CONFIDENTIAL
機密
6
Subvented organisations
20.
Organisations subvented on a deficiency grant basis (aided schools and certain hospitals) generally pay their staff on salary scales identical to those for comparable civil servants, and such organisations normally award the same salary increases as those approved for the Civil Service. Supplementary subventions are approved for this purpose to the extent that additional financial assistance is required. The same arrangement applies to the universities and the Polytechnic in so far as academic staff are concerned.
Organisations subvented on a discretionary grant basis (certain hospitals and all social welfare agencies) retain a degree of independence not enjoyed by deficiency grant organisations. The subvention represents financial assistance towards the overall cost of activities which are deemed subvention-worthy. In the absence of the same degree of control as is exercised over deficiency grant organisations, the Government has no financial commitment towards maintaining the salaries of staff in such organisations at any particular level.
21.
22.
!
But these discretionary grant organisations were exceptionally given supplementary subventions during 1976-77. towards an increase in salaries for their staff in line with the increase approved for the Civil Service. In the context of the salaries increases in 1977-78 and 1978-79 Members agreed that, if applications were received from such organisations, consideration should be given to each request on its merits, having regard to -
23.
(a)
(b)
whether the organisation is providing services which contribute towards meeting an approved policy target; and
whether and to what extent the organisation can afford to meet the cost of a salary increase from its own resources.
It is proposed to apply the increases in pay to discretionary subvented organisations in the same way as in 1978-79, and it will be necessary to seek supplementary provision when applications have been considered.
Financial implications
24.
The net cost of these proposals to General Revenue is estimated at $364 million for the current year. This estimate takes into account about $15 million Cost of Living Allowance payments which would otherwise be payable for the year if no increase were made to basic pay. It includes a special grant of about $24 million that will be payable to the Urban Council in accordance with the Memorandum of Administrative Arrangements, and reimbursements of about $3 million to the Housing Authority for services funded wholly from General Revenue -
/Civil
機密
CONFIDENTIAL #