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CONFIDENTIAL

24. During 1977 the number of working days lost was 10,814 (ie. 6,036 more than the figure of 4,751 in 1976). The annual average during the 5 years of 1972-76 was 26, 316. Early in 1978 an estimated 4,800 working days were lost in the Royal Hong Kong Jockey Club trade dispute concerning stable lads.

25. A review of 145 trade disputes has shown that during 1977 workers have become more militant in their behaviour and more exacting in wage negotiations. Of these 145 cases, 38 resulted in stoppages leading to the loss of 10,814 working days reported in the preceding paragraph. The Mass Transport Railway Project, which up to the end of 1976 had experienced two disputes but no stoppages of work, was involved in no less than 8 disputes with 6 stoppages in 1977. The most common cause of disputes in the MTR was dismissal of a fellow worker or foreman and a subsequent demand for higher wage rates. These events, together with the various instances of activism on the part of certain grades of civil servants, represent a departure from past behavioural patterns, but the patience, tolerance and expertise of the Labour Relations Service of the Labour Department succeeded in settling the disputes without recourse to the special conciliation or other procedures provided by the Labour Relations Ordinance.

STAFF RELATIONS IN THE CIVIL SERVICE

26. The multiplicity of trade unions has already been mentioned as a problem in the field of industrial relations (para.22 above). The Civil Service in particular has seen a proliferation of small trade unions over the past 10 years, the number having increased from 24 to 73 or by about 200%. Professor Turner is working in this field but it seems that this growth in the number of trade unions and what appears to be increasing militancy in their leadership and membership stems from dissatisfaction at grade and departmental level over relativities within the master pay scale. Discussions on pay structure are permissible within Departmental Consultative Councils but subsequent action depends on departmental heads. If he does not support the case or fails in the representations he makes on his officials' behalf, there do not appear to be any constitutional channels which the officials can follow, except perhaps to petition the Secretary for the Civil Service. Priority should be given to revaluating the role and functions of Departmental Consultative Councils and utilising them to absorb the energies of the largely sectional and small trade unions which now exist. As a first step, the creation of Departmental Consultative Councils might be made compulsory, with a constitution which permits reference of issues in dispute either to the Senior Civil Service Council or, preferably, to some form of permanent and independent Civil Service Arbitration Tribunal. Similarly, matters in dispute within the Senior Civil Service Council might be dealt with by the Tribunal.

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