TNAG-0916-FCO40-1127-Policy-on-salaries-and-pensions-for-civil-servants-in-Hong-K-1979 — Page 181

G.S. 84

XCR(79)176

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Recommendations which constitute general guidelines for the Commission's review of individual grades

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In paragraph 15 of the Report, the important point is made that the recommendations are deliberately couched in general terms, as any attempt to apply rigid and inflexible formulae to civil service pay would be impracticable. It is considered that when the decision on these recommendations is sent to the Commission, reference should be made to this paragraph, and to the fact that if at any time the Commission feels it desirable to modify their general recommendations, they should feel free to so recommend to Government. One of the advantages of the fact that this is a Standing Commission is that none of the conclusions reached are irrevocable,

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Comparability with the private sector.

Recommendations (ii) to (vi) are grouped under this general heading. In general terms, the Commission affirms that broad comparability with the private sector should continue to be an important factor in setting civil service pay, although it should not necessarily be the overriding prin- ciple. In particular, regard should also be had to the need to attract and retain candidates of a suitable calibre. It also recommends that a "qualification method" for linking civil service and private sector pay should be used initially. This method involves grouping together civil service grades requiring similar qualifications, so replacing the existing occupational class system, and then taking the private sector pay for a range of jobs requiring similar educational qualifications as a basis for calculating starting pay. The pay for any particular grade would also take into account various other factors connected with the nature of the job. These general principles are considered to be acceptable.

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The Report then goes on to re-affirm that Government should not consciously set out to lead the private sector in pay for any level of employee. In an important passage which has received considerable publicity, paragraph 28 continues as follows:

At the same time we consider that the remuneration of the lowest paid in the civil service should not be governed solely by market forces. The short term fluctuations in private sector pay should not be reflected in the civil service and the general level of remuneration should be maintained, Furthermore, in following the lead of the private sector, we consider that Government should set an acceptable standard and be among the better paying employers in relation to the lowest paid. We have received figures to show that this is not the case at present, and that Government salaries for the lowest paid are below those offered by the better paying employers in the private sector".

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