XN000022-1984-03-29 — Page 9

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THURSDAY, MA 29, 1984

+ THE TIME IS PERHAPS RIPE FOR A DIFFERENT KIND OF FINANCIAL MECHANISM TO BE INTRODUCED, ONE THAT IS DESIGNED TO ASK CONTROLLING OFFICERS TO REVIEW, ON A REGULAR BASIS, THE RELATIVE IMPORTANCE OF THE SERVICES THEY ARE EXPECTED TO PROVIDE,+ HE SUGGESTED.

MR CHEONG QUERIED HOW SERIOUSLY THE CONCEPT OF INCREASED PRODUCTIVITY HAD BEEN APPLIED TO PUBLIC SECTOR ACTIVITIES.

+TO THE BEST OF MY KNOWLEDGE THE GOVERNMENT HAS TRIED TO DEMONSTRATE GROWTH IN PRODUCTIVITY IN THE CIVIL SERVICE ONLY IN SOMEWHAT MACRO TERMS, BUT ONE WONDERS WHETHER ANY HEAD OF DEPARTMENT OR DEPARTMENTAL ESTABLISHMENT COMMITTEE HAS INTRODUCED SPECIFIC PERFORMANCE MEASURES FOR THE SERVICES THEIR STAFF PROVIDE, AND KEPT THEM UNDER REGULAR REVIEW, HE SAID.

HE SAID PERHAPS THERE WERE LESSONS TO BE LEARNT FROM A RECENT EXERCISE IN UK WHEREBY ALL MINISTRIES WERE ASKED TO INTRODUCE PERFORMANCE MEASURES, AS A MEANS OF REQUIRING SENIOR MANAGEMENT FIRST TO KEEP PRODUCTIVITY UNDER REVIEW AND SECONDLY TO SEEK TO PROMOTE IT.

+THESE ARE BUT TWO POSSIBLE IDEAS OUT OF MANY WHICH THE GOVERNMENT MIGHT EXPLORE, IN AN ENDEAVOUR TO GET CONTROLLING OFFICERS INTO THE HABIT OF CURTAILING SERVICES WHICH HAVE BECOME MORE DESIRABLE THAN ESSENTIAL, AND OF MONITORING AND CONTROLLING THE GROWTH RATE OF RECURRENT EXPENDITURE,+ HE SAID.

HE SAID THAT EVEN ALLOWING FOR THE LABOUR INTENSIVE NATURE OF MOST PUBLIC SERVICES, THE PROPORTION OF RECURRENT EXPENDITURE TO TOTAL EXPENDITURE HAD BECOME ALARMINGLY HIGH.

+IN 1984-85 PERSONAL EMOLUMENTS PLUS SUBVENTIONS WILL ACCOUNT FOR OVER 70 PER CENT OF TOTAL EXPENDITURE, BUT IT IS PRECISELY THIS TYPE OF EXPENDITURE THAT IS MOST DIFFICULT TO SLOW DOWN OR CURTAIL IF WE ARE FORCED TO GO FOR RETRENCHMENT, + HE SAID.

HE THEN CALLED ON THE GOVERNMENT TO TAKE STOCK OF CAPITAL WORKS EXPENDITURE AS MAJOR ITEMS WOULD BE NEARING COMPLETION IN THE COMING YEARS.

+WE HAVE ALREADY SPENT A GREAT DEAL ON CAPITAL WORKS OVER THE PAST TEN YEARS, AND IT MAY PERHAPS BE USEFUL TO REVIEW WHAT HAS BEEN DONE SO FAR BEFORE ENTERING INTO FURTHER COMMITMENTS, + HE SAID.

HE CITED LAND PRODUCTION AS AN EXAMPLE AND WONDERED WHETHER THE PLANNING FOR MORE NEW TOWNS AND THE DEVELOPMENT OF JUNK BAY WERE REALLY NECESSARY.

+SHOULD WE NOT BE THINKING ABOUT IMPROVING TRANSPORT LINKS BETWEEN THE NEW TOWNS AND THE URBAN AREAS - NOTABLY TUEN MUN - SO AS TO MORE IMPORTANTLY REDRESS THE IMBALANCE OF HOUSING AND LOCAL EMPLOYMENT OPPORTUNITIES IN THE NEW TOWNS? SHOULD WE NOT REASSESS CRITICALLY OUR PRIORITIES?+ HE ASKED.

/MR CHEUNG