LettersBillions for bosses, none for elderly poor: what the lack of a universal pension scheme says about Hong Kong

Here’s a government that spends freely to serve the interests of company bosses and the middle class, but penny-pinches on helping the elderly poor

Macau has not had problems with its cash handouts over the years. Why should Hong Kong be any different

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Why does the government feel so strongly about subsidising property for selected working middle-class families and yet ignores the pension needs of the elderly? Photo: Sam Tsang

Published: 1:51pm, 20 Feb 2019Updated: 9:20pm, 20 Feb 2019

Let’s face facts. In 2016, the government held a public consultation on a pension scheme for Hongkongers, presenting two options to choose from. The favoured option, based on an idea first proposed by social work professor Nelson Chow Wing-sun, was a universal scheme that would give all elderly Hongkongers HK$3,230 a month in pension payment. Unfortunately, the government made it clear that it favoured the means-testing option, so the proposal was shelved.

Fast forward to today’s Hong Kong, where the same officials have pledged billions of dollars to be used as follows:

Flats under the Home Ownership Scheme sold at 48 per cent below market rate for selected rich middle-class families. Although the measure would cost the government millions of dollars, it was promptly implemented without even going through the Legislative Council for approval.

“Starter home” flats sold to middle-class families at up to 38 per cent below market price.

A subsidy for employers, without means testing, to win their support on scrapping the Mandatory Provident Fund offsetting mechanism, costing the government nearly HK$30 billion spanning 25 years.

An extra four weeks of maternity leave for mothers-to-be, paid by the government, again without means testing.

A transport subsidy capped at HK$300, paid by the government, available to all residents using the Octopus card – without a means test.