EMPLOYMENT
The initial pension level would be $2,300 a month at 1994 price levels. This would be adjusted as the cost of living increased.
The contribution rate would be 1.5 per cent of assessable income each from employees and employers. The self-employed would meet the total contribution. Persons earning less than $4,000 a month would not have to contribute to the scheme, but would still receive the pension.
The government would make a substantial financial contribution to the scheme, amounting initially to about one-third of the scheme's cost. This would include a one-off capital injection of $10 billion; the savings from the existing normal and higher old age allowances, and the standard rate payable to elderly people under the Comprehensive Social Security Assistance Scheme (amounting to $3.6 billion in 1994); the government's contribution to the scheme as an employer (equivalent to $1.2 billion in 1994); and an annual tax revenue foregone on employers' contributions to the scheme (estimated at $800 million at 1994 price levels).
The scheme would be run by a new, non-civil service, public agency.
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The government would also continue to promote voluntary occupational retirement schemes. Under the Occupational Retirement Schemes Ordinance, all existing schemes operating in, or from, Hong Kong have to apply for registration or exemption with the Registrar of Occupational Retirement Schemes by October 15, 1995. At the year's end, 1 111 schemes had been registered, while 42 schemes were exempted.
Labour Administration and Services
The Labour Department, headed by the Commissioner for Labour, is responsible for implementing labour policies and enforcing labour legislation.
These objectives are achieved through the promotion of the safety, health and welfare of the working community as well as the promotion of harmonious labour relations, safeguarding of the rights and benefits of employees and the provision of free employment services and careers guidance.
The Registry of Trade Unions, formerly an independent government department, became part of the Labour Department in 1994.
Labour Conditions
The employment of children aged under 15 years is prohibited in the industrial sector. Children aged 13 and 14 years may take up employment in non-industrial establishments, subject to the condition that they attend full-time schooling if they have not yet completed Secondary 3, and other provisions which are aimed at protecting their safety, health and welfare.
Working hours, night work, rest periods and overtime work for women and for young persons aged below 18 years, in industrial establishments, are strictly regulated by law for their protection.
The Labour Inspectorate of the Labour Department is responsible for monitoring employers' compliance with requirements in the Employment Ordinance relating to the employment of women and young persons, payment of wages, annual leave and statutory holidays, sickness allowance and maternity protection. The ordinance applies to both local and foreign workers.
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