XN000022-1995-01-10 — Page 5

(c)

Raising the absolute payment ceiling from the current limit of $180,000 to $210,000 upon enactment of the legislation. This limit will be increased by $20,000 on October 1, 1995 and every subsequent year until it reaches $390,000 in October 2003. Details of the increases are:-

Maximum

Effective date

payment

Enactment to September 30, 1995

$210,000

October 1, 1995

$230,000

October 1, 1996

$250,000

October 1, 1997

$270,000

October 1, 1998

$290,000

October 1, 1999

$310,000

October 1, 2000

$330,000

October 1, 2001

$350,000

October 1, 2002

$370,000

$390,000

October 1, 2003 and thereafter

Commenting on the Bill today (Tuesday), a Government spokesman said the improvement package was both comprehensive and forward looking as it had a definite timetable to increase the length of reckonable service and raise the absolute payment ceiling.

"The year-by-year approach addressed the concerns of both employers and employees. It gives both parties certainty and will help to promote harmonious labour relations as it will no longer be necessary for employers and employees to bargain

every year.

"It will bring gradual improvements at a pace acceptable to both employers and employees," he said.

The Bill also seeks to remove an ambiguity in the law regarding maternity leave and to rectify an anomaly on sick leave certificate issued by a registered dentist.

The Employment Ordinance provides that a female employee who has been employed by the same employer under a continuous contract for a period of not less than 26 weeks shall be entitled to maternity leave, which is normally an aggregate of a four-week ante-natal leave and a six-week post-natal leave.