Pay rises for the 180,000-strong civil service may be pegged to performance under a major overhaul of the administration.
Tung Chee-hwa said a fundamental improvement was needed in the civil service to improve efficiency and help lead the SAR out of difficult times.
He said the Civil Service Bureau had been asked to study: Replacing pensionable employment with contracts; Linking pay rises with performance and reviewing starting salaries and benefits to make them comparable with the private sector; Developing a new culture with emphasis on cost-effectiveness and service; Simplifying rules for disciplinary action against staff and reviewing the appraisal system.
Mr Tung said there had been much criticism of the civil service and calls for improvement from the public who wanted value for money. 'I share a similar view,' he said.
He said a clearer rewards and punishment system must be introduced so the reputation of the hardworking service would not be tarnished by a 'very small number of bad elements'.
Staff would be consulted. Mr Tung said he would supervise the review with Chief Secretary for Administration Anson Chan Fang On-sang and Financial Secretary Donald Tsang Yam-kuen.
The priority was to strengthen the administrative structure and listen more to the public.
