TNAG-0916-FCO40-1127-Policy-on-salaries-and-pensions-for-civil-servants-in-Hong-K-1979 — Page 94

CODE 18-77

Mr Ling (HKGD)

Reference.. HK/7 3.0

HKKH30|1

No

RJMR

THE FIRST REPORT OF THE STANDING COMMISSION ON CIVIL SERVICE SALARIES AND CONDITIONS OF SERVICE

1. With one exception (paragraph 3 below) I do not propose to comment on the conclusions and recommendations of the Commission. The report is of obvious value in dealing with problems which have caused discontent in the Hong Kong civil service, though the main source of friction claims connected with pay relativities still remains to be dealt with in the Commission's second report. It is particularly gratifying that the Commission is formulating its conclusions only after giving staff and management every opportunity to make known their grievances and views: Appendices B to E show the care taken by the Commission on this point.

2.

I am unaware of the procedures which the Hong Kong Government intends to follow in reaching decisions on the report's recommenda- tions. Will the consultative process so meticulously followed by

does the Commission be adopted by the Government and, if so, appropriate machinery exist in Hong Kong for securing the views of the many staff associations and unions? Reference of the report to theSenior Civil Service Council is one possibility but that body is representative of only three staff associations (or trade unions) and it is doubtful whether the other numerous associations have sufficient access to it to be satisfied with whatever conclusions may emerge from it. To make the most of the Commission's report with the aim of eliminating sources of discontent, the multiplicity of sectional associations in the Civil Service should ideally be given access to those who will formally decide on the report's recommendations. This point will be given added importance when the Commission has reported on the grading of posts in the Master Pay Scale and has dealt with the crucial question of internal relativities. This emphasises the need for adequate consultative and, preferably, negotiating machinery in the Civil Service, not least for the so-called Model Scale 1 employees who are dealt with in paragraphs 50-60 of the report. (I made this point in the report on my visit to Hong Kong in February/March 1978). I hope, therefore, that the Commission will be considering at an early stage the matters which fall within paragraph 1(e) of its terms of reference.

3. I wonder if the Commission is right to place so much emphasis on educational qualifications being confirmed as a major element in deciding starting salaries for civil servants on the Master Pay Scale (paragraph 34 et seq). The Commission concedes (paragraphs 36 and 37) that other factors must be taken into account in deciding "the rate for the job":

but it seems to me

that past insistence on educational qualifications is responsible

/for the