CONFIDENTIAL
FM HONG KONG
TO IMMEDIATE FCO
TELNO 3182
OF 10090OZ OCTOBER 91
INFO IMMEDIATE PEKING
CONFIDENTIAL
then 306/1
In Stone
027337
MDHIAN 6740
TOP COPY Q DIST?
REF OUR TELNO 513 OF 15 FEBRUARY 1989 RELATING TO RTHK BOARD OF GOVERNORS BILL, THE DEVELOPMENTS HAVE BEEN AS FOLLOWS.
2. EXCO DECIDED ON 18 JULY 1989 THAT RTHK SHOULD BE TURNED INTO A PUBLIC BROADCASTING CORPORATION. IT PROPOSED THAT A BOARD OF GOVERNORS SHOULD BE RESPONSIBLE TO THE GOVERNOR FOR RUNNING THE CORPORATION IN ACCORDANCE WITH POLICIES EMBODIED IN LEGISLATION. THE CORPORATION WOULD BE FUNDED BY MEANS OF A SUBVENTION FROM THE GOVERNMENT WHICH WOULD TAKE INTO ACCOUNT INCOME GENERATED BY THE CORPORATION ITSELF. THIS WAS LARGELY IN LINE WITH A RECOMMENDATION OF THE BROADCASTING REVIEW BOARD, WHICH IN 1984 HAD CONDUCTED A VERY WIDE PUBLIC CONSULTATION EXERCISE ON THE FUTURE OF BROADCASTING IN HONG KONG. SINCE 1989, WE HAVE BEEN ACTIVE IN DRAWING UP THE NECESSARY LEGISLATION AND EXAMINING IN GREAT DETAIL THE STAFFING ARRANGEMENTS BOTH FOR THE NEW CORPORATION AND THE WINDING-UP OF RTHK.
3.
AS PART OF OUR EFFORTS TO SEEK AN OPTIMAL ORGANIZATIONAL STRUCTURAL FOR A CORPORATIZED PUBLIC BROADCASTER, A CONSULTANCY STUDY WAS COMMISSIONED. IT RECOMMENDED AN ORGANIZATION QUITE DIFFERENT FROM THAT WHICH IS IN PLACE AT PRESENT. IT IS MUCH CLOSER TO A COMMERCIAL OPERATING ENVIRONMENT. IN LOOKING AT THE OPTIMUM STAFFING LEVELS, THE CONSULTANTS ADOPTED A ZERO BASE APPROACH ON THE ASSUMPTION THAT THE CORPORATION WOULD BE ABLE TO APPOINT ITS OWN STAFF FREELY. THEY PROPOSED AN INDICATIVE STAFFING RANGE OF 710-773. AGAINST A STAFFING COMPLEMENT AT THE TIME OF THE CONSULTANCY OF 1044 (INCLUDING TEMPORARY STAFF), THIS REPRESENTS A DECEASE IN NUMBERS OF MORE THAN 20 PER CENT.
4. A SECOND CONSULTANCY WAS COMMISSIONED TO DESIGN A RENUMERATION PACKAGE FOR THE ADVOCATED STRUCTURE DRAWING ON THE SITUATION PERTAINING IN THE BROADCASTING INDUSTRY IN HONG KONG
AND PRACTICES ADOPTED BY ITS MOST SUCCESSFUL COMPANIES. THE CONSULTANTS TOOK THE VIEW THAT TO ATTRACT, RETAIN AND MOTIVATE THE HIGH-CALIBRE STAFF NEEDED TO RUN ITS SERVICES, THE NEW ORGANIZATION WOULD HAVE TO OFFER TERMS AND CONDITIONS BASED ON
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