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Subsequent to the amendments made to clauses 6(1), 6(2), and 6(3), which have brought into effect that the MPF is a requirement for all employers and self-employed persons, both on and after the appointed day, sub-clause (7) becomes superfluous. Furthermore, there is already reference to the day the Ordinance comes into operation in clause 1(2). I therefore propose to delete this sub-clause.
Amendment to clause 14, to be moved by the Hon Lee Cheuk-yan
Mr Chairman,
Members will be aware that the set-off practice dealt with in this clause is a long established arrangement, understood fully by employers and employees alike. At present, the employers' contributions to a retirement scheme may be set off against any amount paid out for severance payments or long service payments. It is not appropriate to expect employers to pay twice. Severance payments and long service payments are designed as alternatives rather than supplements to retirement schemes. I totally refute the allegation made by a few members that we have made an immoral deal with the Liberal Party. This is certainly not the case and I demand that member to withdraw that statement unless he can prove that this deal in fact did happen. Having said that, the policy does require review.
We appreciate that the provisions for both long service payments and severance payments need to be examined in the light of the MPF. We have therefore invited the Labour Advisory Board to conduct such a review as early as possible.
Until the review is complete, Mr Chairman, it would be premature to introduce any changes. The Official Members will therefore vote against the amendment, and I urge Members to do likewise.
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