R

CONFIDENTIAL.

No.It.

Enclosure 1.

344

0.0.

40737

339

Rece

(REC: 23 DEC 12

GOVERNMENT HOUSE,

HONGKONG. 22nd. November, 1912.

Sir,

I have the honour to transmit the enclosed

copy of a Petition addressed to Sir F. Lugard in March last by

Members of the Civil Service, who are not on sterling salaries or

in receipt of exchange compensation praying for an increase of

salary on account of the increased cost of living. This Petition

was held over for my consideration.

2.

The Petitioners are not correct in saying that the introduction of the Grading Scheme in 1906 was a mere re-

-adjustment of salaries. As a matter of fact it involved consider-

-able increases of salary. Many other increases in the salaries

of posts in the branches of the Service which Petitioners re-

-present have been made since the Grading Scheme was introduced

by the elevation of the posts to higher grades. The combined

result has been that since 1902 very considerable increases have

been made in the salaries of the posts to which the prayer of the

Petitioners refers. I attach statements concerning the following

Departments which demonstrate my statement:-

(a). Colonial Secretariat.

(b). Registrar-General's Department.

(c). Treasury.

(d). Harbour Master's Office.

conclosure 2.

(e). Imports and Exports Office.

(f).

THE RIGHT HONOURABLE

LEWIS HARCOURT, M.P.,

&c.,

&0..

&C...

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