AECS
PENSIONABLE SERVICE COMMITTEE
PROPOSED REVISED PENSION ARRANGEMENTS FOR RETIRED HMOCS OFFICERS
The purpose of the proposed revision is to provide the pensioner with protection against fluctuations in the exchange rate and to maintain the value of pensions in line with that of UK civil service pensions.
With effect from an implementation date (1.4.92 is proposed) HMG would assume responsibility for the payment of pensions to retired HK HMOCS members and would receive a payment from HKG.
HKG pensions would continue to be calculated using existing rules and a figure expressed in HKD per month would be obtained. HKG would remit this amount, together with annual adjustments, to HMG at current exchange rates. HMG would pay a pension in sterling based on an INITIAL STERLING VALUE plus subsequent increases as apply to UK Home Civil Service pensions.
The Initial Sterling Value would be the HKD value of the pension at the date of retirement converted to sterling at an agreed fixed exchange rate. There are various ways of determining the rate, one would be to take the average exchange rate from the date when the GBP/HKD link was discontinued in 1972 until the day prior to the implementation of this proposal.
It is proposed that individual officers should have the option to join this scheme. For those opting to join, the agreed fixed exchange rate would be uniform, i.e. it would apply to all pensioners present and future.
present and future. The rate would not be subject to adjustment in the future; it would remain in force continuously. The HKD value of pensions as at 1.4.92 would be converted at the agreed fixed exchange rate and subsequent UK Civil Service pension adjustments would be applied thereafter. There would be no retrospective period prior to the date of implementation.
ASSOCIATION OF EXPATRIATE CIVIL SERVANTS OF HONG KONG
Room G12, Central Government Offices, East Wing, Lower Albert Road, Hong Kong Tel: 522-0568 Fax: 521-7923