XN000022-1990-08-01 — Page 4

WEDNESDAY, AUGUST 1, 1990

AMENDMENTS TO SCHOOLS PROVIDENT FUND RULES

THE EXECUTIVE COUNCIL HAD AGREED TO AMEND THE GRANT SCHOOLS PROVIDENT FUND RULES AND THE SUBSIDISED SCHOOLS PROVIDENT FUND RULES IN ORDER TO REMOVE AN ANOMALY IN THE EXISTING ARRANGEMENT, A GOVERNMENT SPOKESMAN SAID TODAY (WEDNESDAY).

UNDER THE AMENDED RULES, A CONTRIBUTOR WHO CLOSES HIS PROVIDENT FUND ACCOUNT UPON CEASING EMPLOYMENT IN ONE SCHOOL IN ORDER TO, RECEIVE PAYMENT OF HIS BENEFITS AND SUBSEQUENTLY REJOINS THE SCHEME BY BECOMING RE-EMPLOYED IN THE SAME OR A DIFFERENT SCHOOL, WILL HAVE A GOVERNMENT DONATION COMMENCING AT FIVE PER CENT OF HIS SALARY PAID INTO HIS ACCOUNT, HE SAID.

"HIS PERIOD OF CONTINUOUS CONTRIBUTORY SERVICE COMPLETED PRIOR TO HIS RE-COMMENCEMENT OF EMPLOYMENT WOULD NOT BE RECOGNISED FOR THE PURPOSE OF CALCULATING THE AMOUNT OF GOVERNMENT DONATION PAYABLE TO

HIM, THE SPOKESMAN EXPLAINED.

HE POINTED OUT THAT THE POSITION OF A TEACHER ENJOYING A 10 PER CENT OR 15 PER CENT GOVERNMENT DONATION WHO QUITTED ONE SCHOOL AT THE END OF THE SCHOOL YEAR IN AUGUST AND JOINED ANOTHER IN SEPTEMBER WITHOUT CASHING IN ON HIS OR HER PROVIDENT FUND BENEFITS WOULD NOT AFFECTED.

BE

THE GRANT SCHOOLS PROVIDENT FUND AND THE SUBSIDISED SCHOOLS PROVIDENT FUND ARE STATUTORY SCHEMES GOVERNED BY RULES MADE BY THE GOVERNOR IN COUNCIL UNDER SECTION 85 OF THE EDUCATION ORDINANCE.

THE TWO SCHEMES ARE OPEN TO TEACHERS SERVING IN GRANT AND SUBSIDISED SCHOOLS RESPECTIVELY.

EACH FUND HAS A BOARD OF CONTROL THAT IS RESPONSIBLE FOR ITS ADMINISTRATION AND CONTROL. THE MEMBERSHIP OF EACH BOARD COMPRISES THE DIRECTOR OF EDUCATION OR HIS REPRESENTATIVE, THE DIRECTOR OF ACCOUNTING SERVICES OR HIS REPRESENTATIVE, AND REPRESENTATIVES OF THE RELEVANT SCHOOLS COUNCILS AND OF THE CONTRIBUTORS.

A GOVERNMENT DONATION EQUIVALENT TO THE FOLLOWING PERCENTAGES OF A CONTRIBUTING TEACHER'S SALARY IS PAID INTO BACH PROVIDENT FUND ACCOUNT:

* FIVE PER CENT FOR A TEACHER WHOSE CONTINUOUS

SERVICE IS LESS THAN 10 YEARS;

*

CONTRIBUTORY

10 PER CENT FOR A TEACHER WHOSE CONTINUOUS CONTRIBUTORY SERVICE IS NOT LESS THAN 10 YEARS BUT LESS THAN 15 YEARS; AND

15 PER CENT FOR A TEACHER WHOSE CONTINUOUS SERVICE IS NOT LESS THAN 15 YEARS.

CONTRIBUTORY

THE AMENDMENT RULES WILL BE GAZETTED AND BECOME AUGUST 10 THIS YEAR.

EFFECTIVE ON

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