XN000022-1992-10-28 — Page 14

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WEDNESDAY, OCTOBER 28, 1992

HE ALSO SPOKE OF PERFORMANCE PLEDGES WHICH HE DESCRIBED AS A "NATURAL STEP IN THE CONTINUING PROCESS OF BRINGING ABOUT IMPROVEMENTS TO OUR SERVICE TO THE PUBLIC".

"IT BRINGS INTO THE OPEN THE INTERNAL MANAGEMENT STANDARDS THAT MOST DEPARTMENTS HAVE ALREADY SET TO MONITOR THEIR OWN OUTPUT; IT INTRODUCES MORE EFFICIENT MEANS FOR THE PUBLIC TO MONITOR PERFORMANCE; AND IT AIMS IN THE PROCESS TO BRING ABOUT FURTHER IMPROVEMENT IN OUR DEPARTMENT-CLIENT RELATIONSHIP.

"WE ARE DETERMINED TO MAKE THIS SCHEME A PERMANENT FEATURE OF THE PUBLIC SERVICE."

THE GOVERNMENT WILL ADOPT A STEADY PACE AND IMPLEMENT THE EXERCISE IN PHASES, HE NOTED, ADDING THAT ALL DEPARTMENTS PROVIDING SERVICES ΤΟ THE PUBLIC SHOULD HAVE BEEN SUBJECT TO THE REFORMS IN ABOUT TWO YEARS.

THE GOVERNMENT WILL ALSO LIAISE WITH THOSE STATUTORY AUTHORITIES PROVIDING PUBLIC SERVICE WITH A VIEW ΤΟ ENSURING THAT THOSE PARTS OF THE PUBLIC SERVICE UNDER THEIR SCRUTINY ALSO ADOPT THE SAME PRINCIPLES AND PRACTICES AS FAR AS PRACTICABLE.

SOME MEMBERS HAD EXPRESSED CONCERN THAT THE ANNUAL CIVIL SERVICE PAY ADJUSTMENT GAVE CIVIL SERVANTS AN EDGE OVER THE PRIVATE SECTOR WHICH, IN TURN, WAS CONSIDERED TO HAVE A NEGATIVE EFFECT ON THE ECONOMY.

MR WIGGHAM, HOWEVER, DID NOT AGREE. HE STRESSED THAT WHILE THE ADJUSTMENT COULD SERVE AS A REFERENCE FOR SOME EMPLOYERS, THE ULTIMATE DETERMINANTS OF PRIVATE SECTOR PAY WERE SUPPLY AND DEMAND IN THE

LABOUR MARKET.

PAY

"THERE IS NO DIRECT CAUSAL RELATIONSHIP BETWEEN THE ANNUAL ADJUSTMENT FOR CIVIL SERVANTS AND INFLATION AS SUCH, BUT THERE IS CLEARLY A PSYCHOLOGICAL EFFECT, HE SAID,

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"IT IS ALSO MISLEADING TO COMPARE THE CIVIL SERVICE PAY ADJUSTMENT WITH ONLY THE GENERAL INCREASE FOR PRIVATE SECTOR EMPLOYEES WHILST EXCLUDING MERIT PAY.

"THE FACT OF THE MATTER IS THAT CIVIL SERVICE SALARIES ARE NOT DIRECTLY RELATED TO PERFORMANCE, WHEREAS MERIT PAY IS INCREASINGLY GIVEN MORE WEIGHT AND ACCOUNTS FOR A LARGER SHARE OF THE ANNUAL PAY ADJUSTMENT IN THE PRIVATE SECTOR.

"OVERALL, HOWEVER, CIVIL SERVICE PAY ADJUSTMENTS, INCLUDING BOTH GENERAL INCREASE AND ANNUAL INCREMENT, ARE COMPARABLE TO THE GENERAL INCREASE PLUS MERIT PAY IN THE PRIVATE SECTOR, EVEN THOUGH INDIVIDUALLY SOME CIVIL SERVANTS MAY BE BETTER OFF AND OTHERS MAY LOSE OUT UNDER THE PRESENT METHODOLOGY.

זן

ON THE FUNDING ARRANGEMENTS FOR CIVIL SERVICE PENSIONS, MR WIGGHAM REAFFIRMED THAT THE JOINT DECLARATION AND THE BASIC LAW BOTH CONTAINED ASSURANCES ABOUT THE FUTURE PAYMENT OF PENSIONS.

/"I SHOULD