PUBLIC
RECORD OFFICE
Reference :--
TLDITI
C.O.882/12
PUBLIC RECORD OFFICE. LONDON,
ALLY WITHOUT PERMISSION OF THE BF REPRODUCED PHOTOGRAPHIC-|
COPYRIGHT PHOTOGRAPH-NOT TO
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reorganization proposed. I repeat therefore that in my view it is essential that an endeavour should be made to spread the pro- gramme of reorganization over a longer period than the report appears to contemplate.
C. 93921/32 [No. 10].
I have, &c.,
W. E. F. JACKSON,
Governor.
No. 41.
Telegram from the Secretary of State for the Colonies to the
Governor of Mauritius.
(Sent 5 p.m., 19th January, 1932.)
No. 11. Confidential. Your telegram No. 9. Report of Financial Commissionerst was received 24th December. Printed copies will be forwarded to you as soon as available. While it has not been possible to examine all the Commissioners' proposals, I have considered their recommendations for important immediate economies and increased taxation with the object of reducing the anticipated deficit for 1931-32.
I must in the first place reiterate the urgent necessity for estab- lishing a balanced budget at the earliest possible date, in view of the financial situation in this country which preclude further borrowing and the liabilities assumed by His Majesty's Government as regards the Hurricane Loan and in other connexions. I there- fore regard it as essential that the recommendations of the Com- mission, where they can be followed without imposing excessive sacrifice, should be generally adopted.
The proposals immediately in question are those relating to salary cuts and increases in taxation of the substance of which the Commissioners informed you before leaving Mauritius. I approve a temporary levy of 5 per cent. on all salaries, allowances, etc., to operate from the 1st of January, 1932, if that is now practicable, or from the earliest possible date if not, but not to apply to salaries of less than rupees 600 or so as to reduce any salary below that limit or below the salary recommended for the post by the Herchenroder Committee and subject to the other conditions in- dicated by the Commissioners. The necessity of a levy of a
† Eastern No, 161,
* C. 93921/32 [No. 9A.]: not printed.
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further 5 per cent, as from 1932-33 will be considered later and Government officials should be warned of the possibility of this further levy. The Commissioners proposed, and I understand you agree, that the Police should be exempted from the levy. This may appear to be placing them in a privileged position, but if you consider that the additional responsibilities which it is proposed to place upon them would, in other circumstances, justify maintenance of existing salaries, I am prepared to agree to the exemption. The temporary levy should not at present apply to pensions but will apply to the Governor's salary, and I much appreciate your willing- ness to agree to this further reduction of a salary which has already been reduced. I shall, of course, be prepared to consider modifica- tions of detail as regards individual posts.
As regards additional taxation I approve the Commissioners' proposals for increase in Customs duties, to which I understand you agree, to come into force as soon as possible. I approve also increases in house tax and licences as modified in your Confidential despatch of the 4th November.* In accepting this modification of Commissioners' proposals I have been influenced by desire to secure immediate substantial increase of revenue in agreement with you, but I have not yet obtained views of Treasury on these modi- fications and question whether ratés should be increased to those recommended by the Commissioners will have to be considered in connexion with the 1932-33 Estimates. The increases proposed should apply for the full year 1931-32.
Export duty on sugar should not be remitted for the present. Further proposals of the Commission are being examined as quickly as possible and I will communicate further in due course.- CUNLIFFE-LISTER.
C. 93921/32 [No. 12].
No. 42.
Telegram from the Secretary of State for the Colonies to the Governor of Mauritius.
(Sent 2 p.m., 25th January, 1932.)
No. 14. Confidential.
Your telegram No. 12.† I should be most reluctant to agree to an immediate levy of as much as 10 per cent. applying to all but the lowest salaries. If levy is to extend to that figure there should be some gradation in accordance with practice elsewhere in similar situation so as to give relief to lower paid officers while at the same time demanding some sacrifice from all. Unless you see any strong objection suggest levy should be adopted on following lines:-2 per cent. on salaries up to Rs.600.
† C. 93921/32 [No. 11]: not printed.
* No. 39.
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