2.

348

If. Gave HR+10D

Reference HKK 21/2

35

1.

I was glad to have seen these papers before I spoke to Mr Charles Blyth, General Secretary of the ITF, yesterday about a similar problem concerning the Gilbert & Ellice Islands.

2 =

I heard of this Hong Kong problem while I was in Geneva attending the International Labour Conference. Mr Ian Price, the Deputy Cominissioner of Labour, had brought with him from Hong Kong copies of the various documents enclosed with Mr DJ C Jones' letter of 9 June (32) and I arranged for him to discuss the problem with Mr Harold Lewis, the International Secretary of the ITF who will be visiting Hong Kong towards the end of July (after the meeting of the Fair Practices Committee of the ITF which is to be held on 18 July).

3.

The position regarding Hong Kong shipping vis-à- vis the ITF Resolution is reasonably clear: -

(a) A Hong Kong registered ship i.e. with British registration, having a Hong Kong crew and paying appropriate Hong Kong rates, would not be regarded as coming within the definition of either 'flag of convenience' or 'crew of convenience'.

(b) A Hong Kong owned ship registered outside Hong Kong (other than in Britain) would be regarded as a 'flag of convenience' ship and would be subject to the restrictions imposed by the ITF Resolution.

4. It will be seen from this that the solution proposed in the final paragraph of Mr Jones' letter will not be acceptable to the ITF and its affiliates. It is not a question of a ship being 'owned by a Hong Kong ship owner'; what is material is where the ship is registered and under whose flag it sails.

5. It is quite clear that the ITF and its affiliates are determined to effect an all-round improvement in crew conditions and in safety and other aspects of seafaring that have tended to deteriorate in 'flag of convenience' arrangements. At the present time, Scandinavia, Israel and Australia are taking the lead but it is likely that restrictions will be tightened up and extended afterethe Fair Practices Committee of the ITF meets on 18 July. The affiliation or non- affiliation of a Seamens Union from Hong Kong is more or less immaterial since the special local circum- stances about trade union organisation are well under- stood. The Amalgamated Seamens Union was disaffiliated in 1965 but has just now applied for re-affiliation - no doubt due to employer pressure. Mr Lewis will be looking at the bonafides of the Union when he visits Hong Kong.

(I had a word with Mr Mackenney of DTI who had referred Mr Goodfellow's letter of 21 June (33) to

/Mr Drukker

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