23
New Clause 4A
Exemption in respect of occupational retirement schemes
Mr Chairman,
I move that new clause 4A as set out under my name in the paper circulated to Members be read the second time.
The interface with the existing schemes registered under the Occupational Retirement Schemes Ordinance is a subject of major concern. As I have said in the main speech, our policy intent is very clear. While it has always been our aim for the MPF to cover as many persons in the workforce as possible, we do not want to interfere with existing contractual obligations between employers and their employees who are covered under existing registered schemes. Some have said that this is not stated clearly in the Bill as drafted. Some have expressed doubts as to whether defined benefit schemes could be covered by the exemption arrangements, while others have urged us to consider whether exempt schemes should be open to new employees.
After carefully considering the deputations from a number of organisations, and the views of the Bills Committee, we are prepared to move an amendment to the effect that persons who are members of relevant ORSO schemes, whether they are defined benefit or defined contribution, can be exempt from the provisions of the MPF legislation provided the fundamentals of the MPF system are not compromised. The new clause 4A will provide for this, as long as the schemes to be exempt can satisfy requirements to be specified in regulations. We look forward to discussing the details of the exemption regulations with all concerned parties.
Clauses 44(1) and 44(1A)
Regulations
my
amendments
Mr Chairman, I move the amendment as set out in para (a) of to clause 44(1) and the addition of sub-clause (1A) to clause 44 indicated under my name in the paper circulated to Members.