8.

9.

appear to be trying to obtain for their staff terms

that are normally only given to established staff

transferred between Governments. This is particularly

the case in the matter of seniority;

(c) the M.P.B.W. terms will cause great dissatisfaction in

the affected grades of the Hong Kong Government service

and will be strongly contested by the Staff Unions

concerned.

It is suggested that:-

(a) we need to know more about exact terms M.P.B.W.

are seeking for their staff;

(b) we need some authoritative confirmation (i.e. from

Treasury) that such terms represent U.K. practice

before we could even consider whether to recommend

that the Hong Kong Government reconsider their

position;

(c) to these ends officials might meet under Treasury

auspices and draw up proposals for consideration by

Ministers (the question would not go back to 0.F.D.

if the Ministers chiefly concerned were able to agree);

Retention of Direct Labour Building Force.

The M.P.B.. should say precisely why this work cannot

be carried out by contract. Failing this, we have no counter-

argument to Hong Kong who, as M.P.B.. have admitted, have a very

efficient P.W. Department which holds that this work can be

efficiently performed by contract.

HONG KONG and WEST INDIAN DEPARTLENT "C",

18th January, 1967.

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