CO129-561-10 Estimates 1938 2-9-1937 - 23-9-1938 — Page 157

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HONG KONG LEGISLATIVE COUNCIL,

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envisaged by the Gollan Report, and it requires no special aptitude for figures to realize how much sterling-paid Civil Servants are benefiting and how much this Colony (whose revenues are collected in dollars) is losing.

In short, sterling-paid Civil Servants are receiving not only a considerable increase in their sterling pay, which the authors of the Gollan Report did intend, but also an exchange bonus by converting that increased sterling pay into dollars at one and threepence which the authors of that Report certainly did not intend; thus seriously crippling the Colony's programme of Public Works Extraordinary.

The big slump in exchange at the beginning of November, 1935, which has since become slightly accentuated, has made the recommenda- tions of the Gollan Report as to increases of sterling salaries too favourable to sterling-paid Civil Servants, and we hope that, with the able assistance and experience of the Financial Secretary, a new scale of sterling salaries or some modification of the rate of exchange at which they are payable may shortly be evolved which is not only fair to the sterling-paid Civil Servants but which also bears some relation to the financial ability of this Colony to afford the payment of such salaries a point which is apt to be overlooked.

The Unofficial Members of Council do not propose to waste the time of this Council by moving any amendments to the figures in clause 2 of this Appropriation Bill, although, for the reasons above given in criticizing the Gollan Report, they must not be taken to agree with them.

Another point in regard to which it seems to us that some revision should be exercised is in regard to the privilege accorded to Government Servants of occupying quarters (which are paid for and maintained and repaired out of revenue) upon the basis of their paying 6 per cent. only of their salary as rent.

This seems to us a very low percentage of salary payable as rent as compared with the percentage of their salary which most civilians who are not Civil Servants have to pay in this Colony for rent.

We consider moreover that such a percentage should be on a sliding scale and not on a flat rate and that it should be calculated in such a way as to produce some sort of fair economic return upon the capital cost and upon the cost of repairing the buildings occupied.

We suggest that a local Committee be appointed inquire into and report upon the subject from the above angle of the Colony obtaining a fair return on its money. The recent typhoon of the 2nd September serves to emphasize the big bill which the taxpayer has sometimes to meet for repairs to Government buildings. (Applause).

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