Civil Servants (Lump Sum Compensation Schemes)

HC Deb 31 May 1960 vol 624 cc1162-3

25. Mr. Tilney

asked the Secretary of State for the Colonies whether the recommendation contained in Annex II, paragraph III 6 (b) in the report of the Nigeria Constitutional Conference, 1957, to the effect that lump sum compensation should be computed with reference to an officer's final pensionable emoluments, is still operative.

The Secretary of State for the Colonies (Mr. Iain Macleod)

In undertaking a review of pensionable salaries last year the Nigerian Governments attached a condition that the review should not affect pensionable emoluments for the purpose of the lump sum compensation schemes. Since without this condition no review would have been held, my predecessor accepted it as a variation of the arrangements made with the Nigerian Governments at the 1957 Constitutional Conference.

Mr. Tilney

Will my right hon. Friend bear in mind that the comparatively low level of salaries in the last three years has been accepted by overseas civil servants in the belief that they would be compensated by the lump sum compensation? Does not this call in doubt the value of all agreements with emerging territories to the detriment of the morale of civil servants, and why has not this been announced before?

Mr. Macleod

With respect, I think that my hon. Friend goes too far. The dilemma which obviously faced my predecessor was that unless he agreed to this variation of the 1957 Agreement there would have been no review, there would have been no more compensation paid and the officers would not have received the increase in pensionable salary which they now have. Bearing that in mind, and looking back on it. I am sure that his decision was in their interests.

Dame Irene Ward

Will my right hon. Friend tell me whether the "dilemma" is not really the Treasury?

Mr. Macleod

Not at all. The Government of Nigeria in this instance were more than reluctant, they did not intend to have a review of this sort unless it did not apply to the category to which the Question of my hon. Friend is directed. Therefore, if my predecessor had not accepted this decision there would have been no salary review.