f.: AP 295/75

A Note on the

Fixed Sterling Conversion Rate for Hong Kong Pensions

introduced with

the Hong Kong

Prior to 1947,

1947, certain officers of Government had their salaries and pensions paid in sterling. Consequent upon Government's adoption of the recommendations new terms and by the 1947

1947 Hong Kong Salaries Commission,

effect from conditions of service were 1.1.1947. Among the various changes introduced under the new terms was the removal of the distinction between sterling and All salaries and emoluments Hong Kong dollar paid officers. payable to public officers in Hong Kong were to be expressed Officers on a sterling in Hong Kong dollars henceforth. salary were however allowed the option of either remaining on their

of service former

or transferring salary under the new terms of service.

2.

In

terms

response

staff to

concern over

to

a

dollar

payment

of

salaries and pensions in sterling, the problem was discussed with the then Secretary of State in February 1948, and the following arrangements were finally agreed and introduced in July 1952 :-

لبا

3.

(a)

(b)

(c)

the pensions and retiring gratuities awarded

officers employed to

the by

Hong Kong Government on a sterling salary, who accepted conversion to a dollar salary under the terms to be paid of the 1947 Salary Revision, were in sterling at a fixed exchange rate of HK$16 to £l, unless they elected otherwise within a specified period;

officers eligible for the above concession were to have the right to elect at any future date to receive

receive their

their pensions in Hong Kong dollars in the normal way, but once they had so elected they, would not be able to claim the guaranteed exchange rate; and

the

reserve

its

would Government Kong Hong right to review the exchange rate if at any future date pensionable emoluments or pensions were increased in consequence of a depreciation of the Hong Kong dollar in terms of sterling.

who

conversion

on were

a

rate only sterling

That is, the fixed sterling to applies to those eligible officers

salary prior to 1947 and had accepted conversion to a dollar salary under the 1947 Revision.

Civil Service Branch

June 1990

(0066p : 92)

B

Share This Page