This article was originally published on December 2, 2000
By Felix Chan
Warning for MPF-dodging bosses
Employers were warned on Friday (December 1, 2000), the day the Mandatory Provident Fund (MPF) was launched, that they could not escape paying their fair share.
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Only about 135,000 employers, 54 per cent of those required to do so, had signed up by the deadline. About 1.44 million employees and 124,000 self-employed had joined, representing 71 per cent and 44 per cent, respectively, of those eligible.
Mandatory Provident Fund Schemes Authority chairman Charles Lee Yeh-kwong said: “Compared with overseas experience, the 71 per cent compliance rate is a good start.” But the response to the industry MPF schemes for casual employees in the catering and construction sectors remained low. Only 33,100 workers have joined the schemes — about 17 per cent of the combined workforces.
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MPFA managing director Rafael Hui Si-yan warned bosses against trying to evade contributions. ‘We strongly urge employers not to become over-complacent in thinking they can get away by taking such courses of action,” he said.
Action against those not complying will begin from January 30, 2001.