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کیسا
is
it.
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fear that this arbitrariness will, as time goes on, give
rise to much dissatisfaction and misunderstanding; and it
makes it difficult to know what Residential Allowances to
attach to the scales for grades not yet dealt with.
With
13.
Horcover it will be noted that no Residential Allowances are attached to the super-scale posts listed in No doubt it was Part 2 of Appendix VI to General Orders. felt that the extra cost of living in Hong Kong bears loss heavily on officers in receipt of higher salaries. this general thesis we entirely agree. The cost of living here, so far as it is higher than in Africa, is duc not so much to the higher cost of individual articles as to the cost of maintaining the minimum standard of living customary for Europeans. The expense of the customary minimum domestic establishment is naturally a larger proportion of the salary of an officer on a medium salary than it is of a senior officer's. The ideal "cost of living" or
"residential" allowance is therefore one which rises systematically with salary up to a maximum and then tapers
off to nothing.
14.
We suggest therefore that the whole system of Residential Allowances be recast and reduced to a uniform formula. The formula we suggest for consideration is : 20% of basic salary in excess of £500, up to a maxinun of £100, subject to reduction by 40% of the amount by which
basic salary exceeds £100.
BASIC SALARY
This would work out as follows:·
RESIDENTIAL ALLOWANCE
£1,000
£
500 or less
600
700
800
900
£
Nil
20
20
889
80
60
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