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SOCIAL WELFARE
A package of improvements to the scheme was introduced in January. Major changes include an improved sliding scale of basic allowance for families, a long-term supplement at a higher rate for families with five or more members, an allowance in the form of disregarded earnings for able-bodied recipients in regular employment and a meal allowance for students attending full-day school and taking meals away from home.
The rates of assistance were increased by 10 per cent in April to keep up with the cost of living. The current monthly basic allowance is $560 for a single person, $420 for each of the first two eligible members of a family, $410 for each of the next two eligible members and $400 for each additional eligible member. Separate allowances are paid to cover the cost of accommodation. An old-age supplement, a disability supplement and a long-term supplement may also be given. A monthly old-age supplement of $280 is given to those aged 60 to 69 and $320 to those aged 70, and over who are not receiving a disability supplement or a Special Needs Allowancé. 'A disability supplement of $280 per month is payable to those who are partially disabled with at least 50 per cent loss of earning capacity and are not in receipt of an old-age supplement or a special needs allowance. An annual long-term supplement of $710 for a single person, $1,420 for a family with two to four members or $2,130 for a family with five or more members is given to those who have received public assistance continuously for 12 months to enable them to meet the cost of replacement of household wares and durable goods. In addition, specific supplements are given to certain categories of clients to meet other special needs. To encourage self-help, an individual's earnings up to $420 per month are disregarded in the calculation of entitlement for assistance.
At the end of 1988, the number of public assistance cases was 64 600, compared with 63 180 in 1987. Expenditure on public assistance in the 1987-8 financial year amounted to $706 million, an increase of 4.1 per cent over the previous year.
The Special Needs Allowance Scheme provides some degree of financial assistance in the form of flat-rate allowances to the severely disabled and the elderly. Any person, regardless of age and financial means, who is severely disabled and has resided continuously in Hong Kong for at least one year immediately before claiming the allowance is eligible for a disability allowance. To be eligible for an old-age allowance, a person must have resided continuously in Hong Kong for at least five years prior to attaining the qualifying age.
On April 1, a 'higher disability allowance', which is twice the rate of the disability allowance, was introduced to help those severely disabled persons aged 60 and above who require constant attention from others in their daily life but are not receiving such care in a government or subvented institution. The current monthly rate of the disability allowance is $560 and that of the higher disability allowance is $1,120.
Old-age allowance is non-means-tested for those aged 70 and above who are entitled to a higher rate of $320 per month as from April 1. From September 1, old-age allowance was extended to those aged 68 to 69. The qualifying age will be further lowered by phases to 65 in 1991. A lower monthly rate of $280 is payable to those aged 68-69, subject to a declaration that their income and assets do not exceed the prescribed levels.
The number of people receiving disability and old-age allowance at the end of the year was 361 500, compared with 305 490 at the end of 1987. Expenditure on special needs allowance in 1987-8 financial year was $1,002.8 million, an increase of 3.9 per cent over the previous year.
The Criminal and Law Enforcement Injuries Compensation Scheme provides cash assistance for people injured and for dependants of those killed in crimes of violence, or through the action of law enforcement officers in the execution of their duties. The scheme,