Voluntary move: Chief Executive Donald Tsang says the 33 politically appointed officials will join him to take a voluntary pay cut of 5.38% from July 1.

Chief Executive Donald Tsang says the 33 politically appointed officials will join him to take a voluntary pay cut of 5.38% from July 1.

The Executive Council will also propose a pay cut of 5.38% for civil servants in the upper salary band, and a pay freeze for those in the lower and middle bands.

The proposal has been conveyed to the staff side. The Chief Executive-in-Council will consider the staff sides' responses, and then make a final decision on the 2009-10 civil-service pay adjustment.

Without prejudice to the final decision of the CE-in-Council, any civil-service pay reduction will be implemented by legislation.

Voluntary reduction

ExCo Convenor Leung Chun-ying also announced that ExCo non-official members will take a voluntary 5.38% pay cut.

Speaking to reporters today, Mr Tsang said the Legislative Council's Finance Committee had approved the political appointees' remuneration. It is fixed, without any annual adjustment mechanism.

In deciding political appointees' pay cut level, reference has been made to the latest pay trend survey outcome, he added.

"We do this to show that the team of political appointees is fully prepared to stand shoulder to shoulder with the people of Hong Kong to ride out the current difficult times."

Separate systems

Stressing the remuneration systems for civil servants and political appointees are separate, he said the political appointees' voluntary pay cut should in no way affect the Government's decision on civil-service pay adjustment.

Noting Hong Kong's economy has been badly hit by the financial crisis, Mr Tsang said everyone has been affected in one way or another, and great challenges still lie ahead.

"In the circumstances, the team of political appointees hopes to make clear its commitment to stand together with the public and volunteers a pay cut. I am confident that together we can overcome the current economic difficulties," he added.