CODE 18-77

BAR GF pls

Mr Stone

Hong Kong Dept/FCO

HMOCS

1110

RESTRICTED

HKB

RECEIVE: IN DE

431

Reference.

Your Ref: EELAIH

OMH 388/147/001C

16

FROM: R J PLUMB

→Y

0 2 OCT 1990

ilio

(GTN 7 7243 3515)

DATE: 25 September 1990

(60

I have been asked to comment on your note to Dave Fish of 7 September about the cost of the compensation arrangements for HMOCS officers serving in Hong Kong.

2.

In short, we have based our cost calculations on the complementing/salary details provided by Hong Kong in April of this year. These relate to serving officers who will not have reached normal retirement age on 1 July 1997. The papers accompanying the more detailed (October 1988) analysis, from which these figures have been derived, clearly indicate that Hong Kong have made some provision for incremental progression and promotions in the period prior to July 1997.

3. However, given the rather subjective and speculative nature of a costing exercise such as this, the assumptions used are naturally very broad based. Thus, the rather simplistic formula which has been used to arrive at the projected grading/salary levels for this group in 1997 may need to be refined in the light of experience.

4. If you need any further details please give me a call.

The addition appears to be 15%.

R J PLUMB

This could be

сп

the low side

Overseas Pensions Department 25 September 1990

but difficult to say:

Need

to keep

an

eye on this aspect

1/10/90

RESTRICTED

(63

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