| Civil
                                
                                Service Establishment 60.      
                              
                              Since
                                
                                we must strictly control the size of the civil
                                
                                service, we will consider filling existing vacancies
                                
                                or creating new posts only after critically
                                
                                reviewing our manpower situation and exploring the
                                
                                feasibility of other options for service delivery. 
                                
                                In order to implement various policy initiatives and
                                
                                meet the community's increasing demand
                                
                                for public services, the civil service establishment
                                
                                will have slightly expanded to around 162 900
                                
                                by the end of March 2008, an increase of less than 1
                                
                                per cent.   61.      
                              
                              To complement
                                
                                the creation of new posts and to pre-empt possible
                                
                                succession problems arising in the civil service, we
                                
                                will resume open recruitment of civil servants from
                                
                                1 April 2007.  However, the recruitment freeze
                                
                                will continue to apply to those grades covered by
                                
                                the Second Voluntary Retirement Scheme, unless
                                
                                otherwise approved.   62.      
                              
                              It
                                
                                has long been our policy for civil service pay to
                                
                                offer adequate remuneration to attract, retain and
                                
                                motivate staff of suitable calibre who can provide
                                
                                the public with quality services.  By adhering
                                
                                to the principle of broad comparability between
                                
                                civil service and private sector pay, we ensure that
                                
                                civil service remuneration is considered fair by
                                
                                both civil servants and the public.  The
                                
                                Secretary for the Civil Service is now discussing
                                
                                with staff representatives how best to apply to the
                                
                                civil service the findings of the recently-completed
                                
                                Pay Level Survey and develop an improved civil
                                
                                service annual pay adjustment mechanism. 
                                
                                Should a decision be made on a civil service pay
                                
                                adjustment, it is estimated that the 2007?8
                                
                                Budget could meet this need. 
                              
                               
                              
                              
                               
                                
                                
                                
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