existence of such. reserve powers enables the government to impose a
"statutory incomes policy" in the public sector without the need to
reject outright staff wage claims in the SCSC.
Pay Policy
Not surprisingly in a society dominated by the market economy, the
fundamental premise of government pay policy is to follow, not lead,
the private sector. To say the least, government attempts to bid.
up the price of labour would embarass undertakings in the competitive
sectors of the economy.
The annual review of incomes of staff covered by SCSC is based on a
systematic comparison with-wage movements which have occurred in the
private sector. Discussions on salary increases in the SCSC take as
their point of departure the Annual Pay Trend Surveys produced by the
Civil Service Branch Pay Investigation unit.
The Annual Pay Trend Survey consists in a review of salary movements
in 68 Hong Kong based companies engaged in manufacturing, commerce
and shipping. The list of companies has been ratified by the colony's
business-interests represented on UMELCO. (7)
The 68 selected companies consist in-what government considers to be
'good' employers, not necessarily in terms of wages, but in terms of
overall benefits. However, although the list of 68 companies was
agreed in the SCSC in 1968, two of the main staff associations criticize
the methodology of the pay trend surveys and further express a desire
(7)
i.e. The unofficial members of the Executive and Legislative
Councils, who have their own office and procedure for informal consultation. UMELCO in fact consists of leading businessmen. The official members of the Executive and Legislative Councils are senior civil servants.