TNAG-0450-FCO40-515-Reports-of-Overseas-Labour-Adviser-on-visits-from-UK-to-Hong-1974 — Page 5

HONG KONG:

CONFIDENTIAL

(w/18)

ASSESSMENT OF COMMENTS MADE BY THE HONG KONG GOVERNMENT ON THE OVERSEAS LABOUR ADVISER'S REPORT ON HIS VISIT IN FEBRUARY 1974.

The following comments follow the order in the (undated) commentary which accompanied the Governor's letter (on HKK 5/13).

Industrial Relations Bill (paras. 15 - 16)

1. However carefully the proposals contained in my report of December 1971 had to be considered, the progress made in 2 years is minimal. There was nothing earth-shaking or revolutionary in my proposals, which were simply to provide a legislative basis for conciliation and arbitration. The facts are that the Department of Labour proposals became bogged down in the Secretariat from whence they were rescued hurriedly just before my arrival so that the first draft of a Bill might be produced. It was understandably not a very good draft and a second draft is now being prepared. I was not aware that the policy involved in this Bill had not yet been considered by ExCo.

Anti-Trade Union Discrimination Legislation (para.18)

2. There were several conflicting views about what did in fact happen at ExCo. There was certainly reluctance to accept the principles of the draft legislation and, as I heard the story, the situation was rescued by the Governor who took advantage of a question by one Member of ExCo as to whether it was worthwhile enacting such legislation if one could not be certain that Convention No.98 could be applied in Hong Kong. It was suggested that this be explored further. A complete analysis of the position was made in my letter of 29 April 1974 to Mr Henderson, copied to HK/IOD.

Severance Pay Legislation (paras. 19 - 21)

3. I heard several versions of what happened to this Bill and I agree that as expressed by me para.20 contains a factual inaccuracy since I omitted the words "after 10 years service": However, I understand that the Labour Advisory Board recommendation was not amended by ExCo but by the Governor's Committee before it got to ExCo, which is, I think, even more reprehensible.

Hours of Work and Overtime for Women and Young Persons (paras. 22 - 26)

4. The words in brackets at the end of para. 22 are simply there to record a fact. It is hardly relevant, however, to say that no such legislation exists in the United Kingdom. We do not need it; but most developing countries do, and the 8-hour day and the point at which overtime begins are commonly included in the Labour Ordinance as for example in Singapore.

/One must

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CONFIDENTIAL