TNAG-1733-FCO40-2446-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1988 — Page 289

take this opportunity to

voice berdland now my expectations

I also like to voice berd

insolvency fund. I think the authority should

for the

consider

extending the ambit of the fund to cover severance pay.

•

We must realise that when an employer goes insolvent, the

which

will likeler greatest amount of money he owes his employees tends to be

be the

then

y/he

be]

that for severance pay. Severance pay is an indemnity to

the workers for the years of hardwork, they put in for

Under existing Ordinance, the insolvency

owed

their employers.

fund can only be used for eld/wages and payment in lieu of wages and payment in lieu of

notice. This is neither adequate nor fair. Moreover, as

the

to far as I understand, insolvency fund

insolvency fund is quite capable →

terms of financial

cover

Fesources

and management

SOUICE

of

absorbing additional expediture incurred by the extension

Kaddi

of its ambity in terms of financial and management

resources.

The Bill now introduced by the Administration is good for

the

enhancing its effectiveness of

can

the fund, but I stil:

I still see

some rooms for further. improvement. I urge the Government

to review the necessity of extending the coverage of the

fund as soon as possible.

Sir, with these remarks, I support the motion.