Mr Paul
PS/Mr Maude
FROM:
M V Stone
Hong Kong Department
DATE:
1 March 1990
Cc:
Mr McLaren
Mr Fish, ODA
HONG KONG: OVERSEAS SERVICE PENSIONERS
1 ASSOCIATION
1. The Overseas Service Pensioners' Association (OSPA) has written to Mr Maude about whether a General Compensation Scheme will be introduced and about reduced promotion prospects for expatriates in view of the Basic Law requirements and localisation.
I attach a draft reply which has been cleared with Hong Kong, the ODA and Legal Advisers.
2.
3. The main issue in the letter is the question of whether a classic General Compensation Scheme, allowing for early retirement in 1997 of members of Her Majesty's Overseas Civil Service (HMOCS), if they wish to.
4. Our aim in Hong Kong has been to encourage HMOCS members to remain in the Civil Service after 1997. To do this, we have concluded that we should not offer early retirement as an option. Instead, we would give some limited compensation in 1997 and further
up to annual payments for about nine years thereaftexr for those who remaini
5.
ON
Precedence is on the side of the OSPA: in a previous cases
members where colonies have moved to independence, HMOCS have been offered the option of early retirement, with compensation, at independence. What we are proposing for Hong Kong is therefore a break with
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