University summer interns in Hong Kong will not be required to enrol into Mandatory Provident Fund (MPF) schemes.
This announcement by the Mandatory Provident Fund Schemes Authority (MPFA) follows a meeting between the MPFA, representatives from the labour department and tertiary education institutions to work out details to facilitate summer interns to receive their training.
It was agreed that when the internships are predominantly educational or training in nature and so interns are not “relevant employees” as defined under the Mandatory Provident Fund Schemes Ordinance (MPFSO). They are therefore not required to enrol into MPF Schemes.
Under the MPFSO law, an employer is required to enrol an employee under his employ no less than 60 days into an MPF scheme. Failure to do so may result in a maximum penalty fine of $100,000 and six months’ imprisonment.
By the end of April, about 150,000 employees, 10,600 employers and 21,000 self-employed people had joined the industry scheme.
By Janet Du Chenne
Jonathan Stapleton asks whether newly-accredited professional trustees should be a statutory fixture on pension scheme boards.
Savers are being warned by the Insolvency Service to guard their pension pots from investment scammers and negligent trustees as it winds up 24 companies.
Respondents say they should only be required in certain situations as the system is not broken.