Governance, Fraud, Ethics and Corporate Social Responsibility Ethical Codes for the Official Statistics: An International Perspective Turgay ALTUN 4th International Conference on Governance, Fraud, Ethics and Corporate Social Responsibility April 6, 2012 – Alanya / TURKEY

SUMMARY INTRODUCTION INTERNATIONAL STATISTICAL INSTITUTE UNITED NATIONS (UNECE / UNSC) OECD EU (EUROSTAT) TURKISH STATISTICAL SYSTEM CONCLUSION

INTRODUCTION Ethics can be defined briefly as; the guiding values the principles the standards that help people determine how “things ought to be done”

(i.e. Accounting Ethics) INTRODUCTION ETHICS (General Term) PROFESSIONAL ETHICS (i.e. Accounting Ethics) STATISTICAL ETHICS (Our Point)

INTRODUCTION Statistical data are of crucial importance for modern democratic societies. Official statistics of high quality is indispensible for global economies. In order to ensure the quality, NSIs should comply with internationally accepted quality standards and principles, in other words with ethical codes.

INTRODUCTION International and supranational organizations like, International Statistical Institute (ISI) United Nations (UNECE and UNSC) Organization for Economic Co-operation and Development (OECD) European Union (Eurostat) have adopted ethical codes in the official statistics area so far.

INTERNATIONAL STATISTICAL INSTITUTE (ISI) DECLARATION ON PROFESSIONAL ETHICS Foundation of “Committee on a Code of Ethics for Statisticians” (1979). Coming to an agreement for an ethical code (1981). Declaration of Professional Ethics was adopted (1985). The Declaration was revised (2010).

INTERNATIONAL STATISTICAL INSTITUTE (ISI) SHARED PROFESSIONAL VALUES Respect Professionalism Truthfulness and Integrity ETHICAL PRINCIPLES Pursuing Objectivity Exhibiting Professional Competence Clarifying Obligations and Roles Maintaining Confidence in Statistics Assessing Alternatives Impartially Exposing and Reviewing Methods and Findings Conflicting Interests Communicating Ethical Principles Avoiding Preempted Outcomes Bearing Responsibility for the Integrity of the Discipline Guarding Privileged Information Protecting the Interests of Subjects

UNITED NATIONS (UNECE / UNSC) FUNDAMENTAL PRINCIPLES OF OFFICIAL STATISTICS Adopted by UNECE for the UNECE Region (1992). Decision of the UNSC for global implementation of the Principles (1994). A milestone in the codification of an ethical code in official statistics area. The Document is comprised of ten principles.

UNITED NATIONS (UNECE / UNSC) FUNDAMENTAL PRINCIPLES OF OFFICIAL STATISTICS Relevance, Impartiality and Equal Access Confidentiality Professional Standards and Ethics Legislation Accountability and Transparency National Coordination Prevention of Misuse Use of International Standards Sources of Official Statistics International Cooperation

ORGANIZATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT (OECD) QUALITY FRAMEWORK AND GUIDELINES FOR OECD STATISTICAL ACTIVITIES Adopted in 2003. Updated recently in January 2012. OECD views quality in terms of seven dimensions:

ORGANIZATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT (OECD) QUALITY FRAMEWORK AND GUIDELINES FOR OECD STATISTICAL ACTIVITIES Relevance Accuracy Credibility Timeliness Accessibility Interpretability Coherence

EU (EUROSTAT) Eurostat is the abbreviation of the “Statistical Office of the European Communities”. Established in 1953 in order to meet the requirements of the Coal and Steel Community. Became a Directorate-General of European Commission in 1958. Located in Luxembourg.

EUROPEAN STATISTICS CODE OF PRACTICE EU (EUROSTAT) EUROPEAN STATISTICS CODE OF PRACTICE Adopted by Statistical Programme Committee as a Recommendation in 2005. Binding in 2009 after Regulation (EC) No 223/2009. Revised in 2011 by ESSC (EU Financial Crisis) Issues related to the principles of Quality Commitment Professional Independence has been further enhanced.

EUROPEAN STATISTICS CODE OF PRACTICE EU (EUROSTAT) EUROPEAN STATISTICS CODE OF PRACTICE In the revised CoP; 3 headings 15 principles 82 indicators The headings and principles of the CoP are;

Statistical Procedures EU (EUROSTAT) INSTITUTIONAL ENVİRONMENT STATISTICAL PROCESSES OUTPUTS 1. Professional Independence 7. Sound Methodology 11. Relevance 2. Mandate for Data Collection 8. Appropriate Statistical Procedures 12. Accuracy and Reliability 3. Adequacy of Resources 9. Non-Excessive Burden on Respondents 13. Timeliness and Punctuality 4. Quality Commitment 10. Cost Effectiveness 14. Coherence and Comparability 5. Statistical Confidentiality   15. Accessibility and Clarity 6. Impartiality and Objectivity

EUROPEAN STATISTICS CODE OF PRACTICE EU (EUROSTAT) EUROPEAN STATISTICS CODE OF PRACTICE Monitoring: Peer Review Exercises EU & EFTA Member States: 2006-2008 Candidate and Pot. Candidate Countries: 2010-2011. Evaluation of Statistical Systems within the context of Principles 1-6 and 15 of the CoP. Fully Met Largely Met Partly Met Not Met

Statistical Procedures EU (EUROSTAT) INSTITUTIONAL ENVİRONMENT STATISTICAL PROCESSES OUTPUTS 1. Professional Independence 7. Sound Methodology 11. Relevance 2. Mandate for Data Collection 8. Appropriate Statistical Procedures 12. Accuracy and Reliability 3. Adequacy of Resources 9. Non-Excessive Burden on Respondents 13. Timeliness and Punctuality 4. Quality Commitment 10. Cost Effectiveness 14. Coherence and Comparability 5. Statistical Confidentiality   15. Accessibility and Clarity 6. Impartiality and Objectivity

According to the Peer Review Reports of the 27 MSs EU (EUROSTAT) According to the Peer Review Reports of the 27 MSs Number of Instances (Indicator x Country) Percentage Fully Met 605 64 % Largely Met 221 23 % Partly Met 110 12 % Not Met 9 1 %

EU (EUROSTAT)

TURKISH STATISTICAL SYSTEM PRINCIPLES SOURCE Statistical Confidentiality - Protection of Individual Data Turkish Statistics Law Reduction of Respondent Burden  Strategic Plan Accuracy Up-to-Dateness Reliability Comparability  Official Statistics Prg.

TURKISH STATISTICAL SYSTEM PRINCIPLES SOURCE Easy and Equal Access Turkish Statistics Law User Orientedness  Strategic Plan Official Statistics Prg. Clarity and Transparency Impartiality Data Security Timeliness Strategic Plan

TURKISH STATISTICAL SYSTEM Peer Review for Turkish Statistical System was carried out on May 24-27, 2011. Peer Review Team was comprised of 2 independent experts and 2 Eurostat staff. The Team made meetings not only with TurkStat representatives, but also academicians, civil society representatives, researchers, staff from other statistical providers, etc. Regarding Turkish Statistical System and TurkStat’s coordination role in the System.

CONCLUSION Statistical data with high quality is significant for democratic countries governed by the rule of law. Well accepted standards and principles are in place so as to ensure the quality of official statistics. Monitoring activities of these principles are carried out in order to evaluate the compliance of the national statistical systems.

CONCLUSION Economic crises proved the importance of high quality and independent official statistics. Finally, Turkish Statistical System is based on well-accepted ethical principles in international level. The most significant feature is the adoption of most of these principles directly in primary law, in Turkish Statistics Law.

“Don’t lie to me, Argentina”, Economist, Feb. 25, 2012 CONCLUSION “Don’t lie to me, Argentina”, Economist, Feb. 25, 2012

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