Advertisement
Alex Lo

My Take | Carrie Lam still has a Hong Kong mountain to climb despite pledges

There are no practical solutions when it comes to the Link Reit, MTR fares and the Mandatory Provident Fund, and politicians who claim otherwise are posturing

Reading Time:2 minutes
Why you can trust SCMP
Hong Kong Chief Executive Carrie Lam Cheng Yuet-ngor reportedly identified three major issues faced by the government in 2016, when she was the No 2 official. Photo: Edward Wong
Alex Loin Toronto

There never were three “mountains”, only one. While still chief secretary, Carrie Lam Cheng Yuet-ngor had given the impression that the government would tackle major problems with the Link Reit, MTR fares and the Mandatory Provident Fund. So the chief executive has no one else to blame but herself when opposition lawmakers are again raising the issues.

Advertisement

In reality, the government can and should only resolve the so-called MPF offset, which allows bosses to dip into workers’ pensions to pay for their severance and long service when they are let go. This should never have been allowed in the first place, but here we are.

The government has proposed committing more than HK$15 billion – yes, that’s taxpayer’s money – to subsidise bosses to lay off workers. It’s outrageous, but consider the alternative: ban the practice with no subsidy. You will have a real Occupy Central insurrection – by businesses.

As for MTR fares and the commercial behaviour of the Link Reit, it’s hard to see what the government can do other than what it has been doing or not doing.

Advertisement

As the majority share owner of the MTR, it uses its dividend payouts – and tweaks a fare adjustment formula – to maintain travel subsidies for low-income earners and families. Periodically, like now, the formula yields figures that allow the MTR to raise fares, and a political fight with the opposition ensues.

loading
Advertisement