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(a) HMG should ensure that all HMOCS officers are compensated for the loss of their HMOCS status and the authority of the Secretary of State which that entails.
(b) HMG should ensure that all officers who are retained in the service of the previously dependent territory should enjoy teris of service no less favourable than before, including with respect to salaries, allowances, benefits and pensions
entitlements.
(c) HMG should ensure that arrangements are made to provide fc- the protection of the sterling value of the former HMOCS officers' pensions, through the introduction of a fixed sterling exchange rate adjusted in line with UK inflation.
6. The HMOCS obligation has been honoured without exception - all British dependent territories upon a change of sovereignty. In the case of Hong Kong some aspects of the normal arrangemers have already been covered by the Joint Declaration and Basic Law
The other issues are complex and (ie point (b) above). consideration of them is taking time.
HMG have therefore now
decided to address the different elements separately, beginning
Consultations with HMOCS with the question of compensation.
officers on this subject will begin in Hong Kong shortly.
7. The exact format of previous compensation schemes varied from
In some cases the scheme was cast territory to territory.
partly as an inducement scheme to assist in the retention of these officers by the successor government.
In the case of Hong Kong, we wish to avoid encouraging early retirements among HMOCS officers which might be disruptive for Hong Kong at the
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