TNAG-0876-FCO40-1086-Development-of-social-welfare-policy-in-Hong-Kong-1979 — Page 27

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

GF 323

CONFIDENTIAL

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3 Clerical officers II. The cost of providing the additional

staff including on-costs is estimated at about $0.4 million per

year at 1979 prices.

4.5

At present staff in certain subvented organisations

providing educational, medical, social welfare, economic and other

services enjoy leave benefits similar to civil servants. It is

likely that changes in maternity leave benefits for civil servants

vould lead to similar changes for staff in subvented organisations. Using the 0.17% of t tal Tersonal Emoluments Estimate in paragraph 4.3 above as t'e basis (i.e. assuming t'at the staff s ructure,

salaries and other conditions of service in subvented organisations are similar to these in the Civil Service), the orking Group estimates that the mitional cost to the Government by way of subventions would be about $3 million per year at 1979 prices p.15(see Appendix 15).

Economic implications

4.6

1though the orking Group's recommendations concern- ing paid maternity leave, if accepted, will increase the total wage bill for e players, the magnitude of the overall increase would be

small. The estimated cost of pay entitlement during maternity leave represents about 0.19% of the total ware bill. Given that in

various sectors of the economy sone form of paid maternity leave

arrangements already exists, the net percentage increase should be

even smaller.

4.7

hilst the orking Group's recommendations will have an effect in lipitia the plasticity of supply of labour by

discouraging when from returning to work earlier after child delivery, the percentage of working tine foregone as a result of paid maternity leave (at 0.36 of the total working time of all employees) is still tee sell to have any significant effect on the

elasticity of supply of labour. On the other hand, tere is also

the possibility that the introduction of paid naternity leave may

ake wonen more illing to participate in the labour force.

CONFIDENTIAL

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