XN000022-1974-08-14 — Page 22

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WEDNESDAY, AUGUST 14, 1974

SEVERANCE PAY BILL PASSED WITH MODIFICATIONS

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THE SEVERACE PAY BILL COMPLETED ITS PASSAGE THROUGH THE LEGISLATIVE COUNCIL TODAY AND WILL COME INTO EFFECT ON A DATE TO BE PUBLISHED IN THE GOVERNMENT GAZETTE.

DURING THE COMMITTEE STAGE, THE SECRETARY FOR SOCIAL SERVICES, THE HON. LI FOOK-KOU, MOVED A NUMBER OF AMENDMENTS TO THE BILL - SOME TECHNICAL, AND OTHERS ARISING FROM THE PUBLIC DEBATE ON IT IN RECENT MONTHS.

HE SAID THAT THE BILL IN ITS FINAL FORM REPRESENTED A COMPROMISE BETWEEN DIRECTLY OPPOSING VIEWS.

+HOWEVER IT GIVES EVERY QUALIFIED WORKER A LEGAL RIGHT TO CLAIN SEVERANCE PAY HEN HE IS DISMISSED BY REASON

OF REDUNDANCY, HE SAID. + THE SOCIAL ADVANTAGES OF ESTABLISHING THIS PRINCIPLE HAVE BEEN JUDGED OF SUFFICIENT IMPORTANCE TO. OUTWEIGH THE RISKS OF CREATING DIFFICULTIES FOR A LIMITED NUMBER OF SMALLER EMPLOYERS.

+THIS CAN ONLY BE REGARDED AS A CONSIDERABLE ADVANCE IN THE FIELD OF SOCIAL LEGISLATION, AND ONE ON WHICH WE SHOULD AIM TO BUILD IN THE FUTURE.+

THE NEW LEGISLATION WILL BECOME PART VA OF THE EMPLOYMENT ORDINANCE.

COMMENTING ON IT THIS AFTERNOON, THE COMMISSIONER OF LABOUR, MR. IAN PRICE, SAID: THE PASSING OF THIS BILL REPRESENTS A GREAT STEP FORWARD. IT IS THE CULMINATION OF OVER FOUR YEARS OF HARD WORK BY MYSELF AND MY COLLEAGUES IN THE LABOUR DEPARTMENT ON A COMPLEX AND DIFFICULT SUBJECT.

+THIS SEVERANCE PAY LEGI

ATION WILL COME TO RANK IN IMPORTANCE WITH THE FAR-REACHING AMENDMENT MADE TO THE EMPLOYMENT ORDINANCE IN 1970, PROVIDING WORKERS WITH FOUR REST DAYS A MONTH.

+THERE HAS, OF COURSE, BEEN CRITICISM OF THE LEGISLATION. SOME SAY THAT IT HAS GONE TOO FAR AND IS TOO WIDE-REACHING. OTHERS FEEL THAT IT DOES NOT GO FAR ENOUGH AND IS TOO NARROW

IN SCOPE.

+THESE COMMENTS WERE EXPECTED AND, TO SOME EXTENT, ANTICIPATED IN THE DRAFT BILL PUBLISHED IN THE GOVERNMENT GAZETTE OF JUNE 7. HOWEVER, MOST CRITICS OVERLOOKED THE MOST IMPORTANT ASPECT - THAT THE PRINCIPLE OF SEVERANCE PAY ON DISMISSAL BY REASON OF REDUNDANCY IS NOW RECOGNISED AND ENSHRINED IN THE LEGISLATION.

+THIS PROVIDES A GOOD, SOUND BASIS UPON WHICH I HOPE WE WILL BE ABLE TO BUILD AND IMPROVE IN THE LICHT OF PRACTICAL EXPERIENCES IN FUTURE JUST AS WE HAVE, OVER THE YEARS, BUILT ON, AND REPEATEDLY IMPROVED, OTHER ITEMS AT LABOUR LEGISLATION.

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