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WEDNESDAY, MAY 13, 1987
BEFORE A DECISION WAS MADE, HE SAID, CAREFUL CONSIDERATION SHOULD BE GIVEN TO FIVE POINTS THE NEEDS OF EMPLOYEES, EMPLOYERS' CONSIDERATIONS, PRACTICAL PROBLEMS, THE PROS AND CONS OF A CENTRAL PROVIDENT FUND IN ECONOMIC TERMS AND THE SOCIAL IMPLICATIONS OF SUCH A FUND.
HE SAID THAT A DETAILED ANALYSIS OF THESE FIVE POINTS SHOWED THAT THE ISSUE OF A CENTRAL PROVIDENT FUND WAS SIMPLY A QUESTION OF +PROPER MANAGEMENT AND ON WHOM THE RESPONSIBILITY OF MANAGEMENT SHOULD FALL+.
HE SAID THAT INSTEAD OF ASKING THE GOVERNMENT TO SET UP A CENTRAL BODY TO MANAGE THE FUND, IT WOULD BE BETTER FOR THE GOVERNMENT TO ENCOURAGE THE FURTHER DEVELOPMENT OF A PRIVATE PROVIDENT FUND SYSTEM ON ITS EXISTING BASIS.
HE SAID BASIC LEGISLATION ON THE PROVIDENT FUND SHOULD BE ENACTED TO PROVIDE A BASIS FOR RESOLVING THE PROBLEMS OF FUND MANAGEMENT.
HE SUGGESTED THAT THE FUND SHOULD BE TRANSFERABLE ON CHANGE OF EMPLOYERS IN ORDER TO FOSTER HEALTHY COMPETITION AMONG EMPLOYERS OF THE SAME TRADE.
THE GOVERNMENT SHOULD PLAY A SUPERVISORY ROLE IN MONITORING AND PROVIDING GUIDANCE FOR THE MANAGEMENT OF PRIVATE PROVIDENT FUND TO GUARD AGAINST EMBEZZLEMENT AND TO PROTECT THE INTERESTS OF EMPLOYEES.
HE ADDED THAT THE GOVERNMENT SHOULD FORMULATE, ON THE BASIS OF THE EXISTING SOCIAL WELFARE SERVICES, A COMPREHENSIVE POLICY FOR THE ELDERLY, WITH PARTICULAR EMPHASIS ON THE PRINCIPLE OF RESPECTING AND PROVIDING FOR THE AGED, THE EXPANSION OF RECREATIONAL AND MEDICAL FACILITIES FOR THE ELDERLY, THE PROVISION OF ADDITIONAL HOUSING UNITS FOR THE AGED AND THE ALLOCATION OF APPROPRIATE SUBVENTIONS TO HOMES FOR THE ELDERLY.
MR CHUNG ALSO SUGGESTED THAT THE EXISTING LONG SERVICE GRATUITY SCHEME SHOULD BE FURTHER IMPROVED.
IT WAS MOST IMPORTANT TO ADD A NEW PROVISION TO THE EFFECT THAT IF AN EMPLOYEE VOLUNTARILY TENDERED HIS RESIGNATION WITH JUSTIFIED REASON, HE SHOULD BE OFFERED THE LONG SERVICE GRATUITY ACCORDINGLY, HE SAID.
THE PURPOSE OF REVISING THE LEGISLATION WAS TO PREVENT EMPLOYERS FROM FORCING THEIR EMPLOYEES TO RESIGN AND TO DULY PROTECT THE INTEREST OF EMPLOYEES CONCERNED.
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