Scrutiny to improve LSG subvention system
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    The Social Welfare Department has been working closely with the welfare sector through the reconvened LSG Steering Committee in scrutinising the Lump Sum Grant (LSG) subvention system to improve any inadequacies in the details of implementation, the Director of Social Welfare, Mr Stephen Fisher, said today (November 28).

     "The Government is fully aware of the difficulties and challenges faced by the sector operating under the LSG subvention mode. We have implemented some alleviating measures including the additional allocation of $330 million each year to assist the subvented welfare sector meet the pressure of pay adjustment arising from the recent starting salary adjustment and civil service pay adjustment," he said.

     "We have also relaxed the restriction on the use of reserves to allow NGO management greater flexibility in deploying resources to meet their need for pay adjustment for temporary staff. The measure has met with positive response by the sector.

     "Under the general principle of maintaining the LSG subvention system, the department will continue to work in tandem with the welfare sector in reviewing and fine-tuning implementation details," Mr Fisher said.

     The LSG Steering Committee has met three times since it was reconvened on August 29. Apart from the Social Welfare Department, committee members include representatives from NGO management, staff unions and service users.

     Mr Fisher said the Government was studying the proposals regarding baseline recurrent subvention submitted earlier by the welfare sector members with a view to respond by the end of the year.

     The LSG Steering Committee also agreed at its last meeting to hold a special meeting to discuss the two proposals recently raised by the "Alliance on Fight for Equal Work and Equal Pay in the Social Welfare Sector". The proposals were the setting up of independent committees to review the LSG system and to handle complaints respectively. The special meeting is scheduled for December 17.

     Regarding today's strike by the welfare workers, Mr Fisher said he respected the protesters' right to freedom of expression and assembly by way of industrial action. However, he called on the protesters to exercise self-restraint and display professionalism.

     "The government is willing to enhance the tripartite working relationship with the NGO management and staff members. We hope the sector can keep calm in looking forward and continue to work for the best interest of the underprivileged," Mr Fisher said.

Ends/Wednesday, November 28, 2007
Issued at HKT 11:16

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