--4--

of exchange under the proposed scale :-

£1000 per Annum

under Present

Scale

Plus

15% increase

on nominal salary

equals

£1150 per annun under Proposed

Scale

Salary

H.C.L.

Total

Salary

H.C.L.

Total

per Month

Allce

per Month

per Month

per

Allce

Month

per

per Month

Month

At

-CA-

$

Co

exchange

2/-

1000

120 = 1120

958

144

1102

ti 1/9

1000

180

1180

1095

164

1259

"1 1/7

1000

180

1180:

1210

182

1392

From the above example it will be seen that on the basis

of a 2/- exchange the officer concerned would receive $1102 per

month as against $1120 under the present scale, but at an exchange rate of 1/7 he would receive $1392 per month as against his present $1180.

It will also be seen that under the present scale the

officer is compensated for a drop in exchange down to the extent

of a 1/9 dollar.

The Commission itself comments (para.6) on the undesir ability of undue fluctuation in the number of dollars to be dram locally by Government employees on sterling salaries. We have to

point out that adoption of their Report in the circumstances which

now prevail would produce the very fluctuations which the Com

mission deprecate.

Applying the proposals without the H.C.L. Allowance it is

seen that the amount of dollars drawn locally would, at all rates over 1/7, be less than the present sums paid, and this, we admit, would be undesirable.

On the other hand, with the addition of a 15 per cent H.C.L. Allowance, it would appear that the proposed equivalents,

98

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