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LCQ6: Education voucher scheme
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    Following is a question by the Hon Cheung Man-kwong and a reply by the Secretary for Education and Manpower, Professor Arthur K C Li, in the Legislative Council today (December 6):

Question:

     Regarding the impact of implementing a voucher system to subsidise pre-primary education on the remuneration of the teachers concerned, will the Government inform this Council:

(a) whether it knows the respective numbers of kindergartens and child care centres which are currently paying teachers in accordance with the Government's "Recommended Normative Salary Scale for Kindergarten Teaching Staff" ("the salary scale"), the respective percentages of these numbers in the total numbers of kindergartens and child care centres in Hong Kong, and list out in a table the names of these kindergartens and child care centres;

(b) whether it has assessed how the remuneration of the above teachers will be affected upon the abolition of the salary scale when the voucher system is implemented; if it has, of the assessment results; if not, the reasons for that; and

(c) whether it has consulted the profession on the abolition of the salary scale; if it has, of the results; if not, the reasons for that; and how the authorities ensure that no layoffs or pay cuts will result from the abolition of the salary scale?

Reply:

Madam President,

(a) All kindergartens and kindergarten-cum-child care centres (hereafter collectively named as "KGs") are privately run and they are free to agree on the terms of employment with their teachers.  However, as one of the conditions for subsidy under the Kindergarten and Child Care Centre Subsidy Scheme (KCSS), KGs are required to pay teachers according to the Recommended Normative Salary Scale (RNSS).  As of September 2006, the number of KGs joining KCSS is 529, representing 51% of the total number of 1,031 KGs.  A list of these KGs and KG-cum CCCs is attached at the Annex.
 
(b) The introduction of the voucher scheme enables KGs to continue to benefit from the flexibility of operating in a private market, including the capacity to decide on the appropriate remuneration of staff, with minimum regulations.  The Government's commitment to investing an additional $2 billion recurrent subsidy in pre-primary education can support KGs to offer remuneration commensurate with the expected enhanced qualification of principals and teachers.  The face value of the proposed KG voucher, at $13,000 student per annum (pspa) in 2007/08 and progressively increasing to $16,000 pspa by 2011/12, can cover salary increment and qualification creep over the years.  We expect KGs to take advantage of the voucher scheme to retain talents.    

(c) Since September 2005, we have taken the initiative to engage the key stakeholders of the KG sector in continuous dialogue on the future development of pre-primary education in Hong Kong.  We fully understand the concerns of the sector, including the salary scale for KG teachers.  The proposed education voucher is a new funding mode which replaces part of the existing subsidies such as KCSS and paves the way for the next phase in raising the quality of pre-primary services, capitalizing on the adaptability, diversity and responsiveness of the private market.  

     We fully agree that KG teachers should be reasonably remunerated.  We note that members of the KG sector are planning to develop their own salary scales for teachers.  With increased government financial commitment, disclosure requirements and quality assurance arrangements, the KG operators should be accountable to teachers and parents for not paying qualified and performing teachers the appropriate level of salary.  By the end of the 2011/12 school year, only accredited non-profit-making kindergartens may redeem the voucher.  KGs operators will have a strong incentive to attract and retain good teachers by providing appropriate remuneration to ensure high quality pre-primary education.

Ends/Wednesday, December 6, 2006
Issued at HKT 13:00

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