CONFIDENTIAL
[Text under-lining Treasury-
proposed amendments]
HONG KONG: HER MAJESTY'S OVERSEAS CIVIL SERVICE (HMOCS)
The Problem
sentences
1. HMG have commitments, set out in two White Papers of
1954 and 1960, to ensure that HMOCS members are compensated
deleted] and their interests safeguarded in the event of a change in their status arising from constitutional change. A summary
of White Paper undertakings and Ministerial statements on
the public record is at Annex A.
2. The arrangements introduced in previous territories
have included a payment of compensation to recognise the
loss of the Secretary of State's protection and of career
prospects; the right to retire at independence with early
payment of pension; and a sterling safeguard for that
pension. These arrangements were usually made in a Public Officers Agreement under which the newly independent
government undertook to pay for them. However, in all cases
since 1971 HMG have taken over the funding of these
arrangements (as an aid measure).
But
3. The result in other territories was a rapid departure of HMOCS members at independence or shortly thereafter. our objective in Hong Kong is to encourage as many HMOCS members as possible to stay in their posts up to 1997 and beyond, to help secure a stable and prosperous Hong Kong and a smooth transition in 1997. A collapse of confidence in
Hong Kong would involve heavy financial and political costs
for HMG.
The need for measures in the case of Hong Kong
4.
Although persons joining HKG since March 1985 have not
been able to become HMOCS officers, two key areas of the Civil Service in Hong Kong still contain substantial numbers
of HMOCS officers. In the police force, some 60% of
NC3AAV/1
CONFIDENTIAL