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needed to bring the rates proposed by the two Commisions into line, since I feel that the platform system recommended by the Hong Kong Commission is simpler to operate from the accounting point of view and follows what is African and Palestine precedent, though I would not object to adoption of the platform scheme devised as a compromise between Hong Kong and Malayan recommendations on the following lines.
All figures in sterling.
(a)
Basic Salary
(b)
Expatriation Pay
Below £300
£110
From £300 to £500 From £501 to £700
£110
£135
From £701 to From £801 to
£800
£175
£900
£190
From £900 to
£1,000
£210
From
£1,000 to £1,200
£230
From £1,200 to £1,500
£265
From £1,500 to £1,800
£300
From £1,800 to £2,100
£320
£340
From £2,100 to £2,500
Figures quoted could be conveniently converted into Malayan dollars per mensem at £(sterling)112, £(sterling)133, (sterling)175, (sterling)189, etc, and the difference between Hong Kong and Malayan rates would then be negligible. I do not know what is the lowest basic salary at which expatriation pay will in practice be paid in Malaya, but in Hong Kong, as far as European officers are concerned, the lowest point will be (sterling) 300, below which expatriation pay is designed mainly for Indian and Shantung contingents of the Police Force.
It is not clear from the Trusted Report whether Indian Officers in Malaya will be eligible at all for expatriation pay and below (sterling)300, I suggest rates of expatriation pay might reasonably be agreed (?between the) two territories, since it is designed for different needs. There would be political repercussions here if Indian Police received higher rate of expatriation pay than has been proposed, but I anticipate none regarding modifications suggested above for officers on salary of £(sterling)300 per annum and over. I should be grateful if suggestions in this paragraph might receive immediate consideration and if Governor General Malaya could telegraph to you his reactions and those of the two Malayan Governors as soon as possible.
3.
Whether expatriation proposals are modified or not, I urge that announcement should make it clear that modifications indicated in the Report are likely to be slight and that although detailed figures in the Report may be altered, Hong Kong Commission proposal for expatriation pay at approximate rate of 20% of basic salary is acceptable to you.
Part 2.
4.
As regards high cost of living, I agree that statement on the lines mentioned in paragraph 3 of your
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