XN000022-1987-05-13 — Page 37

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WEDNESDAY, MAY 13, 1987

+THE ESTABLISHMENT OF A CENTRAL PROVIDENT FUND FOR THE ENTIRE WORKFORCE IS THEREFORE THE ONLY SOLUTION, HE URGED.

HE ALSO POINTED OUT THAT A SURVEY REPORT SHOWED THAT NEARLY 90 PER CENT OF THE RESPONDENTS WHO WERE YOUNG WORKERS THOUGHT THERE WAS A NEED TO ESTABLISH A CENTRAL PROVIDENT FUND AND THREE-QUARTERS OF THEM WERE WILLING TO PAY A MONTHLY CONTRIBUTION.

MR LEE SUGGESTED THAT CONSIDERATION SHOULD BE GIVEN TO SETTING

UP A SELECT COMMITTEE TO STUDY THE ISSUE.

+THE REASON IS THAT A SELECT COMMITTEE WILL MEET IN PUBLIC AND OPEN HEARINGS CAN BE HELD TO LISTEN TO THE VIEWS OF THE PUBLIC, INCLUDING BOTH EMPLOYERS AND EMPLOYEES, HE EXPLAINED.

HE SAID SUCH A WORKING PROCEDURE WOULD CERTAINLY BE FAIR

AND OBJECTIVE AND WOULD THUS GAIN PUBLIC SUPPORT.

MR LEE ALSO FELT THAT IF A STATUTORY PROVIDENT FUND SYSTEM WAS TO BE INTRODUCED, A CUSHIONING OR ADJUSTMENT PERIOD SHOULD BE ALLOWED FOR THE MEDIUM AND SMALL ENTERPRISES, SUCH AS THOSE WITH LESS THAN 100 EMPLOYEES.

HE SUGGESTED THAT DURING THE FIRST THREE YEARS OF THE ENACTMENT OF THE LEGISLATION, THESE ENTERPRISES SHOULD BE ALLOWED TO PARTICIPATE IN THE SCHEME AT THEIR OWN WILL BUT THEY WOULD BE OBLIGED TO JOIN AFTER THE ADJUSTMENT PERIOD.

MR LEE FELT THAT PROVIDENT FUND SCHEMES MIGHT NOT NECESSARILY INCREASE PRODUCTION COSTS AS THESE WOULD ALSO DEPEND ON THE PROGRESS MADE IN THE PRODUCTION AUTOMATION AS WELL AS THE SUPPLY AND DEMAND RELATIONSHIP IN THE LABOUR MARKET.

HE SAID THAT UNDER THE PRESENT LONG SERVICE PAYMENT ORDINANCE, EMPLOYEES COULD NOT GET THEIR PAYMENT UNTIL THEIR EMPLOYMENT WAS TERMINATED.

+AS A RESULT, EVEN WHEN THEY ARE OLD AND WEAK, THEY WILL CONTINUE TO WORK AND REFUSE TO RESIGN OR RETIRE ON THEIR OWN,+ HE SAID.

HE ARGUED THAT THIS WOULD LEAD TO A SITUATION WHERE EMPLOYEES WOULD BECOME SENILE COLLECTIVELY, WHICH WAS DETRIMENTAL TO THE RATE OF PRODUCTION AND PROBABLY NOT TO THE BENEFIT OF EMPLOYERS AS WELL.

THEREFORE, HE PROPOSED THAT BEFORE THE IMPLEMENTATION OF THE PROVIDENT FUND SCHEME, THE LONG SERVICE PAYMENT ORDINANCE SHOULD BE AMENDED TO ALLOW AGED EMPLOYEES WHO HAD LOST THEIR WORKING ABILITY TO RECEIVE THE PAYMENT SO AS TO PREVENT THE AGING PROBLEM AMONG EMPLOYEES.

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