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competition with the field of candidates available here. If there were 1 vacancy in the Administrative Service and there were only 1 "suitable" local can- didate for it, he would have to get the job.

I suggest therefore that this point of view should be put to the Governor; that it should be conceded that vacancies in all services except the Administrative Service should be referred to the Public Services Commission; say that, as regards the Administrative Service the Secretary of State would not wish to contest the view that a proportion of posts in that service could suitably be filled by local Chinese British subjects; and then ask the Governor how he would propose to safeguard the essential condition that the bulk of the Administrative Service should remain British (racially).

18 Mar 49.

Since dictating my minute of the 18th March, I have discussed with Mr. Sidebotham who, I find, had not read into para. 4 of the despatch at No. 6, an intention on the part of the Governor to refer all Administrative vacancies to the Commission; and in support of this view has drawn attention to Clause 6(a) of the Bill which makes it clear that the vacancies to be referred to the Commission are to be prescribed.

I do not think that the Governor's own communications support this interpretation.

we In para. (b) of the despatch at No. 3,

10 in commented on the use of the word "all' para. 172 of the report of the Salaries Commission; and to my mind para. 4 of No. 6 shows that the Governor clearly has in mind all vacancies except those of the kind mentioned in the last sub-para. of para.(b) of No. 3. It seems to me that the intention of Clause 6(a) of the Bill is to exclude from reference to the Commission only vacancies in the minor grades which will continue to be dealt with departmentally.

I am however inclined to agree with Mr. Sidebotham that it would be more appropriate for the issues raised in my minute of the 18th March to be put to the Governor in the first instance, in a semi-official letter instead of by despatch.

21 Mar 49.

This raises ponit, of general

interest

you

should see.

On the question discussed.

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