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The Committee notes the detailed information supplied by the Government in its report, as well as the observations of the Hong Kong Confederation of Trade Unions (HKCTU) and the reply of the Government thereto.

1. Article 7 of the Convention. The Committee takes note of the information provided by the Government on the functioning, in practice, of the consultation and collective bargaining machinery. It further notes the comments by the HKCTU indicating that it does not share the Government's view that the machinery has worked well and that the present system should be replaced by collective bargaining.

The Committee would recall, however, that Article 7 requires measures appropriate to national conditions to be taken for the development and utilization of machinery for negotiation or of such other methods allowing staff representatives to participate in the determination of their employment conditions. It observes that consultative machinery is in place at the central, departmental and personal levels which allows staff representatives to participate in the determination of civil service employment matters.

2. Article 8. The Committee notes the HKCTU's statement that it does not believe that the principles of the Convention pertaining to dispute settlement have been applied to the settlement of disputes in the public services. The decision to establish an independent committee of inquiry to resolve a dispute rests with the Governor, and he has often been unwilling to do so.

The Committee recalls that under Article 8, the settlement of disputes should be sought "through negotiation between the parties or through independent and impartial machinery ..., established in such a manner as to ensure the confidence of the parties involved". It observes in this respect the Government's reply, that disputes between the Government and the staff side are settled through consultation and continued dialogue and that, where they cannot be resolved after full and proper consultation, and after exhausting other existing administrative channels, the matter can be referred to an independent committee of inquiry under the 1968 Agreement made between the Government and the three main staff associations. Moreover, to ensure impartiality, both parties can each nominate a member to the committee, the Chairman of which will be appointed by the Governor of Hong Kong. The Governor can decide to invoke a committee of inquiry or the staff side can request him to do so. However, it is laid down in the Agreement that such a committee will not be invoked on a matter which is trivial, of settled public policy, or which affects the security of Hong Kong.

The Committee trusts that in future, the principles of the Convention will be applied to the settlement of disputes in the public service, so as to ensure the confidence of the parties involved.