TNAG-1520-FCO40-2081-Employment-in-Hong-Kong-1986 — Page 96

GRS 500

CONFIDENTIAL

FM HONG KONG

TO PRIORITY FCO

TELNO 2704

OF 200805Z AUGUST 86

Confidential

· HICC 200%

_20/1

-L!

2 4 AUG 1987

YOUR TELNO 1299 OF 11 JULY: LO CONVENTION NO 26: CREATION OF MINIMUM WAGE-FIXING MACHINERY.

WE ARE GRATEFUL FOR YOU SUGGESTED SOLUTION TO THE PROBLEM OF HOW

HLC 26 CAN CONTINUE TO APPLY TO HONG KONG DESPITE UK DENUNCIATION. HOWEVER, WE DO NOT FEEL THAT A DECLARATION ALONG THE LINES PROPOSED

*IN PARA 4 OF TUR WOULD BE APPROPRIATE SINCE HT DOES NOT MAKE T

CLEAR THAT THE CONVENTION IS TO BE REGARDED AS APPLYING TO HONG

KONG WITHIN THE TERMS OF THE LO CONSTITUTION.

2. AS WE UNDERSTAND IT YOUR VIEW IS THAT ARTICLE 35(4) ONLY APPLIES

TO CONVENTIONS WHICH HAVE BEEN RATHFIED (AND NOT DENOUNCED) BY A

MEMBER STATE. TO REFER TO ARTICLE 35(4) HIN THE PROPOSED DECLARATION

WOULD THEREFORE ONLY CONFUSE THE ISSUE, IN OUR VIEW. THIS CONFUSION COULD BE AVOIDED BY DELETHING FROM THE DECLARATHON THE THIRD SENTENCE WITH ITS REFERENCE TO ARTICLE 35(4). THE DECLARATION THEN APPEARS FOR WHAT, AS WE UNDERSTAND IT, IT REALLY HS, NAMELY A BARE ASSERTION, UNSUPPORTED BY THE LO CONSTITUTION, THAT THE UK WILL UNILATERALLY

CONTINUE TO ACCEPT THE OBLIGATIONS OF THE CONVENTION ON BEHALF OF

HONG KONG. THERE WOULD BE NO OBLIGATION ON THE UK TO IMPLEMENT THE

CONVENTION IN TERMS OF ARTICLE 19.5 OF THE LO CONSTITUTION,

NOR TO REPORT UNDER ARTICLE 22 ON HONG KONG'S COMPLIANCE WITH THE

CONVENTION. INDEED THE WHOLE OF CHAPTER OF THE LO CONSTITUTION

WOULD BE INAPPLICABLE IN RESPECT OF LC 26 SO FAR AS HONG KONG S

CONCERNED.

3. IF THIS IS NOT THE CORRECT INTERPRETATION OF YOUR PROPOSAL, WE

WOULD BE GRATEFUL FOR ELUCIDATION. HF #T HS, THEN WE DO NOT FEEL THAT

SUCH A DECLARATHON WOULD BE PARTICULARLY HELPFUL IN ENSURING THE

FUTURE APPLICATION TO HONG KONG OF LC 26. NEEDLESS TO SAY, OUR

ARGUMENT ON THIS CONVENTION WOULD APPLY EQUALLY TO ANY OTHER L

CONVENTION THAT THE UK MIGHT DENOUNCE BEFORE 1997, AND WOULD ALSO APPLY TO THE SITUATION POST 1997 WHEN A FORMULA WILL BE NEEDED TO

ACHIEVE THE CONTINUED APPLICATION TO THE HONG KONG SAR OF L

CONVENTIONS NOT RATIFIED BY CHINA.

4. HAVING REGARD TO THE FINDINGS OF OUR OWN RESEARCH AND BEARING

*IN MIND THE IMPORTANCE OF SECURING THE CONTINUED APPLICATION OF ALL

THE ILCS CURRENTLY EXTENDED TO HONG KONG THROUGH UK BEYOND 1997, WE

WOULD PREFER TO START FROM THE PREMISE THAT ARTICLE 35(4) OF THE

LO CONSTITUTION PROVIDES FOR ACCEPTANCE OF AN IL CONVENTION BY

NON-METROPOLITAN TERRITORIES WHETHER OR NOT THE MEMBER STATE HAS

RATIFIED THAT CONVENTION. OUR REASONS ARE SET OUT IN MIFT.

Confidential

15.