XN000022-1978-08-07 — Page 2

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MONDAY, AUGUST 7, 1979

GOVERNMENT EXPENDITURE ON SOCIAL SECURITY SCHEMES ******

THE SOCIAL WELFARE DEPARTMENT PAID OUT A TOTAL OF $77.4 MILLION IN THE FIRST THREE MONTHS OF FINANCIAL YEAR 1978-79 AS NON-CONTRIBUTORY SOCIAL SECURITY CASH BENEFITS TO NEEDY FAMILIES, THE DISABLED AND THE ELDERLY,

THE

OF THESE, $28.9 MILLION WERE DISTRIBUTED IN JUNE BIGGEST AMOUNT EVER PAID OUT IN A SINGLE MONTH SINCE THE PUBLIC ASSISTANCE AND THE WELFARE ALLOWANCES SCHEMES WERE INTRODUCED IN 1971 AND 1973 RESPECTIVELY.

THE MONEY WENT TO MORE THAN 132,200 NEEDY FAMILIES AND INDIVIDUALS UNDER THESE TWO SCHEMES FINANCED BY PUBLIC FUNDS AND ADMINISTERED BY THE DEPARTMENT'S SOCIAL SECURITY DIVISION.

MR. CHENG KWAN-KUEN, HEAD OF THE DIVISION, SAID TODAY THE AMOUNT DISTRIBUTED IN APRIL, MAY AND JUNE THIS YEAR REPRESENTED AN INCREASE OF $18.9 MILLION OVER THE CORRESPONDING PERIOD LAST YEAR.

HE SAID THE INCREASE IN SOCIAL SECURITY PAYMENT HAD RESULTED FROM INCREASED PAYMENT RATES AND THE RECENTLY-INTRODUCED · IMPROVEMENTS TO BOTH SCHEMES.

+UNDER THESE IMPROVEMENTS, ELIGIBLE PUBLIC ASSISTANCE RECIPIENTS ALSO RECEIVE OLD AGE SUPPLEMENT AND LONG-TERM SUPPLEMENT ALLOWANCES, AND BENEFIT FROM THE DISREGARDED EARNINGS PROVISION, WHILE THE WELFARE ALLOWANCES SCHEME IS EXTENDED TO INCLUDE THOSE LIVING IN INSTITUTIONS, HE SAID.

MR. CHENG SAID THAT OF THE $77.4 MILLION, $48.9 MILLION WERE PAID OUT AS PUBLIC ASSISTANCE, $17.9 MILLION AS OLD AGE ALLOWANCE, AND $10.7 MILLION AS DISABILITY ALLOWANCE,

AT PRESENT. HE SAID THE 26 SOCIAL SECURITY FIELD UNITS OF THE SOCIAL WELFARE DEPARTMENT ARE HANDLING 47,400 PUBLIC ASSISTANCE CASES, 65,600 OLD AGE ALLOWANCE CASES AND 19,200 DISABILITY ALLOWANCE CASES.

MEANWHILE, MR. CHENG REMINDED PEOPLE RECEIVING PUBLIC ASSISTANCE OF THE IMPORTANCE TO REPORT TO THE DEPARTMENT ANY CHANGES IN THEIR FINANCIAL RESOURCES.

HE EXPLAINED THAT PUBLIC ASSISTANCE, WHICH WAS MEANS-TESTED WAS WORKED OUT ON THE BASIS OF WHAT WAS KNOWN ABOUT THE APPLICANT AND HIS HOUSEHOLD AT A GIVEN POINT OF TIME.

+THE RESOURCES THAT AFFECT PUBLIC ASSISTANCE INCLUDE INCOME, SAVINGS, OTHER ASSETS AND CASUAL EMPLOYMENT, HE SAID.

+ IT IS THEREFORE MOST IMPORTANT THAT RECIPIENTS SHOULD INFORM THE DEPARTMENT IF THERE ARE ANY CHANGES ON THESE RESOURCES.

/+FAILING TO DC