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DRAFT STATEMENT ON HONG KONG HMOCS
1. Her Majesty's Government recognise that members of Her Majesty's Overseas Civil Service in Hong Kong wish to know as soon as possible how the Government intend to implement the commitments in the White Papers of 1954 (Colonial 306) and 1960 (Command 1193) in the special circumstances of Hong Kong's becoming a Special
Administrative Region of the People's Republic of China of
1 July 1997.
2. The Joint Declaration and Basic Law provide good guarantees for continuity of service with pay, conditions and pensions on terms no less favourable than before 1997. Nonetheless the Government accept that HMOCS officers serving in Hong Kong on 30 June 1997 will also be entitled to a measure of compensation for the loss of the Secretary of State's protection and, to a certain extent, of career
it is deniable that prospects; and that there should be some safeguard of the sterling value of their pensions in case of fluctuations in the exchange rate of the Hong Kong and US dollars.
3.
Measures introduced to these ends must be consistent with the Government's treaty obligation to contribute to a smooth transition in 1997 and should encourage maximum continuity in the Hong Kong public service after 1997, in order to maintain and preserve Hong Kong's economic
prosperity and social stability.
They should also be fair
to the officers concerned, while involving the minimum
necessary cost to the taxpayer.
4.
The issues are complicated, and despite intensive work the process of drawing up appropriate arrangements has taken longer than envisaged. The Government are grateful for the sense of responsibility and patience shown by HMOCS
officers.
The Government have now formulated a proposal
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