52

a) A social security scheme which was linked in some way (as I

gather has recently been done in Singapore) with the acquisition of accomo-

dation rights. For instance, one in which workers', employers' and official

contributions were, after a period of accumulation, acceptable as the

personal

L

deposit on purchase of publicly-constructed housing.

b) A reform of the educational system, involving not merely an

earlier raising of the school-leaving age, but a structure in which access

to superior educational opportunities was much less obviously related to

"ability to pay".

I do not myself have any doubt, both that Hong Kong could afford

these things and that they would contribute to its economic efficiency and

social harmony.

70:78

As regards the question of industrial relations in the narrower

sense, the problem is more difficult. There is clear evidence in our

surveys of workers and employees of a need for change. The dilemma is that

the available trade union movements, majority and minority, will not or

cannot fulfil that need. On the other hand, it is impossible for the

administration to meet it completely (or even much more than two-thirds, say

of the way); while the alternative, erecting a new "neutral" trade union

movement in the private sector, would (even if practicable) be likely to

provoke a political confrontation.

71.

go

The Hong Kong T.U.C. has proposed a system in which (i) employers

would be compelled by law to recognise and bargain with trade unions; and

(ii) collective agreements would be legally enforceable. Of these two

points, the first is critical. If, as the T.U.C. perhaps hopes, the choice

of recognition between Left and Right lay with the employer, the effect

would be to create an almost totally unrepresentative position to which the

F.T.U. would be virtually obliged to react. The alternative would be some

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