15
WEDNESDAY, MAY 13, 1987
+THERE ARE MANY OPPORTUNITIES FOR PRIVATE SAVINGS FOR BOTH SMALL AND LARGE INVESTORS, WHICH ALLOW THE INDIVIDUAL TO BALANCE THE RATE OF RETURN AGAINST THE RISK ACCORDING TO HIS PARTICULAR NEEDS AND PREFERENCES,+ MR BRIDGE SAID.
IT IS NOT CERTAIN THAT COMPULSORY TRANSFER OF A PORTION OF HIS SAVINGS TO A PROVIDENT FUND WOULD BRING HIM ANY REAL BENEFIT.+
ON THE OTHER HAND, COMPULSORY SCHEMES, WHETHER CENTRALISED OR DECENTRALISED, COULD NOT PROVIDE ANY DEGREE OF ADDITIONAL SECURITY TO THOSE WHO HAD NOT BEEN IN REGULAR EMPLOYMENT, OR WHOSE EARNINGS HAD CONSISTENTLY BEEN LOW IN OTHER WORDS PRECISELY THOSE WHO WERE LIKELY NOW TO RELY ON PUBLIC ASSISTANCE, HE ADDED.
HE SAID THAT TWO WORKING GROUPS HAD BEEN ESTABLISHED WITHIN THE ADMINISTRATION TO EXAMINE ALTERNATIVES.
+THE PROPER TIME TO EXPLORE OPTIONS IS BEFORE A DECISION IS TAKEN AND THAT IS OUR OBJECTIVE, HE SAID.
MR BRIDGE ALSO SAID THE REVIEW PAPER REFERRED IN GENERAL TERMS TO A POSSIBLE ALTERNATIVE STRATEGY.
MR BRIDGE SAID IMPROVEMENT OF THE EXISTING FRAMEWORK OF SOCIAL SECURITY PROVISION WAS ONE ELEMENT IN SUCH A STRATEGY WHILE ENCOURAGEMENT FOR THE ESTABLISHMENT OF PRIVATE PROVIDENT FUND SCHEMES ON A VOLUNTARY BASIS WAS A SECOND ELEMENT.
+THE LONG SERVICE PAYMENT PROVISIONS INTRODUCED INTO THE EMPLOYMENT ORDINANCE LAST YEAR HAVE ALREADY PROVIDED A SIGNIFICANT INCENTIVE TO THE SETTING UP OF COMPANY SCHEMES, SINCE THE EMPLOYER'S LIABILITY MAY BE OFFSET AGAINST HIS CONTRIBUTION TO ANY PAYMENT FROM AN APPROVED PROVIDENT FUND OR RETIREMENT SCHEME, HE SAID.
HE STRESSED THAT THE PROPER TIME TO EXPLORE ALL THE OPTIONS WAS BEFORE A DECISION WAS TAKEN, AND IMPROVING THE LONG SERVICE SCHEME WAS CLEARLY ONE OF THE CHOICES OPEN.
*THE GOVERNMENT HAS NOT YET MADE UP ITS MIND ON THIS ISSUE AND IS GENUINELY OPEN TO ALL POINTS OF VIEW, MR BRIDGE SAID,
+THE SCOPE FOR FURTHER CONSULTATION, INCLUDING THE POSSIBILITY OF A COMMISSION, WILL BE ONE OF THE ISSUES WHICH THE EXECUTIVE COUNCIL WILL WISH TO CONSIDER BEFORE A FINAL DECISION IS TAKEN, HE SAID.
/16