From the Private Secretary
10 DOWNING STREET
LONDON SWIA ZAA
12 November 1992
de Mars/ Mh Whiten
Thank you for your letter of 23 October to the Prime
Minister.
16/0
The Joint Declaration and the Basic Law contain assurances that the government of the Special Administrative Region will continue to pay all pensions, gratuities, allowances and benefits to public servants on terms no less favourable than before. Also, as you will know, Hong Kong pension legislation provides that pensions are a statutory right. They are also a statutory charge on the general revenue. In addition the Pensions Modification Bill will be introduced into the Legislative Council shortly, proposing that annual pension increases in accordance with inflation should also be made a statutory right.
We are aware that, despite these assurances, some civil servants are concerned about the security of their pensions. This is a matter for the Hong Kong Government who have been considering the feasibility of a number of proposals designed to provide an additional safeguard. The Hong Kong Government have discussed these proposals with staff unions and associations and have not yet taken any final decision.
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Mr. P. H. Wong
J. S. WALL
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