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Employees may get greater say in fund

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WORKERS may get a greater say in the Mandatory Provident Fund, under government proposals being considered to try to win liberal legislators' support.

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Officials are discussing ideas after the Democratic Party and some other liberal lawmakers criticised legislation establishing the fund as containing a 'lot of holes'.

One proposal is for workers who leave an employer to choose whether they want their provident fund transferred to their new firm.

Under the present bill, it is automatically transferred.

But the Education and Manpower Branch suggests the fund could continue to be administered by the previous employer, although the new employer would make the contributions.

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Legislators have been concerned that transferring funds between employers would result in high administrative costs, which would be deducted from the employees' benefits.

Members of the committee scrutinising the bill are outlining their proposed changes in a meeting with the administration tomorrow.

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