer miles company would book the frequent flyer miles inventory and advise the contracted travel agency to cancel the original paid flights; (iii) If the frequent flyer miles opportunity requires rerouting, the frequent flyer miles company would contact the traveller prior to making any changes; (iv) The additional frequent flyer miles review would require additional time for the approval process.

According to the Secretary-General, implementing a corporate frequent flyer mile programme at United Nations Headquarters would involve managing frequent flyer mile programmes with the more than 70 airlines most frequently used for official travel. It is also stated that as frequent flyer miles can typically be redeemed only for a limited number of seats on given flights, the practical utility for business travel is limited. (...) It is also indicated that negotiated airline agreements providing upfront discounts on market air fares are typically preferred to corporate frequent flyer mile programmes by other organizations. In a revised information circular, all staff of the Secretariat are instructed not to use, for personal travel, any frequent flyer miles gained as a result of conducting official business on behalf of the Organization, and are encouraged to use such frequent flyer miles for official travel, where feasible (see A/71/741, paras. 29-32). 13.

More specifically, with regard to frequent flyer miles, the Secretary-General recommended that the administrative instruction on official travel should be amended to include a provision instructing all staff of the United Nations not to use, for personal travel, any frequent flyer miles gained as a result of conducting official business on behalf of the Organization and encouraging the use of such frequent flyer miles for official travel. 3. The Secretariat had conducted a study assessing the possibility of establishing a formal system to use frequent flyer miles for official travel. The study had benchmarked the practices of the United Nations with those of other international organizations, certain Member States and the private sector, analysed travel expenditure in New York and Geneva and explored the potential for outsourcing the acquisition of air tickets in exchange for frequent flyer miles. Based on the results of the study, the report had concluded that introducing an institutional frequent flyer mile system would not be cost-effective, as no net savings would be achieved. 4.

Recommendations on specific proposals Frequent flyer miles 7. The General Assembly decided to consider, at the first part of its resumed sixty-sixth session, the issue of a system for allowing United Nations staff to provide data on frequent flyer miles accrued as a result of official air travel (resolution 65/268, sect. (...) The Assembly also requested the Secretary- A/66/739 3 12-25960 General to update the relevant administrative instruction to instruct staff to collect and, where possible, use frequent flyer miles to fund official travel, and not to use frequent flyer miles accrued as a result of official travel for personal travel (ibid., annex, para. 2 (e)). (...) In light of the conclusion of the review that a formal frequent flyer miles programme is not feasible, the Secretary-General proposes that the administrative instruction on official travel instead be amended to instruct all staff of the United Nations not to use, for personal travel, any frequent flyer miles gained as a result of conducting official business on behalf of the Organization and to encourage all officials of the United Nations to use the frequent flyer miles gained as a result of conducting official business on behalf of the Organization for official travel where feasible (see A/66/676, paras. 5 and 87). 10.

The Advisory Committee notes from the report of the Joint Inspection Unit that the majority of organizations do not have programmes for the recovery of frequent flyer miles for tickets purchased by them, and that the majority also stated that programmes for utilizing frequent flyer miles would be an expensive and cumbersome use of administrative resources (A/65/338, paras. 97 and 98). Upon enquiry, the Advisory Committee was informed that the cost of administering an organizational frequent flyer programme would exceed its benefits. Furthermore, the Advisory Committee was informed that those commercial airlines contacted by the Secretariat with regard to the possible use of frequent flyer miles under a United Nations account, were instead more receptive to offering discounts on air tickets purchased by the United Nations and its entities. The Advisory Committee notes the difficulties identified by the Joint Inspection Unit and the Secretary-General with regard to the consolidation and administration of organizational frequent flyer miles. The Advisory Committee is of the view that the issue should be kept under review and encourages the United Nations and its entities to continue to explore other ways to reduce overall travel expenditures and looks forward to any new proposals in this regard. 7.

In response to the request of the General Assembly (resolution 72/262 B, section I, para. 8) to continue to monitor industry best practices in the area of frequent flyer miles and to report to the Assembly on any new trends with regard to making use of frequent flyer miles to improve the administration of travel, the Secretariat conducted a benchmarking exercise. (...) The Advisory Committee recalls its report on the Secretary-General’s proposals for a more effective and efficient utilization of resources for air travel, and its related observation that staff of the United Nations should not use for personal travel any frequent flyer miles which they earned by conducting official business and that staff should be encouraged to use such frequent flyer miles for the booking of official travel, when feasible (A/66/739, para. 11). The Committee is of the view that the Secretary-General should continue his efforts and encourage all staff, and in particular senior United Nations officials at the level of Assistant Secretary-General and above, including their support staff, whose work duties often require regular commercial air travel, to use any frequent flyer miles earned for their official travel, and to book a voluntary downgrade to the least costly cabin class and then apply their frequent flyer miles towards an upgrade to their desired cabin class.

On this basis, the Secretary- General should then provide an assessment of the United Nations standards of accommodation regarding class of air travel and, if warranted, make proposals in this regard. Frequent flyer miles 41. The Advisory Committee recalls that a comprehensive review by the Secretary- General of the potential application of frequent flyer miles for official travel within the United Nations concluded that the United Nations could not achieve any savings through a formal programme that manages frequent flyer miles for official travel (A/66/676, para. 64). (...) In accordance with paragraph 11 of the report of the Committee (A/66/739), staff members are instructed not to use any frequent flyer miles gained as a result of conducting official business on behalf of the Organization for personal travel and are encouraged to use such frequent flyer miles for official travel, where feasible. The Organization relies on the integrity of staff in the usage of miles earned through official business. The Advisory Committee recommends that the General Assembly request the Secretary- General to include in his next report details on the use of frequent flyer miles to purchase or upgrade tickets for official travel.

After attempting to manage frequent-flyer mile banks in the past, the Secretariat ascertained that it was not cost-effective to put extensive personnel resources into the administration of frequent-flyer mile accounts and changed this policy. Staff members are encouraged to utilize frequent-flyer miles for official travel, whenever possible. (...) In addition, airlines refuse to assist companies and organizations to utilize frequent-flyer miles credited to individuals for official travel. 48.

Decides to consider, at the first part of its resumed sixty-sixth session, the issue of a system for allowing United Nations staff to provide data on frequent flyer miles accrued as a result of official air travel. 84th plenary meeting 4 April 2011 Annex Measures for the effective and efficient utilization of resources for air travel in the United Nations 1. (...) In addition, the Secretary-General is requested: (a) To make a proposal for a mechanism to allow for the effective tracking of all costs associated with commercial air travel in the Secretariat, including with regard to peacekeeping operations, special political missions and lump-sum payments to eligible staff members, and to maximize cost efficiencies in the purchase of air tickets and other services related to air travel, benefiting from best practices, including, but not limited to, those set out in the present resolution; A/RES/65/268 7 (b) To promote greater coordination across the United Nations system on air travel matters, including by leveraging the experiences of existing bodies, such as the Inter-Agency Travel Network; (c) To implement, as a matter of priority, the planned enterprise resource planning/Umoja travel module to facilitate and better regulate all travel activities undertaken by the United Nations, including the collection of data necessary for negotiating global deals with airlines and airline alliances; (d) To introduce a set of clear and comprehensive guidelines to better regulate the authorization of upgrades in the class of air travel on an exceptional basis, inter alia, in the case of a medical condition, restricting such upgrades to business class at the highest, without prejudice to instances of medical emergency, taking into account the opinion of the Director of the Medical Services Division of the Secretariat, which was reiterated in the position paper adopted by all medical directors in the United Nations common system in 2007, that there is no substantive difference between business class and first class in terms of the safety of an individual with a medical condition; (e) To update the administrative instruction on official travel,13 taking into account, inter alia, the relevant resolutions of the General Assembly and recent developments in air travel, such as new products introduced by air carriers and new classes of air travel, and to include provisions instructing staff (a) to collect and, where possible, use frequent flyer miles to fund official travel; (b) to not use frequent flyer miles accrued as a result of official travel for personal travel; and (c) where possible, to purchase tickets at least two weeks in advance of travel; (f) To continue exploring, in the context of section II, paragraph 3, of General Assembly resolution 63/268 of 7 April 2009, all possible options, including various tools for enhancing the effective and efficient utilization of resources for air travel across the United Nations system, including forecasting and planning, making online and early bookings, using advance-purchase discount tickets, using frequent flyer miles accumulated by staff members from official travel to purchase and upgrade tickets where appropriate, making alternative arrangements for the procurement of air travel utilizing the collective purchasing power of the United Nations and making the most effective use possible of the lump-sum scheme, where applicable; (g) To ensure that the Travel and Transportation Section properly performs its contract management role by monitoring the performance of air travel vendors and their full compliance with contract provisions, including the provision of all information requested by United Nations management entities and oversight bodies. _______________ 13 ST/AI/2006/4 and Amend.1 and 2.