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The Political Appointments System is a scheme introduced in 2008 by the Government of the Hong Kong SAR to reinforce its ministerial team by inserting two layers of senior political officials between ministers, who are political appointees, and the permanent secretaries, the highest-ranking civil servants. The appointment of undersecretaries and political assistants is an extension of the Principal Officials Accountability System that was initially confined to principal officials.¹ Prior to the introduction, there were 14 political appointees—3 Secretaries of Departments and 11 Directors of Bureaux.

The 24 newly created non-civil-service positions under this system comprise 11 undersecretaries and 13 political assistants.² All the posts were created, ostensibly to work closely with bureau secretaries and top civil servants to implement the Chief Executive's policy blueprint and agenda in an executive-led government. Eight new undersecretaries were named on 20 May, and nine political assistant appointments were announced on 22 May 2008.

There was widespread criticism of four aspects of the appointments: the nationality, salary, experience of appointees, and the transparency of the recruitment process. The government admitted that "the announcements were poorly handled".³ Donald Tsang was forced to make a grudging apology.⁴ The public furore led Chinese Vice President Xi Jinping to refer to "the recent difficulties", and to urge Tsang to "govern sensibly and reasonably".⁵

Background

On 26 July 2006, the government issued its proposal for political appointees,⁶ under which two new posts, Deputy Directors of Bureaux and Assistants to Directors would be added to the political appointment layer for each of Hong Kong's 11 policy bureaux. Thus, each Director will be assisted by the two new appointees constituting the political team; civil servants would carry out the administrative and executive tasks of the Government.⁷

There was some confusion on the launch of the consultation paper: Chief Executive Donald Tsang had informed the press corps on 17 July, during his Singapore trip, that the proposal would be launched at the end of the summer vacation. However, its passage through the Executive Council was reportedly hastened as a result of the heightened debate on universal suffrage driven by Regina Ip and Anson Chan,⁸ undeclared candidates in the Hong Kong Island by-election, 2007.

Launching a four-month public consultation, Secretary for Constitutional and Mainland Affairs, Stephen Lam, said all current permanent and deputy secretaries would continue with their duties such as studying, justifying and designing government policies, while the newly appointed deputy directors would assist bureau chiefs in liaising with legislators and provide political input in policy formulation and implementation; the assistants to bureau directors would line up suitable appointments to help bureau chiefs reach out to the community.⁷ This proposal appeared to coincide with the ideas contained in a study by the Bauhinia Foundation to increase civic engagement launched in early July 2007.⁹

Lam said that the appointments would not be limited to members of pro-government political parties. He said, however, that candidates for the new posts must support the manifesto and ruling philosophy of the Chief Executive. The government declared a broader objective of widening and grooming the pool of political talent, in preparation for universal suffrage.⁷ These new posts would be open to candidates from within or outside the civil service, and with or without political background. Offered as a further safeguard to neutrality of the civil service, Lam further detailed that there would be no "revolving door" - civil servants taking up these political posts would leave the civil service and be barred from returning.⁷¹⁰

It was proposed that a Deputy Director be paid 65–75% of the salary received by a bureau chief, or between HK$193,774 and $223,586 (US$ 25,000–28,700) a month; an assistant would receive 35–50% of the bureau chief's salary, or between HK$104,340 and $149,057 a month.⁷ Their contracts would expire no later than 30 June 2012.¹¹ In addition to HK$11.9 million for personal secretaries and drivers, the total annual cost would be about HK$60 million.⁷

Initial reaction to the proposals

Frontier convenor Emily Lau said the requirement for new appointees to agree with the chief executive's philosophy suggested the government was merely looking for a way to offer well-paid jobs to its supporters. Democratic Party chairman Lee Wing Tat said the proposal was tailor-made for the DAB.⁷

Margaret Ng of the Civic Party expressed concern that the political appointments would only further delay the move towards universal suffrage, as it would encourage people to align themselves to a pro-government party. She doubted that it would nurture independent and civic-spirited individuals, as it "excludes those who do not blindly support the chief executive."⁷

Finalised proposals

The government released a report on the subject,¹² ostensibly after taking into account the views received during the public consultation.¹³ On 14 December 2007, the Legislative Council Finance Committee approved the government expenditure for the appointments.¹⁴

Announcement of appointments

The government named eight newly-appointed undersecretaries on 20 May, and nine Political assistants on 22 May 2008 as part of the Chief Executive's policy blueprint and agenda in an executive-led government. Tsang described the appointments as a millstone in the development of Hong Kong's political appointment system.¹¹

Three appointees were members of the Beijing-friendly DAB, one from the Liberal Party,¹⁵ two were associated with the Bauhinia Foundation. According to corporate governance activist David Webb, no fewer than 7 of the appointees had been identified by the press as being close to the Foundation, which lobbies for a range of big business and Beijing central government friendly proposals.¹⁶

Undersecretaries

The undersecretaries are appointed under the political appointment system on non-civil service terms for the period ending 30 June 2012.¹¹¹⁷

Political assistants

The political assistants are appointed under the expanded political appointment system on non-civil service terms for the term ending 30 June 2012.²¹²²

Controversies

Nationality row

A row immediately ensued when the Democrats sought to attack Gregory So and other appointees over their foreign passports.²³ The government maintained that this was not prohibited by the Basic Law. Donald Tsang said the Basic Law's right-of-abode requirements only applied to a small number of principal officials of the Government and the Judiciary. Tsang added that restricting the posts to those without overseas abode rights would be detrimental to the aim of absorbing and grooming more talented political hopefuls.²⁴

"The Hong Kong situation is unique – as long as you live in Hong Kong for seven years, you can be a voter as well as undersecretary," Executive Council convener Leung Chun Ying said. "The Basic Law does not differentiate political and non-political appointments. It only requires the chief judge to be a Chinese and less than ¹⁄₅ of the Legislative Council members have foreign nationality," Leung added. He said it would be improper to add further requirements outside what the Basic Law has specified.²⁵

Albert Cheng argued that the Democratic Party's stance was putting the principle of "one country, two systems" at risk.²⁶ An editorial in The Standard said that a nationality restriction would reduce the pool of potential talent available for government, and accused "the opposition" of singling out So because of his membership of the DAB.²³

However, there was a tide of criticism from three former senior government officials, amongst others, of the government's handling of the new political appointees: former Treasury Secretary John Chan said the government was "politically insensitive" while Regina Ip said the administration displayed "political misjudgement"; former Secretary for the Civil Service Joseph Wong said the public has the right – and expectation – to know" about the nationalities and salaries of the appointees.²⁷

The government had asked appointees not to make individual comments on the matter. However, on 29 May, Gregory So broke silence and said he would renounce his Canadian citizenship; Raymond Tam surrendered his British Overseas Passport.²⁸ As at 4 June 2008, five undersecretaries had declared they were giving up their foreign passports citing public opinion as an overriding factor, and one assistant had also initiated the renunciation process.²⁹

Transparency issue

No sooner that the nationality row had been quelled, another one erupted over appointees' individual quantum salary levels, as well as whether they were justified. Up to that point, the government had only banded the disclosure that undersecretaries would be paid monthly stipend of between HK$193,773 to HK$223,586, and that political assistants would receive between HK$104,340 and HK$163,963 for their services.²³⁰ Citing common practices in the private sector and in overseas governments, Tsang said the Government would not release individual salaries to "avoid unnecessary comparison" and in the respect of individuals' right to privacy.²⁴ On 5 June, the South China Morning Post lodged a complaint with the Ombudsman for access to information on appointees salaries.³¹

Pressure for disclosure continued to mount, and on 10 June 2008, the new-appointees all came forth and revealed their salaries. The Government news release stated that the appointees had "voluntarily disclosed their salaries, given the sustained public interest in the issue."¹⁸ Political commentator Frank Ching criticised the government's cowardice for hiding behind the appointees.³²

On revealing the individual salaries of the appointees, the government faced further questions about the apparent lack of relevant experience of some appointees.³³ Citing the example of Paul Chan, reportedly earning between HK$20,000 and 30,000 [in the private sector], Liberal Party leader James Tien said it was "unreasonable to see that he will be earning at least $130,000."³⁴ Democrats continued to pressure the government for information on its precise selection standards and how it scored the new appointees,³⁵ and the factors determining their pay; CEO of CLP Group, and Chairman of Hong Kong General Chamber of Commerce, Andrew Brandler, said the government should have been transparent from the outset.¹⁵

Pan-democrats continued to charge that the recruiting of political appointees was a "black-box operation", but Chief Secretary Henry Tang defended the transparency of the process.³⁶ Donald Tsang said that the public had been "widely consulted" on the proposal. Tsang added: "Although the mechanism is different from that of civil servants, impartiality and internal checks and balances were already included – [the appointments had been] scrutinised and approved by a recruitment committee."³⁷

Government responses and apology

Director of the Chief Executive's Office, Norman Chan, admitted the government had underestimated the public reaction on the nationality of political appointees. Chan said the appointees' pay scale was geared to attracting the most capable candidates.³⁸ He stressed the salaries could not be compared with those of civil servants, who had housing, travelling and other allowances. The salaries of undersecretaries were roughly the same as those of directorate four civil servants. They would enjoy a pay review in two years, but without guarantee of an increase.³⁸

Donald Tsang apologised for the government's bungled announcement of new political appointees, saying: "With hindsight, I admit the arrangements in this regard did not fully meet public expectations, and I apologise for the controversy this has caused."³⁹ Tsang apologised for not having arranged for the new appointees to meet the public, whilst maintaining there were important points of principle to defend vis à vis the appointees' remuneration and nationalities.⁴⁰ Reacting to criticism from Joseph Wong, he said "...the most stupid thing is to have politics override law and to give up some principles for the sake of political convenience. In the long run, these are the biggest mistake in politics and stupidity."³⁹ Tsang's apology was seen as 'grudging' and 'reluctant'.⁴

In a continued attempt to contain the row, Stephen Lam said on 16 June that the future appointees would be contractually bound to reveal their salaries and be advised to disclose their nationalities. He also stated that their pay could be adjusted upwards or downwards, and that their contracts could be terminated on one month's notice.³

Scope issue

The row refused to subside even after the official apology for the mishandling. The lack of clarity of the appointees' scope of responsibilities, and the need for another layer of bureaucrats, has also been questioned.³³ Although salaries of the appointees has been blown out of proportion, according to Andrew Brandler, he suggested that "the government was put in a tight spot because the role of the new appointees is undefined."¹⁵ Leading figures in education lamented the "waste of HK$4m" for their sectorial deputies, and expressed their concern about the exact roles Kenneth Chan and Jeremy Young would play. A source within the Education Bureau was quoted as saying there was surprise in government: "...a lot of people are asking why they are worth being paid that much."³³

An editorial in The Standard remarked that the criticism from former senior civil servants was a reflection of the fact that top civil servants, who used to be responsible for their respective domains, had needed to get accustomed to the changes in their responsibilities. It further suggested that administrative officers might take even longer to accept the undersecretaries and political assistants in view of their limited political experience and regardless of their potential.¹

Salary comparison

Political observer Michael Chugani said there was no "single credible reason why these novice politicians are being paid more than heads of state of some countries."⁴³ Lau Ngai-keung was sceptical that political appointments would help to foster local political talent, noting that such appointees may earn up to six times more than Legislative Councillors.⁴⁴ Tsang asked the public not to make a hasty judgement at this early stage, as there was no completely objective standard to judge appointees' value except by their performance. ³⁷

The appointment set off wage rise claims from unions representing civil servants. In September 2008, the HK Federation of Civil Service Unions said that political assistants remuneration levels was seriously damaging morale within the civil service. Its chairman said "many civil servants with years of professional management experience are not paid at [the level of 28-year-old novice Paul Chan']", and petitioned the government to have the pay levels independently reviewed.⁴⁵

Other criticisms

An opinion piece in the Asia Times suggested the scheme would reward loyalists, bolster support for Tsang and please Beijing, under cover of fostering political talent. Only two of the eight new deputies have professional backgrounds that can recommend them for the position, thus reminding the author of the Chief Executive's "bent to surround himself with lightweight, Beijing-friendly political lackeys loathe to offer dissenting views."⁴⁶

Frank Ching believes that the system of political appointees has eroded the importance of the civil service, the highest-ranking of whom now implement policies instead of draw them up. He implied that the decline in morale since 2002, due to three successive layers of political appointees being introduced, has caused once loyal and silent bureaucrats such as John Chan and Joseph Wong to criticise the government vocally.³² Anson Chan said that Tsang had failed to understand the real concerns of citizens. "The fiasco highlights the unsustainability of a political appointment system that lacks a popular mandate."⁴⁷

In an op-ed, Joseph Wong said Legislative Councillors shared the blame by having given the government "unfettered discretion" for the nomination process. He observed that when the proposed scheme was before Legco, councillors failed to ask the government to explain or clarify what specific criteria or guidelines the Appointments Committee and principal officials would use.⁴⁸

On his official visit to Hong Kong in July 2008, Vice President Xi Jinping issued a thinly-veiled criticism of Tsang, advising him how the "difficulties" he faced [in making the appointments] could be overcome:⁵

Leglislative Council debate to force disclosure

The Democratic Party tabled a motion to invoke Legislative Council (Power and Privileges) Ordinance to force the government to disclose the criteria for choosing and justification for making each appointment, and for determining their remuneration. It was scheduled for a vote on 26 June 2008.

Donald Tsang delivered an unprecedented 20-minute speech prior to the start of the debate on a motion tabled by Lee Wing Tat in an attempt to quell the criticism. Tsang lectured the chamber about there having been "excessive" argument about the subject. "It is about time we put an end to it... We should dedicate all our energies to the things that are important to the people of Hong Kong, especially the livelihood issues," Tsang said.⁴⁹³⁷ Tsang denied Norman Chan had shown favouritism during the selection process, saying "It was unfair to those appointees who were identified as Chan's people. Chan knows people from various sectors." After his speech, Tsang refused to take questions; his speech was followed by those by the Chief Secretary and the Secretary for Justice.⁴⁹

Lee's motion was defeated, as expected (22:29:1), after some seven hours of heated debate. The Standard observed that Tsang's attempt to assert his leadership had backfired.⁴⁹ Tsang's performance was criticised as "dismissive" and "contemptuous" by the Legal sector legislator, Margaret Ng.⁵⁰

References

^ ^a ^b Mary Ma (4 June 2008). "It pays to be forward looking". The Standard.
^ ^a ^b Bonnie Chen (4 March 2008). "No hurry to present new deputy ministers". The Standard.
^ ^a ^b Ambrose Leung (17 June 2008). Tsang's assistant may face Legco censure", South China Morning Post. pp. Pg A3.
^ ^a ^b Chris Yeung (11 June 2008). It's going to take more than an apology to end the controversy, South China Morning Post. pp. Pg A3.
^ ^a ^b ^c Ambrose Leung & Fanny Fung (8 July 2008). Xi tells Tsang to 'govern sensibly', South China Morning Post. pp. Pg A1.
^ Consultation Document on the Further Development of the Political Appointment System, Hong Kong Government, July 2006, http://www.info.gov.hk/archive/consult/2006/pa_consultation_e.pdf
^ ^a ^b ^c ^d ^e ^f ^g ^h ⁱ Michael Ng (27 July 2006). "Attracting new political talent `from all sectors'". The Standard.
^ Carrie Chan (27 July 2006). "Tsang gambles on political appointees". The Standard.
^ Carrie Chan (14 July 2007). "Rethink public dialogue, says study". The Standard.
^ "Report Details Way Forward for Further Development of Political Appointment System". Economic & Trade Office, Hong Kong Government (17 October 2007).
^ ^a ^b ^c Diana Lee (21 May 2008). "High hopes for appointees"". The Standard.
^ Report on Further Development of the Political Appointment System, Hong Kong Government, 17 October 2007, http://www.cmab.gov.hk/doc/issues/report_en.pdf
^ 2 more tiers of political appointees proposed, Constitutional Affairs, Hong Kong Government, 17 October 2007, http://www3.news.gov.hk/isd/ebulletin/en/category/administration/071017/html/071017en01005.htm
^ Appointments, Hong Kong Government, 17 December 2007, http://www.news.gov.hk/en/category/administration/html/71209ff0-142f-43bd-89a1-756fb4864618.htm
^ ^a ^b ^c Bonnie Chen (6 June 2008). "New politicos pay row 'overblown'". The Standard.
^ David Webb (13 June 2008). "Who is the Bauhinia Foundation?"". The Webb-site.
^ CE appoints Under Secretaries, Hong Kong Government, 20 May 2008, http://www.info.gov.hk/gia/general/200805/20/P200805200121.htm
^ ^a ^b Political appointees disclose salaries, Hong Kong Government, 10 June 2008, http://www.news.gov.hk/en/category/administration/080610/print/080610en01002.htm
^ ^a ^b ^c ^d renunciation announced 4 June 2008: Albert Wong et al (5 June 2008). Deputy ministers give up passports, South China Morning Post. pp. Pg A2.
^ ^a ^b renounced 29 May 2008: Albert Wong et al (30 May 2008). Five of government's eight new deputies in citizenship dilemma, South China Morning Post.
^ CE appoints Political Assistants, Hong Kong Government, 22 May 2008, http://sc.info.gov.hk/gb/www.info.gov.hk/gia/general/200805/22/P200805220190.htm
^ Bonnie Chen (23 May 2008). "Media muscle in on political posts"". The Standard.
^ ^a ^b Mary Ma (29 May 2008). "Passport to political maturity". The Standard.
^ ^a ^b "Under secretaries' recruitment lawful: CE", Hong Kong Government (31 May 2008).
^ Bonnie Chen (28 May 2008). "Exco Convenor downplays appointees' nationalities". The Standard.
^ Albert Cheng (31 May 2008). Structural problem, South China Morning Post.
^ Bonnie Chen (3 June 2008). "Ex-officials on attack". The Standard.
^ Bonnie Chen (30 May 2008). "Two surrender foreign passports to defuse row". The Standard.
^ Ambrose Wong et al (5 June 2008). Deputy Ministers give up passports, South China Morning Post.
^ Bonnie Chen (23 May 2008). "Media muscle in on political posts"". The Standard.
^ Fanny Fung (6 June 2008). Complaint filed over secrecy on salaries, South China Morning Post. pp. Pg A1.
^ ^a ^b Frank Ching (17 June 2008). Undermining the once-cherished civil service. pp. Pg A12.
^ ^a ^b ^c Will Clem (14 June 2008). Political appointees 'a waste of HK$4m', South China Morning Post. pp. Pg E1.
^ Eva Wu (5 June 2008). Liberal chief questions big pay rises for political assistants, South China Morning Post. pp. Pg A2.
^ Bonnie Chen (12 June 2008). "Come clean on new jobs, say democrats". The Standard.
^ Fanny Fung (21 June 2008). "Recruiting of political appointees was transparent, Henry Tang says", South China Morning Post.
^ ^a ^b ^c "CE calls for appointment dispute to stop" (26 June 2008).
^ ^a ^b Bonnie Chen (6 June 2008). "We should have done it better!". The Standard.
^ ^a ^b Bonnie Chen (11 June 2008). "Chief apologises over salary secrecy". The Standard.
^ Gary Cheng & Ambrose Leung (11 June 2008). Tsang offers partial apology on appointees, South China Morning Post. pp. Pg A1.
^ Appointees' high salaries at odds with lack of experience, South China Morning Post. 18 June 2008.
^ Michael Chugani (16 July 2008). Novices' salary, "Public Eye", South China Morning Post. pp. Pg A2.
^ Michael Chugani (2 July 2008). Tsang is still dropping the ball on the aid issue, "Public Eye", South China Morning Post. pp. Pg A2.
^ Lau Ngai-keung (31 July 2008). Young guns politicians should never give up, "Observer", South China Morning Post. pp. Pg A14.
^ Fanny Fung & Eva Wu (11 September 2008). "Civil servants urge review of political assistants' pay level", page A3, South China Morning Post.
^ Kent Ewing (3 June 2008). "Hong Kong deputies disappoint". Asia Times.
^ staff reporter (7 July 2008). "Hong Kong's top democracy lawmaker will not seek reelection". AFP.
^ Joseph Wong (19 June 2008). Asleep at the wheel, South China Morning Post. pp. Pg A15.
^ ^a ^b ^c Bonnie Chen (27 June 2008). "Chief's plea falls on deaf ears", The Standard.
^ ^a ^b Margaret Ng (3 July 2008). Dismissive leadership is failing Hong Kong, South China Morning Post. pp. Pg A13.

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