TNAG-0697-FCO40-847-Pension-scheme-for-governors-1978 — Page 101

CODE 18 - 77

MRS GREGORY

Reference

13

Hong Kong & General Department, FCO

cc to Mr Barrett

Personnel Services Dept FCO

GOVERNORS' PENSION SCHEME

1.

I am sorry that it has taken me a few days to consider the draft which Mr Hall sent over to me under cover of his minute of 7 June. In his absence I am sending my comments to you in the hope that you may be able to make a start on the preparation of the finished letter. I have made a number of draft amendments which are comparatively minor and these are shown in red on the attached copy of the draft which I am returning to you. I do feel however that the draft rather misses the real reason why Hawkins was concerned about the use of UKRPE for the Governors' Scheme. As I under- stood him, he appeared to think that we would be using a notional basis for calcula- tion of pensionable salary which was better than the actual and better than the basis we use at present. I think he argued in fact that he could only justify this if he could show that Governors' salaries had not been increased for some years and that they were by now entitled to something at the level of UKRPE anyway. I think in this that he was completely missing the point and had failed to do his homework on paragrap] 5 of my letter of 29 June 1977. Nevertheless, I think we must recognise his misgivings and attempt to show him that what we are proposing to use as a basis for the new Governors' Pension Scheme is sensible and not overgenerous. I have, therefore, suggested three additional paragraphs, which I think can conveniently be added to the end of your draft, expanding on the present position and on the effects of what we have proposed with regard to UKRPE.

2. As I have said most of the other amendments are little more than editorial and largely self-explanatory. Only two really call for any comment. In your paragraph 3 towards the foot of the page, I think it would be better to describe the territories where we top up salaries as "poorer" rather than saying that they cannot afford to pay the Governors' emoluments in full. In the Appendix to the letter I was a little confused by the mixture of dates at the head of the salary columns and particularly by the effect that this has on the relationship between DS3 and AS/DS4. We have therefore put this on a common footing of 1 January 1978 which I think improves the Appendix and illustrates the position more clearly.

3.

me.

If there are any points you wish to discuss please do not hesitate to telephone

Tu Vinby

J W Willby

Head of Pensions Dept 16 June 19786

HKA 233/1

RECEIVED IN E. VRY NO. 51

19 JUN 1978

DESK OFFICER

INDEX

لله

PA

„GISTRY

Action Taken

PX

LAST

RA

(12

RET.

hu

Barrett

PSD) (CG 516).

We spoke.

the only comment I've got on

additions is at para 8. X.

hus Wellby's

wonder whelter

we should

not delete

1

At present thri

applies

3

Solomon Islands

As

you

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