Mr Burns

PS/Lord Caithness

PS

CONFIDENTIAL

FROM: A R Paul

Hong Kong Department

DATE: 6 September 1990

Cc: Mr McLaren

HONG KONG: MP'S LETTER ON MATTERS OF CONCERN TO MEMBERS OF

HER MAJESTY'S OVERSEAS CIVIL SERVICE (HMOCS)

KI

A

Problem

The Rt Hon Merlyn Rees MP has written to the Secretary

of State enclosing a letter from the Association of

1.

Expatriate Civil Servants (AECS) of Hong Kong raising issues

of concern to HMOCS members. How should we reply?

Recommendation

2. I recommend that the Secretary of State should reply in

the terms of the short draft letter attached. ODA and Legal

Advisers are content.

Background

3.

The letter from the AECS is apparently associated with a briefing paper which Mr Rees has not enclosed. However the

two issues identified in the letter

-

supplementary pension

for overseas service (SPOS) and protection against

depreciation of the Hong Kong dollar - are both familiar

subjects to us. They are tied in with the wider question of

sterling safeguards for pensions for Hong Kong members of HMOCS and with compensation arrangements for HMOCS members

at the transfer of sovereignty in 1997.

ROFANE/1

CONFIDENTIAL

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