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The Mandatory Provident Fund Schemes Authority (MPFA) has released the detailed arrangements for the setting up and operation of the Industry Schemes.

Under the MPF System, Industry Schemes are specially designed for industries with high intra-industry labour mobility so that the portability costs incurred by employees of these industries can be considerably reduced when changing jobs.

"At this stage, the construction and catering industries are the two industries to be covered by the Industry Schemes as they have the highest intra-industry labour mobility among all the major industries.

"The MPFA will keep in view the labour mobility trends of other industries and review from time to time whether it is necessary to set up additional Industry Schemes," Chairman of the MPFA, Mr Charles Lee Yeh-kwong, said today (Friday).

Unlike a master trust scheme or an employer sponsored scheme, an Industry Scheme is to be set up through tendering. Only approved corporate trustees may apply for the registration of Industry Schemes.

To facilitate service providers in preparing their tender proposals, the MPFA has published a document detailing the scale of contributions applicable to casual employees who are members of the Industry Schemes, the classification of the industries for which Industry Schemes will be set up, and the selection criteria for the approved trustees of the Industry Schemes.

"We aim to commence the tendering exercise for the Industry Schemes later this year," said Mr Lee.

Tendering for Industry Schemes will start immediately after the approval of trustees has been completed, currently targeted to be in the last quarter of this year.

"With the detailed arrangements in place, interested service providers may start to prepare for the tender proposals for the Industry Schemes.

"We are publishing the document on the setting up of the Industry Schemes months prior to the tendering so as to allow more time for service providers to make the necessary preparation," said Mr Lee.

Copies of the document are available for collection at the office of the MPFA. It can also be downloaded from the MPFA's homepage.

– Ends –

30 July 1999