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Commission is that overall cost of living has dropped slightly since May 1946, but that inadequacy of existing cost of living allowance has had a cumulative effect inasmuch as officers have been living on savings which are now largely exhausted, or by recourse to borrowing, which becomes progressively more difficult.
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which
I regret that you have not received detailed regarding temporary additional allowances, (4) on 53832/2/46tatement
was promised in Hong Kong telegram No. 1429 of 1946, Additional copy has now been despatched under cover of My my savingram No. 325 of 13th June. It is, as you remark,
proposed that increased cost of living allowance will be payable to lower grades, including those in receipt of special temporary allowances and those to whom it is proposed to extend latter allowance. Special temporary allowance was designed to afford some degres of relief to certain classes of employees who were particularly hard hit by comparison with other classes and to iron out certain anomalies as between categories of workers. General increase in cost of living allowance now proposed is in effect a recognition that ray of all (repeat all) employees is inadequate and is designed to afford relief accordingly
I cannot emphasise to strongly the necessity
for an early and favourable decision . I recognise your wish to avoid precipitancy in this matter but would repeat that grave damage to public service has already been done, the effect of which will last for many years. Commission considers danger of :
The Salary atrike of Government servants is very real. In my own opinion the patience of officers has been tried almost beyond endurance and failure to afford timely relief may well result in a strike which will cause incalculable harm to Government acrvices. I should add that my concern is shared by both official and unofficial members of the Executive Council. If you still have doubts as to the necessity and urgency of these relief measures, I suggest that you consult Selwyn-Clarke who is well aware of the real situation in Hong Kong in this respect.
Copies sent to:-
Treasury
“
Mr. D.R. Serpell, 0, B. E. a Mr. H.R. Apperley.
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