CO129-602-4 Cost of living allowance 27-3-1948 - 11-12-1948 — Page 21

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ང་ ར་

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monthly salaries ranging between $150 to $350 and comprising the most numerous class of white-collar worker. Subsequent to the report of the Lo Committee independent evidence has come to light of the conditions in which these officers are living, and Iquote the following passage from the report of an independent committee composed entirely of unofficials who had occasion to visit the homes of many clerks employed both by Government and by commercial firms. :-

9.

*The Committee feel in submitting this report

that they should point out to you that a large number of Government subordinate servants are living under vile conditions which must affect both their health and efficiency and the majority are seemingly worse off than the employees of commercial firms. There can be very little confort in their home lives under these very trying conditions."

The only difference between the present proposals and the Lo Committee's recommendations for this group is the elimination of the rise in the percentage allowance between basic monthly salaries of $150 and $350. The Lo Committee followed the recommendations of the Salaries Commission in making a corresponding rise but it is felt that to provide for a cost of living allowance equivalent to 100% of basic salary throughout this group will go a long way to relieving real hardship since the allowances proposed are in all cases higher than the present.

10.

The departure from the Lo Committee's recommendations for basic monthly salaries between $150 and $350 involves further minor adjustments in the Committee's recommendations for basic monthly salaries ranging from $400 to $1,600 in order that the scale of allowances is graded as uniformly as possible.

11.

From basic monthly salaries of $1,600 and above only one insignificant change has been made for simplicity of administration; the allowance at $1,600 per month being 50, of basic salary and thereafter at a fixed rate of $800.

12.

All the recommendations refer to the standard rate applicable to a married man with dependent children, which is the current practice adopted on the recommendations of the Salaries Commission. The rates for married officers without dependants and for unmarried officers are based on 80% and 60% respectively of the standard rate. But it is not considered administratively practicable to adopt differential scales of this kind for officers receiving less than basic monthly salaries of $150 and it is proposed to pay the full allowance to male officers irrespective of marital status. however, will be paid two-thirds of the allowance which corresponds approximately to the current practice.

Women,

13.

The recommendation of the Lo Committee for relating the cost of living allowance to movements of the price index has been adopted with the proviso that if the index falls below 80 or rises above 120 the whole question of cost of living allowances will have to be considered afresh.