CONFIDENTIAL
in the attached annexes prepared in conjunction with the ODA
Overseas Pensions Department and the Hong Kong Government.
HMG's OBLIGATIONS
4. HMG have an obligation enshrined in two White Papers of 1954
and 1960 to ensure that HMOCS officers are appropriately
compensated for а change in their status arising from
constitutional change. HMG have ensured the payment of
compensation and the provision of sterling safeguards for pensions in the case of every other dependent territory moving
along that path. Hong Kong HMOCS officers expect comparable
treatment: and HMG have recognised publicly that Hong Kong's
position raises similar issues to those of other colonies approaching independence.
THE TIMING OF A DECISION
5. In the interests of maintaining a stable Administration in
Hong Kong, I believe that HMG need to agree and to make known the
arrangements for HMOCS members as soon as possible. HMOCS members hold important offices in the Hong Kong Civil Service, primarily the Administrative Service and the Police Force. Some 60% of Superintendents and higher ranks in the Royal Hong Kong Police Force are expatriates. Without these officers, the command structure of the Police Force would collapse and the
Force would not be able to maintain law and order. HMOCS
officers in Hong Kong have recently expressed dissatisfaction with progress in these matters. We are concerned that any further delay in a decision would damage Hong Kong at a time when there is a crucial need to preserve stability.
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THE "ONE PACKAGE" APPROACH
6.
For some time we have been considering the possibility of
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