KERRANDUM
on
budgetary position for 1936
with
Proposals for a levy on salaries,
250
1.
It will be seen from the statement which forms Annaxe A
to this memorandum that if the average rate of the dollar for the year 1936 works out at 1/3 there will be an increase in the cost of the Colony's sterling commitments (including sterling salaries) of $3,000,000 which with the addition of the deficit of $1,000,000 now anticipated for 1935 and the budgeted deficit for 1936 of $2,926,303 and the deduction of $1,170,000 increased revenie from taxes on the "conventionel" dollar of 18/8d will raise a total deficit on the working of the years 1935/6 of $5,756,303.
It will be obvious that such a position calls for sacrifice on the part of Gove.ment Officers and the only question is as to the amount of the acrifice. A scheme of levy based on the princi- ples laid down by the Secretary of State for the Colonies and follow- ing so far as terling Staff are concerned the practice of other Colonias is set out in Annexe 9. The estimated yield of t ese proposals, resely, (at 81 18/34) 8547,385 goes a very inadequate distance along the road towards extimation of the deficit and it is to be noted provides less than half the sum it is hoped to collect by the increase in the "conventional" dollar taxos.
·
on
the other hand a cut of 12) on the upper portions of the higher Se Aue salaries is a higher rate then that imposed by any Colony on its
Kuropean staff and is probably as much as such officers when living
ar. It in s sterling country should be called upon to bear'. It means that the salary of the Chief Justice now on leave will be cut by £231 per annum or about 9 and the salary of the Secretary for Chinese Affairs who is shortly proseeding on leave will be out by 2129 per annua, or 7 But the position is quite otherwise with
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