Retirement deal opposed

PUBLISHED : Friday, 10 December, 1993, 12:00am
UPDATED : Friday, 10 December, 1993, 12:00am

THE influential Business Professionals Federation (BPF) yesterday issued a statement saying it was firmly opposed to the establishment of a central provident fund (CPF).

Vice-chairman of the federation, Edward Ho Sing-tin, said a CPF would generate serious problems relating to the administrative efficiency and objective control of a retirement fund.

He also said he had concerns about the competitiveness and political independence of a CPF scheme and the freedom of citizens to select a favourable scheme.

The BPF said it supported a phased approach to the introduction of mandatory, non-centralised retirement schemes for the private sector of Hong Kong.

Mr Ho last night said a mandatory retirement scheme as proposed by the BPF was its bottomline position, and that he would prefer not to have a CPF.

However, the United Democrats, the Meeting Point and the Liberal Party - to which the BPF's other vice-chairman, Henry Tang Ying-yen, and Mr Ho belong - have voted in support of a CPF.

Mr Tang said he had never maintained that a CPF was in his favour.

It is believed that the Executive Council will decide next Tuesday on what mode of retirement scheme Hong Kong should have. The Government has said it does not favour a CPF.