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The set-off practice is a long established arrangement, understood by employers and employees alike.
It is not appropriate to expect employers to pay twice. However, we appreciate that the provisions for severance and long service payment need to be examined in the light of the MPF. Government has already invited the Labour Advisory Board to conduct such a review. It would be premature to introduce any changes in the meantime.
Amendments to be moyed by Hon James Tien
The Hon James Tien will move amendments to Schedule 1, Part II to the effect that any self-employed hawker as defined by the Public Health and Municipal Services Ordinances (Cap. 132) and domestic employee who is not a Hong Kong permanent resident as defined in section 2 of the Immigration Ordinance (Cap. 115) shall be exempt from the Bill.
The Administration urges Members to vote against this amendment, the second part of which is clearly discriminatory, and inconsistent with Hong Kong's obligation under the Covenant on Civil & Political Rights. It would also be contrary to Hong Kong's obligations under Article 6 of Convention 97 of the International Labour Organisation to provide equal treatment to migrant workers and local residents in respect of issues such as social security and old age benefits.
The Administration appeals to Members of the Legislative Council to support the MPF Schemes Bill, the early implementation of which is clearly in the best interest of the workforce.
End/Monday, July 24, 1995
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