XN000022-1986-12-05 — Page 4

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FRIDAY, DECEMBER 5, 1986

* BENEFITS UNDER THE WIDOWS' AND CHILDREN'S PENSIONS

ORDINANCE WILL CONTINUE TO BE CALCULATED IN RELATION TO THE EXISTING PENSIONS ORDINANCE;

* SERVING OFFICERS WILL BE ELIGIBLE TO RETIRE WITH THEIR

EARNED PENSION BENEFITS AT ANY TIME BETWEEN 55 AND 60 WITHOUT BEING REQUIRED TO OPT.

IN ADDITION, SERVING OFFICERS WILL BE GIVEN A PERIOD OF THREE YEARS IN WHICH TO EXERCISE AN OPTION TO JOIN THE NEW SCHEME, OR ONE YEAR FOR OFFICERS AGED 49 OR OVER.

MR BARMA ADDED THAT STAFF ARE NOW BEING GIVEN A FURTHER OPPORTUNITY TO COMMENT ON THE SCHEME. THE SCHEME TOGETHER WITH STAFF COMMENTS WILL THEN BE REFERRED TO THE STANDING COMMISSION ON CIVIL SERVICE SALARIES AND CONDITIONS OF SERVICE AND THE STANDING COMMITTEE ON DIRECTORATE SALARIES AND CONDITIONS OF SERVICE FOR CONSIDERATION AND ADVICE.

FOLLOWING THE INITIALLING OF THE JOINT DECLARATION ON HONG KONG'S FUTURE IN SEPTEMBER 1984, THE CHIEF SECRETARY WROTE TO CIVIL SERVANTS TO EXPLAIN HOW THE POST-1997 ARRANGEMENTS WOULD AFFECT THEM. HE MENTIONED THAT THERE WOULD BE A FEW OFFICERS WHOSE CAREER PROSPECTS WOULD BE ADVERSELY AFFECTED AND THEREFORE THAT SPECIAL ARRANGEMENTS WOULD NEED TO BE MADE FOR THEM IN DUE COURSE BY THE HONG KONG GOVERNMENT.

HE GAVE AN ASSURANCE THAT, APART FROM THESE FEW EXCEPTIONS, ALL MEMBERS OF THE HONG KONG PUBLIC SERVICE WOULD BE ABLE TO COMPLETE THEIR CAREERS IN THE SAME WAY AS BEFORE.

IT HAS NOW BEEN AGREED THAT STAFF SHOULD BE CONSULTED ON A DRAFT COMPENSATION SCHEME, UNDER WHICH COMPENSATION MAY BE PAID TO OFFICERS WHOSE CAREER PROSPECTS ARE ADVERSELY AFFECTED. PRIMARILY THE SCHEME IS DESIGNED TO COMPENSATE THOSE OFFICERS WHO ARE REQUIRED TO RETIRE OR WHO ARE SUPERSEDED FOR PROMOTION TO FACILITATE LOCALISATION,

ESSENTIALLY, THE COMPENSATION PAYABLE IS IN THE FORM OF A LUMP SUM CALCULATED BY MULTIPLYING THE OFFICER'S ANNUAL SALARY BY A FACTOR ACTUARIALLY APPROPRIATE TO HIS AGE AND SERVICE, SUBJECT TO AN OVERALL CEILING OF $900 000.

THERE ARE DIFFERENT FACTORS FOR OFFICERS SERVING ON THE EXISTING PENSION SCHEME WITH ITS RETIREMENT AGE AT 55 AND FOR OFFICERS WHO TRANSFER TO THE PROPOSED NEW PENSION SCHEME WITH ITS RETIREMENT AGE OF 60 WHEN THIS IS INTRODUCED. THERE ARE ALSO DIFFERENT FACTORS FOR OFFICERS WHO ARE REQUIRED TO RETIRE AND FOR OFFICERS WHO ARE SUPERSEDED FOR PROMOTION TO FACILITATE LOCALISATION.

/THE FACTORS