TNAG-0845-FCO40-1055-Visits-of-Foreign-and-Commonwealth-officials-to-Hong-Kong-1979 — Page 77

MR MURRAY'S VISIT TO HONG KONG:

DISCUSSION WITH THE CHIEF

SECRETARY/ATTORNEY-GENERAL ON 24 SEPTEMBER

THE CIVIL SERVICE

Points to Make

1. You may wish to discuss the following questions:

(a) whether the establishment of Sir Y K Kan's Standing Commis-

sion on Civil Service Salaries and Conditions of Service has

defused the growing discontent, that had led to a number of industrial disputes in the Civil Service in 1978;

(b) whether the Civil Service are able to recruit and keep suffi-

cient people of the right calibre particularly for the

Administrative Service, and for specialised professional

posts.

Background

2. Following increasing unrest in the Civil Service over pay and relativities in 1978, the Hong Kong Government set up a Standing Commission, chaired by Sir Y K Kan, to review policy on civil servants' pay and conditions of service.

3. The Commission has now published its first report, on the principles and practice governing the class, grade, rank and salary

structure of the Civil Service. The Commission's main conclusions

were:

(a) General Considerations:

The annual pay trend surveys were

fair, but rigid formulae should not be adopted.

(b) Comparability with the Private Sector: Broad comparability is important but not overriding. The "occupational class system" should be replaced by an "educational qualifications method" whereby Civil Service posts requiring specific educational

qualifications should attract the same salaries as those requiring the same attainments in the private sector.

(c) Other Factors affecting Pay: Educational qualifications should

/not