CONFIDENTIAL
6
regard to the provident funds operated in the subvented and
private sector, and its feasibility will have to be assessed
in the light of the financial resources available.
13.
of
The proposal for early payment of pension benefits
could take the form of either hypothecation of pensions or an
interest bearing loan which is secured
pension benefits. The financial and practical
against
accrued
practical implications
The costs are
of the proposal are our prime considerations.
however likely to be prohibitive and the proposal would not
be conducive to the stability of the civil service.
14.
If after detailed study of these staff proposals,
the HKG should decide to pursue changes to the existing
arrangements to meet staff concern for greater security of
their pensions, we shall consult the Chinese
Chinese Side well in
advance of taking any action to introduce them.
PROPOSED MODIFICATIONS TO EXISTING PROVISIONS
15.
The Chinese Side may recall that the review which
led to the New Pension Scheme was a review of service
pensions only, that is to say of the pension arrangements
applicable to officers themselves.
Subsequently the HKG has
reviewed the pension arrangements for officers'
officers' dependants.
CONFIDENTIAL
Page 120Page 121
No comments yet.
Private notes are available after approval.