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 similar Commission in North Borneo or—an alternative we prefer—that a single Commission should be established for the Borneo territories which would be given executive powers at the end of the transitional period.

(v) One matter which will require consideration at an early date will be whether or not the quota system for recruitment to certain Federal Public Services should be applied in Borneo as it is in Malaya. We consider that this should first be referred to the Advisory Board whose appointment we have recommended in paragraph 164 of this report. We suggest that persons recruited to Federal services after Malaysia comes into being should accept liability for service anywhere in the territories comprising the new Federation.

(vi) We recommend that the Federal services in the Borneo territories should be staffed as far as possible by persons recruited in Borneo. even if this mean that, at any rate for a time, the full qualiﬁcations normally required in Malaya for candidates for each grade of the service cannot always be insisted upon. We would hope, however, that as time goes on and officers now in service retire, there will be opportunities for oficers in the more senior grades, if they so desire, to be transferred to appointments elsewhere in Malaysia either on promotion or to gain wider experience.

(vii) We recommend that a Working Party should be set up at as early a date as possible after a decision on Malaysia has been reached by the United Kingdom and Malaya Governments to consider staff matters generally and the form of liaison desirable on this subject in the relations between the Federal centre and the Borneo territories. Uniformity in salaries, conditions of service and qualifications will take time, but should be regarded as a desirable objective.

(viii) We stress once again how essential it is to encourage British officers to continue in service during the next period.

(ix) Some major departments are already handicapped by staff shortages. We recommend that determined efforts should be made to fill these vacancies and that if necessary the contract terms offered should be reviewed.

169. Both in Sarawak and North Borneo the Commission were able to meet delegations from the associations and unions which represent the majority of officers in the senior and junior branches of Government service. We were very impressed and encouraged by the responsible attitude of these delegations; although primarily interested in the future of the Government staff this did not conceal their real concern for the future welfare of the people of the Borneo territories.

170. One of the main attractions of the Malaysia proposals to the rural population of Sarawak and North Borneo is the vigorous programme of rural development in Malaya which has been given much publicity and has been seen and admired by the many people who have undertaken sponsored visits to Malaya. We are in agreement with the views of our Malayan colleagues in this matter (paragraph 220-228), and we recommend that a Development Board should be set up in both territories as soon as possible after Malaysia is formed with representation of the Federal and State Governments. These Boards should provide a focus for the continuation of the very valuable help which is being given in many ﬁelds by the Commonwealth Governments, by the Colonial Development Corporation, through the Colombo Plan and by various international organisations.