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still under consideration but these, of course, do not contemplate compulsory arbitration. Even if compulsory arbitration could be shown to have worked satisfactorily in developed countries it is doubtful whether it could be applied successfully in Hong Kong. Workers are not organised and in most concerns where there are trade unions they are weak or not truly representative. Without representative unions the imposition of sanctions against workers' leaders would be virtually impossible. There is also the problem of both left and right-wing unions within the same concern (e.g. Hong Kong Tramways) where it would appear that even if one union agreed to compulsory arbitration the other would not co-operate even if it could be made to participate.
5.
As you may be aware, we already have provision in the 1968 agreement between the Government and the three main Staff Associations for a form of arbitration in the Civil Service on a number of matters affecting a substantial part of the Service as a whole or of the members of one or more of the three associations. Matters referable to a Committee of Inquiry include salaries (other than Scale 1, Police rank & file and superscale), allowances, weekly hours of work, leave rates, rent for quarters, house allowances and eligibility for housing. Excluded are statutory pensions and retirement allowances, pensionable status, complementary and grading matters, discipline and matters affecting individuals.
6.
In general the comments in paras. 14 - 16 of Appendix A to Foggon's Report are acceptable though we are not convinced that compulsory arbitration would be appropriate even as "a weapon of last resort".
7.
I hope this provides you with sufficient material for a reply to Jenkins.
yours
Теля
(S.T. Kidd)
Actg. Deputy Colonial Secretary