27-
X
particular, a proper actuarial costing would be required to
determine rates of contribution and hence the benefits available
under-the scheme. The aim would be, however, to keep
contributions low (of the order of 2% employees, 2% employers)
with benefits pitched to correspond to the low rate of
contributions.
This should be possible, since the scheme is
designed to provide protection during working life rather than
a benefit for retirement. Informal discussions with employees
and employers association have indicated that the response to
a voluntary contributory scheme would be non-committal or
even welcoming in principle rather than hostile.
36.
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freeze his membership by ceasing to contribute to
Is this unemblyment
beneft?
It is suggested that the main features of the scheme
might be along the following lines:
a) Person able to join the scheme
i) Any person in work, apart from the self-
employed, would be entitled to join in respect
of that employment, unless he were working for
a contracted-out employer.
ii) An employer could contract-out of the scheme
if he could show that the benefits available
as an occupational benefit to a particular
employee or class of employees were at least
as good as those provided under the scheme.
iii) An employee could opt to leave the scheme. If
he did, he would cease to be eligible for
benefit, apart from retirement benefit reduced
contribution bo in relation to his period of membership in the
scheme. Alternatively, he could withdraw
entirely from the scheme, in which case he
would receive back his own contributions plus
proportion of the employere-contributions -
what happen lithe amply scentslutn