SECRET
036006
MDHIAN 8616
SCHEME FACTORS FOR SUPERSESSION SHOULD THEREFORE BE USED. THIS POINT IS LIKELY TO BE ONE OF PRINCIPLE FOR THE HMOCS ASSOCIATION. WE ALSO SUGGEST DELETING THE WORDS MAXIMUM POSSIBLE' IN THE LAST
SENTENCE. THEY WILL CAUSE SUSPICION.
(E) PARAGRAPH 7. WE FEEL STRONGLY THAT THE FIRST PAYMENT MUST BE MADE BEFORE 1 JULY 1997. THE COMPENSATION SCHEME IS NECESSARY BECAUSE OF THE LOSS OF THE SECRETARY OF STATE'S AUTHORITY ON THE TRANSFER OF SOVEREIGNTY. THE FORMAT OF THE SCHEME, WITH PHASED PAYMENTS THEREAFTER AS AN INDUCEMENT, HAS REGARD TO THE NEED TO PROVIDE CONTINUITY IN THE CIVIL SERVICE. IT WOULD BE UNREALISTIC AND UNFAIR TO DELAY THE FIRST PAYMENT UNTIL THE VERY LAST DAY OF BRITISH RULE, MUCH LESS A LATER DATE. AND THIS WOULD BE CONTRARY TO PRECEDENTS ELSEWHERE. WE WOULD PREFER THE FIRST PAYMENT TO BE MADE NO LATER THAN 1 JANUARY 1997, WITH ANNUAL PAYMENTS SCHEDULED ON THAT DATE OR 1 JULY IN THE FOLLOWING YEARS. IN OUR VIEW, EVEN TO SUGGEST 1 JULY 1998 AS THE DATE FOR THE FIRST PAYMENT WOULD RESULT IN A LOSS OF GOODWILL AND SERIOUSLY PREJUDICE ANY
CONSULTATIONS.
(F) PARAGRAPH 9. WE DO NOT SEE ANY ADVANTAGE IN YOUR IDEA THAT OFFICERS SHOULD HAVE DELAYED ACCESS TO PHASED INCENTIVE PAYMENTS. IT IS ALSO AT VARIANCE WITH HMOCS ARRANGEMENTS ELSEWHERE. THIS TOO WOULD BE LIKELY TO PROVOKE A STRONG REACTION AMONGST HMOCS MEMBERS.
(G) PARAGRAPH 10. WE HAVE ALREADY AGREED (MY TELNO 845) THAT IT WOULD BE OPEN FOR YOU TO SAY THAT HMOCS ARRANGEMENTS WOULD APPLY TO POTENTIAL HMOCS OFFICERS ONLY FROM THE DATE OF THE ENROLMENT IN HMOCS. HOWEVER, WE BELIEVE THIS COULD ONLY REASONABLY BE DONE FOR THOSE OFFICERS WHO ENROLLED AFTER THE FIRST ANNOUNCEMENT IN PRINCIPLE OF A COMPENSATION SCHEME. THIS COULD BE THE DATE LORD CAITHNESS' LETTER WAS HANDED TO CARTLAND (26 MARCH 1992). WE
WOULD STRONGLY ADVISE AGAINST APPLYING THIS LIMITATION TO OFFICERS WHO HAD BOUGHT BACK PENSIONABLE SERVICE AND JOINT HMOCS
BEFORE THIS ANNOUNCEMENT.
(H) PARAGRAPH 11. IN OUR VIEW THERE IS NO NEED FOR YOU TO CONSULT POTENTIAL HMOCS OFFICERS (YRTELNO 551). THE REQUIREMENT FOR CONSULTATION ONLY ARISES IF THEY JOIN HMOCS. THEY ARE THEN REPRESENTED BY THE ASSOCIATION. WE SEE NO NEED TO REFER TO ANY OTHER APPROPRIATE REPRESENTATIVE BODY. THIS PARAGRAPH MAY ALSO
NEED AMENDMENT DEPENDING ON THE FINAL DETAILS OF THE CONSULTATION ARRANGEMENTS (PARA 3 ABOVE).
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