7.
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SECRET UK EYES A LOCSEN
The nationality package had proved a disappointment to locally entered personnel and locally employed civilians (LEP/LEC). CBF hoped that the recent LEC 'rate-capping' exercise would not send out the wrong signals. It was unfortunate that this measure removed many of the LEC with long service so that redundancy payments were not required because it was this group of LEC that had been expected to serve on until 1997 and then retire. Without the need for further employment, the perception that they might be disadvantaged by having worked for the British Forces would not arise as it might with younger employees.
8.
In summary, CBF felt that there had been some Improvement in the situation since the last meeting in Feb 90 but there was still potential for difficulties in the areas he had discussed.
9. The MOD perspective was given by AUS (C) who began by noting the 'event led' nature of Hong Kong business and in particular by sharing CBP's disappointment that the hard work carried out by the MOD in the case of Right of Abode had not achieved as much as had been hoped for. The LEC business had been unfortunate and had arisen from an arbitrary cut in running costs as part of the real pressures on the Department's 'in-year'
in-year' expenditure. He hoped that this matter would be managed better from next year with the introduction of NMS. AUS (C) underlined the importance of CBP's remarks on the VBP issue and the need to recover the airstrip at Sek Kong.
10. Acknowledging that the scene had been amply set the Chairman observed that the problems surrounding Hong Kong wore thorny and that tho road ahead was intrinsically
difficult.
ITEM 2 - MINUTES OF THE LAST MEETING
11. The minutes of the last
the last meeting were accepted as a true record.
ITEM 3 REPORT ON matters ARISING prom 2 frB 90 MEETING
ITEM 3A
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RN PATROL CRAFT
12. There were 2 discrete aspects to the further work necessary to ensure a continuing RN presence in Hong Kong up to 1997 - financial and manpower. Hd Sec(0) (C) reminded the Meeting that Ministers had agreed to the retention of the patrol craft in Hong Kong subject to a satisfactory financial agreement being reached with the Hong Kong
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UK EYES A SECRET
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