XN000022-1977-11-14 — Page 2

MONDAY, NOVEMBER 14, 1977

GREEN PAPER ON FURTHER DEVELOPMENT OF

SOCIAL SECURITY IN HONG KONG

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A GREEN PAPER WHICH SETS OUT THE GOVERNMENT'S PROPOSALS FOR A PROGRAMME OF SOCIAL SECURITY DEVELOPMENT IS PUBLISHED TODAY (MONDAY) FOR PUBLIC COMMENT.

IT IS PROPOSED THAT THE NEXT MAIN DEVELOPMENT IN SOCIAL SECURITY SHOULD CONSIST OF A STREAMLINING AND REFINING OF THE PUBLIC ASSISTANCE SCHEME- THE EXTENSION OF NON-MEANS TESTED BENEFITS TO THE ELDERLY AND TO THOSE INCAPABLE OF WORK AND THE POSSIBLE INTRODUCTION OF A SEMI-VOLUNTARY CONTRIBUTORY SICKNESS, INJURY AND DEATH BENEFIT SCHEME.

PUBLIC COMMENTS AND VIEWS EXPRESSED ON THEM WILL BE STUDIED CAREFULLY BEFORE ANY DECISION IS MADE BY THE GOVERNMENT. IT IS HOPED THAT AFTER THESE VIEWS AND OTHER FACTORS HAVE BEEN TAKEN INTO ACCOUNT, A WHITE PAPER WILL BE PUBLISHED IN 1978,

THE PROPOSALS IN THE GREEN PAPER INCLUDE:

IMPROVEMENT IN THE PUBLIC ASSISTANCE SCHEME

FURTHER IMPROVEMENTS TO THE EXISTING SOCIAL SECURITY SCHEME ARE PROPOSED TO PROVIDE A SAFETY NET FOR ALL THOSE IN NEED AND TO ENSURE AN INCOME THAT THEY CAN RELY ON. THESE INCLUDE: A LONG-TERM SUPPLEMENT- AN OLD-AGE SUPPLEMENT- AN INCENTIVE ALLOWANCE FOR THOSE CAPABLE OF BEING SELF-SUPPORTING AND THE SETTING UP OF AN APPEAL BOARD.

WELFARE ALLOWANCE SCHEME

IT IS PROPOSED TO EXTEND THE WELFARE ALLOWANCE SCHEME, PREVIOUSLY KNOWN AS THE DISABILITY AND INFIRMITY ALLOWANCE SCHEME, TO COVER THOSE IN INSTITUTIONAL ACCOMMODATION AND THE CHRONIC SICK AND TO LOWER THE QUAL IFY ING AGE FROM 75 TO 73 AND THEN TO 70.

E

SICKNESS, INJURY AND DEATH BENEFIT SCHEME

IT IS PROPOSED THAT THE SCHEME, IF IMPLEMENTED, WOULD BE ABLE TO PROVIDE A MONTHLY BENEFIT FOR EMPLOYEES OFF WORK LONGER THAN 36 DAYS A LUMP SUM FOR THOSE WHO REACH THE AGE OF 60- AND A LUMP SUM FOR THE HEIRS OF THOSE WHO DIE BEFORE THE AGE OF 60.

A SIGNIFICANT FEATURE OF THE PROPOSAL IS THAT IT WOULD BE UP TO EACH EMPLOYEE WHETHER OR NOT HE WISHED TO JOIN, AND IF HE DID, HIS EMPLOYER WOULD HAVE TO PAY CONTRIBUTIONS TOC. THE EMPLOYER COULD CONTRACT OUT IF HE COULD PROVIDE BENEFITS SUCH AS WOULD BE CONFERRED UNDER THE SCHEME.

THE DIRECTOR