HONG KONG HMOCS ARRANGEMENTS
EARLY RETIREMENT WITH IMMEDIATE PENSION
Previous practice
All HMOCS officers could retire at time of independence or at any time of their choice thereafter, with immediate payment of pension.
HMOCS claim
As above.
HMG's proposal
None: retirement covered by laws of Hong Kong (ie some officers would lose all pensions entitlement if they retired early; some would have right to pension, deferred to normal retirement age; some would have immediate pension).
State of play
It would be possible in theory for HKG to grant this right for those covered by our scheme, but the
Governor sees strong Hong Kong objections.
Moreover Chinese agreement would be needed for the right to survive after 1997. Even if it were applied only to retirement before 1997, Chinese acquiescence would be needed to any systematic scheme: otherwise they might see it as unilateral action damaging to a smooth transition, which would release them from the Joint Declaration obligation that the SARG should pay all pensions. But in present cicumstances the Chinese are likely to be suspicious of, and hostile towards, any such proposal.
We are therefore exploring the possibility of giving HMOCS officers an assurance that we will use best endeavours in future discussions with the Chinese to achieve arrangements which will command HMOCS confidence. We would also draw their attention to the possibilities for early retirement within existing Hong Kong pensions legislation and practice and say that HMG would take an interest in the application of these provisions to HMOCS officers who wished to retire. We would ask the Governor to apply these liberally.