TNAG-1614-FCO40-2222-Executive-Council-of-Hong-Kong-memoranda-and-minutes-of-meet-1987 — Page 24

CONFIDENTIAL

Privatisation of UC Abattoirs

Sample Cases of Redundancy Provisions Payable to the Butchery Staff

Annex B

The table overleaf sets out details of pension (normal plus enhancement) and ex-gratia payments payable to three individual Butchers (Mr. A, B and C) who are to be compulsorily retired on 1 January 1989, the hypothetical date for privatisation of the UC abattoirs.

2.

It will be noted that Mr. A aged 51 with 20 years pensionable service on 1.1.89 will receive a pension (normal plus enhancement) equal to 47.8% of his present salary on the existing pension scheme, and 45.4% on the new scheme. Mr. B aged 38 with 17 years' service will receive a pension equal to 42.3% of his present salary on the existing scheme and 37.6% on the new scheme. Mr. C aged 38 with slightly less than 10 years' service will receive a pension equal to 24.8% of his present salary on the existing scheme and 22% on the new scheme. Under the new scheme, the additional pension or enhancement component paid to these officers in addition to their pension as earned would represent a monthly payment (before commutation) of $489, $339 and $203 respectively.

3.

Length of pensionable service of the 468 Butchers at the two UC abattoirs is as follows:

Length of Pensionable Service on 1.1.89

20 years and above

No. of Butchers

7

248

15

19 years

10

14 years

185

28

Below 10 years

468

CONFIDENTIAL