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DRAFT STATEMENT ON HONG KONG HMOCS
1. Her Majesty's Government recognise that members of
Her Majesty's Overseas Civil Service in Hong Kong wish to
know as soon as possible how the Government intend to make
provision for HMOCS in the special circumstances of Hong
Kong's becoming a Special Administrative Region of the
People's Republic of China of 1 July 1997.
2.
The Joint Declaration and Basic Law provide good guarantees for continuity of service with pay, conditions.
and pensions on terms no less favourable than before 1997.
Nonetheless the Government accept that HMOCS officers
serving in Hong Kong on 30 June 1997 will also be entitled
to a measure of compensation for the loss of the Secretary
of State's protection and, to a certain extent, of career prospects; and that it is desirable that there should be
some safeguard of the sterling value of their pensions in
the event that the Hong Kong dollar significantly declines
in value against sterling.
3.
Measures introduced to these ends should contribute to
ensuring a smooth transition in 1997 and should encourage
maximum continuity in the Hong Kong public service after
1997, in order to maintain and preserve Hong Kong's economic prosperity and social stability. They should also be fair
to the officers concerned, while involving the minimum
necessary cost to the taxpayer.
4.
The issues are complicated, and despite intensive work
the process of drawing up appropriate arrangements has taken
longer than envisaged. The Government are grateful for the
sense of responsibility and patience shown by HMOCS
officers. The Government have now formulated a proposal for
a scheme providing elements of incentive and compensation.
We look forward to opening consultations about this with
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