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COLONIAL SECRETARY'S DEPARTMENT.

No. 121.--In view of various rumours which have been spread in the Colony and elsewhere in connection with the settlement of the Seamen's Strike, it has been decided to publish at once the following account of the part played by the Government in the negotiations.

CLAUD SEVERN,

Colonial Secretary.

10th March, 1922.

The strike commenced on the 13th January. On the same day the Government published a proclamation in Chinese offering to appoint arbitrators for the purpose of settling the dispute. On the 17th January the Government published a further procla- mation in Chinese in which it set forth without comment an offer made by the ship- owners, and renewed its offer to appoint arbitrators if the seamen were still dissatisfied. On that evening the Secretary for Chinese Affairs and the Chinese Representatives on the Legislative Council went to the Seamen's Union and explained in detail the exact mean- ing of the proclamation.

On the 17th January Mr. A. E. Wood was sent to Canton. Mr. Wood was at the time stationed at Taipo, and owing to a misunderstanding he left Taipo by train for Canton before his instructions reached him. A telegram was sent on the same afternoon ordering Mr. Wood to take no action until he received his instructions, but the telegram was delayed en route, and on the morning of the 18th January Mr. Wood had an inter- view with the Civil Governor, although he was not aware of the actual state of affairs in Hongkong Matters were thereby put into some confusion, and on the 23rd January the Secretary for Chinese Affairs went to Canton in order to explain fully to H. M. Consul- General the exact position.

On the 18th January the Government issued a further proclamation in Chinese to the effect that the shipowners had withdrawn their previous offers, and it reiterated its suggestion of arbitration.

On the 26th January H. M. Consul-General transmitted certain proposals put for ward by the seamen, which had been communicated to him by the Civil Governor. Apart from matters connected with wages, the proposals contained the following demands:--

The Arbitration Board shall be established at Canton.

The Arbitration Board shall consist of the following:- (a.) Representative of the Canton Government. (6.) Representative of the Hongkong Government. (c.) Representative of H.B.M. Consul-General. (d) Representative of the European Shipowners. (e) Representative of the Chinese Shipowners. (f) Representative of the Chinese Seamen.

The number of the members of this Board shall be decided by the Chinese and British Governments after due consideration, and this Board shall have the full power to settle the strike.

All seamen shall be employed through the Union, so that no commission is to be paid to the Compradores.

No agreement in connection with the employment of seamen shall have effect, unless the Chinese Seamen's Union has been a witness to it.

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