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4.
A background paper on developments in Hong Kong during the last year has been circulated with the agenda. This indicates that progress has been made on matters which I know are of continuing interest in this country. But I expect that interest today centres on Professor Turner's interim report on the trade union and industrial relations situation in Hong Kong and if members agree we shall concentrate on that. A covering paper on Professor Turner's report has also been circulated by our Secretary which summarises the main recommendations and suggests several matters which members feel require further consideration or elucidation by Professor Turner. The meeting today is in fact opportune since it gives us the chance of saying what further information we should ask Professor Turner to provide in the final phase of his review. I will ask a representative of the TUC to open our discussion and then I hope a CBI representative will tell us the CBI's reactions to this report.
5.
6.
[BACKGROUND TO BE DRAWN UPON AS APPROPRIATE ]
The points set out in paragraph 6 of the covering memorandum OLCC" (1977) LA take into account what we know of the TUC's initial reactions to the interim review.
But the TUC may revert to its argument (heard before Professor Turner was engaged to make this study) that the TUC (and the CBI) should nominate a representative to examine the situation on the ground as part of the study group. On the Governor's advice, this request was rejected by Mr Callaghan in December 1975 when he met members of the TUC's International Committee (including Mr Murray and Mr Jones). Mr Crosland subsequently confirmed this decision in a letter to Mr Murray (copies of the correspondence are attached). The Governor's firm conviction has always been that if this enquiry is to be successful it should be a low-key academic study carried out in collaboration with the University of Hong Kong. The Governor has been consulted again about the possibility of the TUC reverting to this argument and, in a telegram of 15 April, he emphasised his opposition to it. His principal concerns (and ours) are
A. That the study should be satisfactorily and carefully
completed by Professor Turner and that he should retain the academic and independent status which he provides.
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/B