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THE OPTION TO TRANSFER TO THE NEW PENSION SCHEME SHOULD BE EXTENDED UNTIL A DECISION HAS BEEN TAKEN
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FAILURE TO RESOLVE THIS ISSUE COULD LEAD TO INDUSTRIAL ACTION BY THE CIVIL SERVICE ORGANISATIONS.
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THE DELEGATION ALSO RAISED THREE OTHER POINTS WHICH WERE NOT DISCUSSED IN DETAIL:-
CIVIL SERVANTS ARE WORRIED THAT CURRENT CIVIL SERVICE PAY AND CONDITIONS OF SERVICE MIGHT BE ERODED IN THE RUN UP TO 1997. THEY CITED CHANGES TO THE OVERSEAS EDUCATION ALLOWANCE
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THE PACE OF PRIVATISATION/CORPORISATION SHOULD BE SLOWED DOWN BECAUSE IT THREATENS CIVIL SERVANTS' JOB SECURITY EG. LABOUR RELATIONS HAVE DETERIORATED UNDER THE HOSPITAL AUTHORITY
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THE PACE OF LOCALISATION SHOULD BE ACCELERATED BUT AT THE SAME TIME THE INTERESTS OF EXPATRIATE OFFICERS SHOULD BE SAFEGUARDED.
4. IN RESPONDING TO WONG WE FOLLOWED THE LINE IN PARAGRAPH 2 OF YOUR TELNO 2623. ONE INTERESTING POINT WHICH EMERGED, AND OF WHICH YOU MAY ALREADY BE AWARE, IS THAT THE ASSOCIATION ARE NOT/NOT PROPOSING THAT THE SET ASIDE BE PLACED IN AN INDEPENDENTLY MANAGED FUND OUT OF THE REACH OF HKG/SARG. THEY THINK THAT IF THERE WAS A TOTAL COLLAPSE IN THE HONG KONG ECONOMY WHICH MEANT THAT PENSIONS COULD NOT BE PAID FROM REVENUE, THE SARG WOULD HONOUR ITS COMMITMENT TO USE THE SET ASIDE TO MEET ITS PENSION OBLIGATIONS.
5. MR WONG IS CLEARLY HOPING THAT MR GOODLAD CAN GIVE HIM SOME GOOD NEWS TO TAKE BACK TO HIS MEMBERS. WHILST WE DO NOT WANT TO BUILD UP EXPECTATIONS, EQUALLY WE DO NOT WANT WONG AND TANG TO RETURN TO HONG KONG SAYING TO THEIR MEMBERS AND TO THE PRESS THAT THE CPG IS CONCERNED ABOUT CIVIL SERVANTS' WELFARE, WHEREAS HMG IS NOT. WITH THIS IN MIND, WOULD YOU HAVE ANY OBJECTION TO MR GOODLAD SAYING THAT THE JLG HAS DISCUSSED A NUMBER OF CIVIL SERVICE PENSION ISSUES AND THAT THE BRITISH SIDE WOULD HAVE NO OBJECTION TO DISCUSSING PENSION SAFEGUARDS AT THE NEXT JLG IF THE CHINESE SIDE RAISED IT? THIS, COMBINED WITH APPRECIATION OF CONCERNS OF CIVIL SERVANTS ABOUT THEIR PENSIONS AND AN UNDERTAKING TO RELAY THEIR VIEWS TO THE HKG, SHOULD GIVE THEM A REASONABLY POSITIVE MESSAGE TO TAKE BACK TO HONG KONG. GRATEFUL
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