XN000022-1995-07-27 — Page 9

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Government welcomes the passage of the MPF Schemes Bill

The Administration is delighted that the Legislative Council has passed by a clear majority, the Mandatory Provident Fund (MPF) Schemes Bill which is a sound, pragmatic means of providing the workforce with a system of retirement protection, the Secretary for Education and Manpower, Mr Michael Leung, said today (Thursday).

"Our next step is to commence work on the subsidiary legislation so that the community may benefit from the MPF as soon as possible," said Mr Leung after the MPF Schemes Bill was passed by 31 votes to 22 after an eight-hour debate.

Mr Leung said the Administration was looking forward to discussing details of the subsidiary legislation with members of the Legislative Council and interested sectors of the community.

He pointed out that the Administration had worked very hard over the past few weeks to reach general agreement on the provisions of the Bill and where possible, tried to accommodate many of the suggestions that had been put forward.

"We have considered very carefully the view of members of the Bills Committee chaired by the Hon Henry Tang, as well as the helpful submissions received from various employers' and employees' groups, professional organisations and deputations received by the Bills Committee. The committee stage amendments reflect the outcome of that consideration," he said.

He said the enactment of the legislation provided for the establishment of the Mandatory Provident Fund Schemes Authority; a Compensation Fund and the basis for a Residual Provident Fund Scheme.

"Employers, employees and self employed will now know what their obligations are. The Bill makes it clear who will be covered by the MPF, and who will be exempt.

"The workforce of Hong Kong deserves the certainty of financial security upon retirement. Enactment of the Bill gives the workforce what they have been seeking for so long, and so richly deserve," Mr Leung concluded.

End/Thursday, July 27, 1995