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continue working can receive a disability allowance either regularly or as a lump sum. If public servants die, their dependants can receive compensation or a gratuity. The Basic Law not only guarantees that those public servants who remain in employment may enjoy salaries, allowances, benefits and conditions of service on terms no less favourable than before, but has also provided that their annual increments may be maintained.

This was something that was not in Annex 1 to the Joint Declaration. These extra provisions will be very helpful in maintaining the stability of the cadre of Hong Kong public servants.

Hong Kong public servants have also been very worried concerning the question of retirement both before and after 1997. accordance with spirit of Annex 1 of the Joint Declaration, the Basic Law has laid down that those public servants who have retired or have left the service in compliance with regulations, including those who retired or left service in compliance with regulations before the establishment of the Hong Kong SAR, no matter what their nationality or residence, will, either themselves or their dependants, enjoy all pensions gratuities, allowances and benefits due to them on terms no less favourable than before.

In accordance with the present retirement system in the Hong Kong Government, public servants who have served continuously for 10 years and more will get a pension on retirement under the following circumstances:

1.

They are beyond the 55-year age limit for retirement;

2.

3.

4.

5.

They are over 45 but have received the Governor's approval for early retirement;

They are unable to work because of injury or illness;

They have been retired because the post has been removed;

They have been forced to retire because of a departmental reorganization. Those who have served for less than 10 years can, if they retire under circumstances 1, 2 or 3, draw a short-term service retirement gratuity, but if they retire under circumstances 4 or 5, no matter how long their service they are still entitled to a pension. The method of calculating this is as follows: for each fully completed month of service they can get 1/600th of their full salary up to a maximum of 2/3 of that salary. Those who have served 33 years and 4 months (that is 400 months) can enjoy the full pension and they can also take 25 per cent of their pension converted into a one time payment. The retirement system for non-pensionable civil servants is very much the same as that for pensionable civil servants, but what they get is an annual allowance. Those non-pensionable civil servants who have put in 39 years and 7 months service (that is 475 months) are entitled to the highest rate and that means that each month they can get 2/3 of the salary

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