CO129-626-3 Labour Department- report to Labour Commissioner 1-3-1951 - 30-6-1952 — Page 62

- 16 -

51

107.

For obvious reasons it is also equally important that the Department of Labour should stand second to none in respect and prostage in the governmental hierarchy. Increased prestege in the cyes of the public would accrue to the Commissioner of Labour if his status was made equivalent to that of the Secretary for Chinese Affairs. The Department of Labour is onc which will inevitably develop and the Commissioner will coustently be called upon to assume incre.sed responsibilities. Maximum prestego for the Depart- nd for the Commissioner is therefore of the ulmost importance. The clevation of the Commissioner would also obviate the discontinuity which results so frequently whenever very senior official proceeds un leave.

108.

Whenever the Government of a country, particularly the Government of a non-metropolitan territory, sponsors and encourages, as an act of policy, the formation of sound, well led trade unions, i is contended that it assumes a moral responsibility for safeguard- ing, so far as this is practicable, the funds of the various trade unions which are largely made up of contributions obtained from ignorant and un-informed workers. In these circumstances, the maintenance of a close and regular watch on the utilisation of the funds of trade unions particularly during their formative years is of much importance. purposes for which the funds of a trade union can be expended are clearly defined in the Trade Union and Trade Disputes Ordinance.

The

109.

This type of inspection work however, if properly carried out and honesty and integrity enforced where necessary, is unlikely to be regarded, at least by the officials of the less reputable unions, as being within the ambit of strict impartiality which should be attributed to all officers of the Department of Labour. For this reason alone I consider it undesirable that the work of the Registrar of Trade Unions should be carried out by officers of the Department of Labour, or that this work should even be attached to that Depart- ment.

110.

For many reasons it would seem desirable that the control envisaged should be exercised by reliable officers with a knowledge of Chinese bookkeeping and accountancy under the control and super- vision, if possible of a legal officer, because so many matters which arise call for action which involves interpretation of the law. It is not essential however that a legal officer should be in control of this work provided it is not directly connected with the Department of Labour and, of course, is not regarded as a Police matter.

111.

further point to which I would like to refer is the audit problem. The auditor of each trade union's accounts has by law to be approved by the Commissioner of Labour but in many instances, particularly in the smaller unions, they cannot afford to employ the services of a competent auditor however desirable that may be.

112.

If suitable assistant Registrars of Trade Unions were available this difficulty could largely be eliminated as they could, when necessary, and with the consent of the Registrar, carry out the prescribed annual audit of the books of the smaller unions who were unable to afford to pay for the services of an approved auditor.

1

C