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TUE 01.23.90 15:45

NO.11

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CONFIDENTIAL Department of Employment

Caxton House, Tothill Street, London SW1H 9NF

Tarphone 01-2

5802

Telex 913564 Pax ül 273 5821

Secretary of State

C.C. PS/Minishers

Ps/Seweling Mr MANLLY

M. Davide Mouhitaker Mr Niblett

The Rt Hon David Waddington QC MP

Secretary of State

Home Office

Queen Annes Gate

LONDON SW1H 9AT

Den David

1J'7 January

y 1990

DEPENDENT TERRITORIES WORK PERMIT QUOTA

House about

in the Following the statement

on Hong Kong

20 December, I would like to turn to the proposal in your letter of 15 December to Douglas to abolish the Dependent Territories Work Permit Quota (DT Quota). I have seen Douglas' reply suggesting that the Quota be retained for Dependent Territories other than Hong Kong.

it

I agree with Douglas that the Quota should be retained for these

think But I also Territories and that 50 is the right limit. would be potentially and unnecessarily damaging to put an end to our current Hong Kong Quota at this time, with little benefit.

to the

The current figure of 150 Hong Kongers is hardly a threat resident labour force; and, more to the point, there is no connection between the Quota scheme, which for more than 20 years has provided a small number of opportunities for unskilled workers

this country, and to help the Chinese catering industry in

the

To make

current proposals for up to 50,000 professional families. such a connection by combining the withdrawal of one,with development of the other would create the wrong impression. could give ammunition to those who criticise the new proposals elitist, and it would produce considerable resentment bitterness among our sizeable resident Chinese community.

the

It

as

and

trade.

Our Chinese community works predominantly in the catering It is the caterers who largely employ those who fill the Hong Kong Quota. The representative Chinese associations have been pressing for an announcement of the Quota figure, customarily made early in the year, and their caterers will have already recruited in Hong

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Employment Departinent · Training Agency Health and Safety Executive · ACAS

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