as a territory for which we are responsible the highest

standards must be maintained.

I think we are all agreed that the trade union situation

in Hong Kong differs very considerably from our own and that

many of the points made by Sam McCluskie with relation to

seamen, and yourself about the more general problem, need

looking into. One difficulty is that not enough is yet

known about the labour relations situation in Hong Kong in

its political and sociological context, to come to any sensible

conclusions as to how and where things might be bettered.

I am thinking of commissioning a study of the whole matter

but the modalities will require careful consideration and I will

let you know what we have in mind when the Governor has been able

to give advice. I think a mini-Donovan, a suggestion I put

forward at our meeting on 23 April, would probably be too

conspicuous.

a lower profile.

But we may be able to achieve the same results with

My advisers here agree that Hong Kong trade union legislation,

as you suggested, may be somewhat antiquated and over-elaborate.

There is a Bill at present before the Legislative Council which

should do something to improve matters and I am told that Hong

Kong practice is more liberal on such matters as association,

/and

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