Chapter 3
FINANCIAL AID TO FAMILIES : THE PRESENT SITUATION
3.1
A social security system, and any proposals for its development, must be related to all social services available in the community. Such proposals must therefore take into account both social security cash payments and the indirect financial aid which is available (known as the "social wage") The social wage provided through the social services is particularly important in those countries, like Hong Kong, where it is a major factor in income redistribution, since it benefits mainly the non tax paying lower income groups.
In assessing the value of the social wage, help provided through voluntary giving and through occupational benefits should also be taken into account.
Social security : cash payments by the Government
3.2
The White Paper "Social Welfare in Hong Kong : The Way Ahead" summarised the proposed development of social security as follows :
3.3
"15.2.
Social security will be provided in 3 separate ways. Firstly, the public assistance scheme will continue to provide help on a means tested basis to those in the community with the least money. Secondly, flat rate, non-contributory, non means-tested allowances will be paid to those sections of the community who are regarded as "vulnerable groups." The first stage of this develop- ment is the new scheme of disability and infirmity allowances. Should this first stage prove successful, consideration will be given to similar allowances to other vulnerable groups such as the chronically sick, and widowed mothers with young children. Finally, emergency relief will continue to be underwritten by the Government as it is at present."
The White Paper also noted (paragraph 6.10) that :
the Government concluded that, if social security in Hong Kong were to be extended beyond public assistance, the right answer at the present time, and as a first stage, would be to press ahead with the development of non- contributory schemes, rather than to delay the extension of social security by attempting to develop a form of contributory social insurance, although the Government retains an open mind as to whether or not such a scheme might ultimately be appropriate for Hong Kong's needs."
The existing social security schemes run by the Social Welfare Department follow the pattern set out in the White Paper. They are the public assistance scheme, the disability and infirmity allowance scheme, the criminal and law enforcement injuries compensation scheme and emergency
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