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University Summer Interns not Required to Enroll into MPF Schemes

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The Mandatory Provident Fund Schemes Authority (MPFA) today (June 14) met with representatives from the Labour Department and tertiary education institutions to work out details to facilitate summer interns to receive their training.

An MPFA spokesperson said that MPF System is an employment-based retirement plan for the working population. When the internships are predominantly educational or training in nature, interns are not "relevant employees" as defined under the Mandatory Provident Fund Schemes Ordinance. They are therefore not required to enroll into MPF Schemes. Other summer workers are still covered by the MPF System.

The following conditions have to be fulfilled to qualify for this category of university summer interns:

£» The student is a full-time student of an academic institution which is funded through the University Grants Committee;

£» The on-the-job training undergone by the student is part of his/her curriculum requirements;

£» The attachment to the companies is for a limited duration during school holidays only, and the student will return to the academic institution to continue his/her studies;

£» The functions carried out by the student are predominantly educational and training in nature; and

£» The pay or allowance, if any, received by the student is consistent with the training nature of the attachment

When necessary, academic institutions are required to provide the MPFA with a proof on whether a summer intern meets the above conditions.

Today's meeting was attended by Assistant Commissioner for Labour, Mr Chow Tung Shan and representatives from the University of Hong Kong, the Chinese University of Hong Kong, the Hong Kong University of Science and Technology, the Hong Kong Polytechnic University, Ling Nan University and the Hong Kong Institute of Education. The meeting was chaired by the Authority's Executive Director (Enforcement), Mr. Ernest Lee.

University representatives agreed upon the arrangements and would share details with relevant faculties. The information will also be communicated to other organizations sponsoring internship programmes.

The MPFA reiterated that employers are required to enroll summer workers who are aged over 18 and who have completed 60 days of service into MPF schemes.

End/Thursday, 14 June, 2001

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