HMOCS: NATURE OF PROPOSED SCHEME
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ANNEX LXIV
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Many of the representations received in the Foreign and Commonwealth Office criticise the Statement handed to the representatives of members of HMOCS on 7 April 1992 from the standpoint of the traditional form of Compensation and Retiring Benefits Scheme normally provided by the government of a territory about to attain independence.
However the proposals for the Scheme now being drawn up for the members of HMOCS in Hong Kong are not proposals for such a scheme. The Government of Hong Kong have made it clear that it is not possible for them to provide such a scheme; HMOCS officers in the service of the Hong Kong Government have been fully integrated in the Hong Kong public service for many years, and many non-HMOCS officers have expressed concern about their own future.
The proposed Scheme is therefore being drawn up, and will be funded, by Her Majesty's Government in the United Kingdom. The proposals are for a new form of scheme specially geared to Hong Kong's unique circumstances - circumstances which were not specifically envisaged in the White Papers of 1954 and 1960 to provide benefits on 30 June 1997 for members of HMOCS and for further benefits after that date for those of them who decide to continue in the public service in Hong Kong. The proposed Scheme provides elements of compensation and incentive though they are not separated. It is not the intention that only the first payment constitutes
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compensation or that the subsequent payments are designed solely as incentives.
In drawing up the proposed Scheme account has been taken of the following special factors:
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the detailed and binding commitments in the Joint Declaration of 1984, which provides that the arrangements set out in Article 3 and elaborated in Annex I will remain unchanged for 50 years, and in particular the commitments regarding continuity in the public service, notably that public servants in all government departments may all remain in employment and continue their service with pay, allowances, benefits and conditions of service no less favourable than before.
the absence of a general programme for localising posts in the public service (ie replacing pensionable expatriate officers by local officers for "localisation" purposes) except as provided in the Hong Kong Limited Compensation Schemey.
Hong Kong's pension laws. Under the new pensions legislation, officers with more than 10 years' service may retire and preserve their entitlement to their earned
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