grant-aided school which owns its own building the approved expenditure may include a percentage, not exceeding 3 per cent. of the capital value of the building, to be used solely for the purpose of a rebuilding fund. Grants may also be made up to 50 per cent. of the cost of new buildings and of major repairs. Local teachers in grant-aided schools receive the same salaries as those in equivalent grades in Government schools, and those with approved British or American qualifications receive the Burnham scale of salaries, irrespective of race or nationality. Five per cent. of their salary is deducted and paid into
a pro- vident fund, to which Government contributes another 5%, since these teachers do not come under a Government pension scheme.
The objects of the Subsidy Code under which subsidized schools operate are three-fold: (a) to enable properly qualified teachers to open schools without running into debt: (b) to keep fees at a reasonable level; and (c) to ensure proper salaries for teachers. Were it not for the subsidy many of these schools would be compelled either to charge high school fees in order to pay their teachers or to balance their budget by paying un- reasonably low salaries and consequently lowering the standard of their tuition. The number of schools receiving subsidy varies from year to year; the size of each subsidy is determined by the school's deficit and is in any case not less than half the difference between expenditure and income. There is more control and direct supervision of subsidized schools than is possible in private schools and in order that they may
secure
the services of better teachers the amount allocated to subsidies has been greatly increased and a revised Subsidy Code is under consideration.
Private schools are those which are not in need of or do not merit Government assistance. A school may at any time. apply for Government subsidy or the Director of Education may approach the school manager and propose a subsidy if it appears that it is in the interests of the children or of the children's parents that this should be done. The private schools vary considerably both in size and character. Education may be conducted in these schools either in English or in Chinese and their enrolments vary from 100 pupils or less to large schools with an attendance of about 1,600 children.
The medium of instruction in schools varies from one
category to another. In some English is the sole language, in
others, Chinese, and a number of schools have classes in both languages. The grant-aided schools mainly use English although in one school the bulk of the teaching is in Chinese. Teaching in subsidized and private schools is usually carried out in Chinese.
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