TNAG-2671-FCO40-3868-Future-of-Hong-Kong-Sino-British-Joint-Liaison-Group-retirem-1993 — Page 43

機密

CONFIDENTIAL ##

2

4.

(a) the

(b)

(c)

as

no

ability to enforce as full a compliance rate possible. Since the pension received bears direct relationship to the contributions made, the tendency to evade contributing would be higher than under а compulsory savings scheme;

maintenance of a healthy rate of employment. High unemployment over a sustained period of time would reduce contributions and upset the fund balance, leading to an increase in the rate of contributions; and

a stable demographic structure. Experience in many countries which provide an old age pension indicates that as the proportion of the working population to the aged deteriorates over time, the rate of contributions has to increase to keep the fund in positive balance.

As the total pension benefits are to be paid directly from the total contributions receivable, it is essential that the pension must be kept at a level which could be fully financed

the total contributions received.

from

GF 323

CONFIDENTIAL ##