This article examines a number of consequences of OSCE's employment policies. The article seeks to describe the challenges posed by the non-career nature of service in the OSCE and how these employment policies contribute to the overall decline of the organization's reputation and capacity. It takes a managerial rather than political perspective in analyzing some negative consequences of the non-career employment rules. In particular, it looks at detrimental effects of the current policy on the OSCE's reputation, staff motivation, institutional memory, and dealing with problem staff. The article notes technical measures that could be taken to address the shortcomings of the existing policy, while at the same time recognizing the political realities of limited prospects for a consensus emerging on this issue. The result is the decline in the OSCE's reputation and capacity.