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chance of moving to an electoral system for the Legislative and Executive Councils.

Nonetheless

he remained unconvinced that the progress towards the widening of the social basis of an appointed LegCo should necessarily be as slow as you, and we, have recommended to him. He finds. it difficult to conceive that it would be possible to find three suitable people from the MACS or elsewhere when the terms of membership of ten members of LegCo expire next June. He is not convinced that the introduction of members representing a wider social strata would be disruptive to good government in Hong Kong, particularly bearing in mind the fact that LegCo is advisory and not executive in character. He believes that it would be difficult for him to defend the present situation on the grounds that the body needs to be socially cohesive if it is to function at all or that rapid promotion from, say, an MAC would be impossible for people of the right potential. In his view, the aim should be to look for people with adequate potential, not necessarily people who are ready for full and effective participation in LegCo's activitirs

He has, therefore, instructed me to sound out your views on how this change could be effected and what possible candidates could be

found.

now.

Lt. He recognised that Hong Kong's record on the ratification of ILO Conventions is a good one as compared with other Asian countries and was glad to note that a number of other conventions might be extended to Hong Kong over the next year. He has approved the suggestion that the performance of Hong Kong in these respects should be reviewed every January so that he can be satisfied that an adequate momentum is maintained.

5. Mr Callaghan also accepted that the possibility of a mini-Donovan which he had

suggested to the NEC was not really a starter but he felt that further information was needed on the

/labour

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