TNAG-0916-FCO40-1127-Policy-on-salaries-and-pensions-for-civil-servants-in-Hong-K-1979 — Page 112

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25.

We are not convinced that either of these methods is totally satisfactory but initially we recommend that the "qualification method" should be used. The "core grade" method seems equally if not more effective but we consider that there should be consultation with staff representatives and management on the subject of which grades should form th "core grades" and which grades should be linked to those grades. We do not therefore rule out the possibility of using the "core grade" method at some future date, whether on its own or in combination with the "qualification method", but for the moment we consider the "qualification method" with its readily established criteria, is the only practicable means of providing the essential link to private sector pay, at least at the recruitment level.

26.

We appreciate that the private sector may not always attach the same weight to educational qualifications as does the Government but this should not in any way preclude the use of educational qualifications to link civil service and private sector pay. While the educational qualifications for a particular job in the private sector may not be prescribed, it should be possible to obtain an indication of the qualifications which the private sector considers to be normal by the educational qualifications held by the majority of the occupants of a job.

27.

Some of the representations we have received reveal a misunderstanding of what we mean by the "qualification method". Its use does not mean, as some civil servants appear to feel, that grade pay will be established solely by having regard to educational qualifications. It simply means that private sector pay for jobs usually requiring a particular qualification will be reflected in civil service pay for jobs requiring a similar qualification. The actual grade pay will depend on a number of other factors connected with the nature of the job, for example required experience, level of responsibility and so on. This subject is dealt with in a later section of this report.

28.

An existing principle related to comparability with the private sector is that civil service pay should follow rather than lead the private sector1. In the Consultative Document we raised the question of whether, as a matter of social policy, an exception should be made to this principle in the case of the lowest paid. We did so in the light of figures provided by the Census and Statistics Department which indicated that this was already the case. With few exceptions the response to our question has been that pay for the lowest paid civil servants should be permitted to lead the private sector. However, a number of those proposing this course of action qualified their remarks by adding a rider to the effect that pay must take account of economic

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Chapter 2,

1

Report of the 1971 Salaries Commission paragraph 24