TNAG-2100-FCO40-2989-HM-Overseas-Civil-Service-(HMOCS)-policy-matters-1990 — Page 113

CONFIDENTIAL * *

Annex B

Company A

1.

Private sector practice

Senior staff (local and overseas) are eligible, under the company's contributory provident fund scheme, for a lump sum payment and a monthly pension. They may exercise an irrevocable option receive their pension in Hong Kong dollars or a foreign currency (US $, Australia $ or sterling).

2.

to

The conversion rate is determined either according to the average exchange rate for the 6-month period prior to retirement, or on retirement, whichever benefits the officer.

3.

An annual pension increase of not less than 4% is awarded (regardless of the currency of payment).

Company B

4.

Overseas

officers

appointed be fore

1984

contributing to the retirement bene fit scheme retain an option to receive their lump sum gratuity either in Hong Kong dollars, or in the currency of their country of origin. is determined by averaging the rate for exchange rate calendar years immediately prior to their appointment.

5.

bearing

terms.

The

The

for five

for

Overseas officers are now appointed on gratuity

agreement

payment arrangements gratuities mirror the arrangements in paragraph 4.

Company C

6.

Pensions for "overseas" staff are paid in sterling based on their final "notional" salary. This equates to the salary of

rank employed by officer of equivalent company in the UK.

an

the

7.

Pension increases reflect the UK Retail Price Index

figure.

(0013B : 20)

CONFIDENTIAL ##