XN000022-1986-03-26 — Page 33

WEDNESDAY, MARCH 26, 1986

COMMENTING ON PUBLIC HOUSING, MR SOHMEN SAID IT WAS WORTH CONSIDERING THE IDEA THAT THE GOVERNMENT SHOULD NOW ALSO ALLOW THOSE TENANTS INVOLVED IN THE HOUSING AUTHORITY'S RENTAL PROGRAMME TO PURCHASE THEIR FLATS, WHILE PUTTING ALL NEW PUBLIC HOUSING INTO THE HOME OWNERSHIP SCHEME.

NOTING THE CONSIDERABLE DEBATE THAT HAD ARISEN ON PROPOSALS IN THE GREEN PAPER ON HOUSING SUBSIDIES TO TENANTS OF

PUBLIC HOUSING, HE BELIEVED THE FOREGOING ALTERNATIVE MIGHT PROVE MORE ACCEPTABLE TO MANY OF THE 2.7 MILLION PEOPLE NOW ACCOMMODATED IN PUBLIC HOUSING, AND WOULD ADD FURTHER TO SOCIAL STABILITY AND THE POLITICAL COMMITMENT TO HONG KONG BY THIS PART OF THE POPULATION.

TURNING TO HONG KONG'S INFRASTRUCTURE, MR SOHMEN SAID IMPROVEMENTS HERE SHOULD INVOLVE PHYSICAL FACILITIES AS WELL AS HUMAN RESOURCES, THE PROVISION OF THE BEST POSSIBLE EDUCATIONAL SYSTEM, INVOLVING BOTH SECONDARY AND POST-SECONDARY INSTITUTIONS, AND VOCATIONAL SCHOOLS AND INDUSTRIAL TRAINING ESTABLISHMENTS, IS REQUIRED NOT ONLY BECAUSE OF THE INCREASINGLY IMPORTANT CONTRIBUTION OF THE SERVICE SECTOR TO HONG KONG'S ECONOMY, BUT ALSO IN VIEW OF THE TOUGHER COMPETITION WE FACE FROM ABROAD IN THE MANUFACTURING INDUSTRIES+, HE SAID.

THE PRESENCE OF BETTER EDUCATED AND BETTER SKILLED MANPOWER WAS BECOMING YEARLY MORE ESSENTIAL FOR THE TERRITORY'S CONTINUED SUCCESS AS AN EXPORT-DEPENDENT ECONOMY, HE SAID.

HONG KONG MUST STRIVE TO MAINTAIN AT LEAST SUFFICIENT THEORETICAL AND PRACTICAL EXPERTISE TO HOLD ITS PLACE AGAINST COMPETITION, OR BE ABLE TO QUICKLY STEP INTO THE SHOES OF THE MORE ADVANCED COUNTRIES SHOULD THEY DECIDE TO MOVE UP THE ESCALATOR OF MANUFACTURING SOPHISTICATION'.

+

+QUITE OBVIOUSLY THE POTENTIAL FOR HONG KONG IN HELPING TO MEET THE NEEDS OF CHINA IN THAT COUNTRY'S QUEST FOR

MODERNISATION WILL ALSO DEPEND LARGELY ON OUR ONGOING ABILITY TO FIELD TRAINED PERSONNEL, HE SAID.

IN CONNECTION WITH MANPOWER, MR SOHMEN VOICED WHAT HE DESCRIBED AS THE CONTINUING CONCERN FELT BY MANY BUSINESSMEN ABOUT CIVIL SERVICE EMOLUMENTS MOVING AHEAD OF WAGES AND SALARIES IN THE PRIVATE SECTOR.

HE SAID THAT PAY LEVELS IN SMALLER LOCAL MANUFACTURING FIRMS OFTEN COMPARED UNFAVOURABLY, EVEN FOR UNIVERSITY GRADUATES, WITH THEIR COUNTERPARTS IN THE CIVIL SERVICE.

+WHILE WE HAVE PRACTICALLY FULL EMPLOYMENT IN HONG KONG, IN ITSELF OF COURSE A HEALTHY SIGN, AND SEE A SIGNIFICANTLY REDUCED RATE OF INFLATION, WE MUST BE PARTICULARLY ATTUNED TO THE RISKS ARISING FROM THE POSSIBLE SEESAW EFFECTS OF THE CALLS FOR PAY PARITY, + HE SAID.

/MR BOHMEN