CONFIDENTIAL

· 6 -

22.

Macau civil servants can apparently obtain a pension of 100% of their final salary after 40 years service. This qualifying period will be reduced over the next few years to 38 years and subsequently to 36 years. No pension is given to those with less than 30 years service. A graduated pension is given to those with between 30 and 40 years service.

23.

Macau has discussed none of these plans with China!

Comment

24.

A useful visit. We need to keep in touch to ensure that Macau does not set precedents which could be used to our

disadvantage.

25.

Dr Rangel said he would like to meet SCS. SCS would find him worthwhile. The Governor seems increasingly to use him as a right hand man for dealing with China (he fixed the deal on sand for the airport with Zhuhai).

c.c.

AG

SCA

SCS

DPA

HD/UKREP JLG (Mr A C Galsworthy)

SBTC (Mr S Day)

Mr Ricketts, HKD,FCO Mr Coates, Peking

Chancery, Lisbon

CONFIDENTIAL

{haman

(W G Ehrman)

Political Adviser

30.5.92

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