M.

1.

CIVIL SERVICE QUESTIONS

Morale

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The public service in Hong Kong continues to perform its duties with singular dedication and to great effect.

2.

Continuity of Service, Terms and Conditions, Post-1997

The Joint Declaration provides satisfactorily for continuity of service for serving officers in the public service of Hong Kong with pay, allowances, benefits and conditions of service, including pensions, no less favourable than before.

3.

New Pension Scheme

On 1 July 1987, following discussions with the Chinese Government, the Hong Kong Government implemented a new pension scheme. Its main features include the payment of pensions as of right; changing the retirement age from 55 to 60; an increase from 25 percent to 50 percent in the proportion of pension that can be commuted into a lump sum payment; and provision for deferred pensions to be paid to officers who resign after 10 or more years

service.

Serving officers have been given an option period of up to five years, depending on their age, to elect whether to transfer to the

new scheme.

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