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:

Mr Alexander

ADMINISTRATION IN CONFIDENG D

LAST

(3)

HKA 430/4

RECEIVED

DKI KO SI

- 3 JUL 1979

DESK OFFICER

INUL (

PA

W

6

CONDITIONS OF SERVICE FOR DS PERSONNEL IN DEPENDENT TERRITORIES

I share, to some degree, the concern about present arrange- ments which you expressed in your minute of 21 May. I said as much in a minute of 8 November last to Mr Laren (opied to you and PPD) about Mr Massingham in the Falklands. I then offered, rashly, to produce a think-piece. My departments table (re turned herewith) was commissioned in consequence, but I am afraid your think-piece has emerged in advance of mine.

2.

Lr McLaren, however, in replying to my minute on 29 November, took a different view from you. You consider the present situa- tion unsatisfactory, and that it needs correcting because the D3 can expect to be asked to complement a progressively larger number of DT jobs. Mr KLaren does not see much to be gained by trying to change it, and believes the problem is going to diminish as the nucer of dependent territories continues to shrink.

3. I am in no position to form a view of the likely future num- bers of DS personnel in DTs. I do, on the other hand, feel that the present arrangements could be improved. But they are not quite so much of a mishmash as they appear at first glance. The problems boil down to two, on lose examination.

4. The first of these is the Civil Service Department's absurd refusal to let us pay IRS to DS staff seconded to DTS. This means that we can pay IRS to people who, like the DS5 in Belize, are in posts on the FCO's books, but not to those who, like r O'Neill in Gibraltar, are paid for by someone else. For the latter cate- gory, we have to both up a supplement to Local Allowance - IRS under another name.

5. The problem here is that the CSD insist on "drawing a ring fence round DS allowances" without taking account of the different types of DS allowance. They make no attempt to draw a fence round cost-of-living allowances, which are the same for all civil servants. They rightly draw one round the career-related allowance, DSA, since this is in effect the differential paid to those who spend much of their careers abroad and go where they are sent. But it is illogical to draw one round job-related allowances (IRS and entertainment allowances). These should be paid to any civil servants overseas whose duties require them, whether they operate from Embassies, Development Divisions or Government Houses.

6. This is one of the many things which I hope the proposed inter-departmental committee on allowances will help us get right. Otherwise, the CSD veto will continue to prevail, to the detriment of efficiency.

7.

The other question which needs at least to be looked at is who pays for which post. This is really PPD's business; but I am not certain if they are aware that such a variety of arrangements exist as is shown in the attached table. Mr McLaren may be right

/to say

ADMINISTRATION IN CONFIDENCE

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