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WEDNESDAY, MAY 13, 1987
SIMILARLY, THE NUMBER OF PEOPLE AGED 70 AND ABOVE RECEIVING PUBLIC ASSISTANCE ALLOWANCE INCREASED FROM 18 810 IN 1976 TO 31 736 IN 1986, BUT THE FIGURES WERE WRITTEN AS 13.2 PER CENT IN 1976 AND 12.8 PER CENT IN 1986.
DR LAM SAID HE AGREED THAT THE ESTABLISHMENT OF A CENTRAL PROVIDENT FUND WAS AN INTERNAL MATTER OF HONG KONG.
+THE MAJORITY OF HONG KONG PEOPLE ARE IN FAVOUR OF SETTING UP THE FUND. IT WILL NOT BRING ABOUT ANY DRASTIC CHANGES TO OUR SOCIETY AND THERE IS NO PROBLEM OF CONVERGENCE WITH THE BASIC LAW, HE SAID.
+ABOVE ALL, THERE IS AN ACTUAL NEED FOR THE SETTING UP OF SUCH A FUND WHICH WILL BRING MORE GOOD THAN HARM TO HONG KONG AS A WHOLE.+
PENSIONS PURCHASING POWER MAINTAINED
*****
THE GOVERNMENT'S DECLARED POLICY IS TO MAINTAIN THE ORIGINAL PURCHASING POWER OF CIVIL SERVICE PENSIONS, THE CHIEF SECRETARY THE HON DAVID FORD, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
MOVING THE MOTIONS ON THE PENSIONS (INCREASE) ORDINANCE AND ON THE WIDOWS AND ORPHANS PENSION (INCREASE) ORDINANCE, MR FORD SAID THE MAINTENANCE OF THE ORIGINAL PURCHASING POWER OF CIVIL SERVICE PENSIONS WAS ACHIEVED BY PERIODIC PENSION ADJUSTMENTS IN LINE WITH MOVEMENTS IN THE CONSUMER PRICE INDEX(A).
+DURING THE LATEST REVIEW PERIOD FROM 1 APRIL 1986 TO 31 MARCH 1987, THE MOVING ANNUAL AVERAGE OF THE CONSUMER PRICE INDEX(A) ROSE BY 5.2 POINTS OR 3.23 PER CENT.+
IT WAS PROPOSED THAT A PENSION INCREASE OF THREE PER CENT SHOULD BE AWARDED WITH EFFECT FROM 1 APRIL 1987, HE SAID.
CIVIL SERVICE PENSIONS INCLUDED PENSIONS PAYABLE UNDER THE WIDOWS AND ORPHANS PENSION SCHEME AND UNDER THE WIDOWS' AND CHILDREN'S PENSIONS SCHEME.
*THE TOTAL COST OF INCREASING ALL PENSIONS BY THREE PER CENT IS ESTIMATED AT $24.4 MILLION FOR A FULL YEAR, HE ADDED.
THIS WAS A STATUTORY CHARGE WHICH MAY BE AUTHORISED BY RESOLUTION OF THE COUNCIL UNDER THE APPROPRIATE ORDINANCES, MR FORD SAID.
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