SLW on Work Incentive Transport Subsidy Scheme
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     Following is the transcript of remarks by the Secretary for Labour and Welfare, Mr Matthew Cheung Kin-chung, in response to follow-up questions at a media session on the Work Incentive Transport Subsidy Scheme today (August 31):

Reporter: It is in your very own words weeks ago that individual-based means test would lead to abuse. There would be people who will actually transfer their own money to their family members. Why are you seemingly defeating your own words just weeks ago?  And why did you choose today to announce it?  Is it because some hunger strike is going on just next door?

Secretary for Labour and Welfare: No, certainly not.  First of all, I indicated in LegCo before the summer recess time and again that we keep an open mind on the future direction of the scheme and I promised a mid-term review by October.  I have advanced the review by several weeks and completed the review now.  The time is now right for us to announce it as soon as possible for the benefit of our working class, particularly the low-income group.  This is in keeping with the cardinal principle of this Administration, that is to improve the well-being and livelihood of the men in the street, particularly our grassroots workers.  So we are doing what we have promised, and it is a manifestation of people-based governance. This is point number one.

     Point two is we have looked at this individual-based means test very carefully. Of course, there may be a few cases of abuse. But generally for the benefit of a larger group of low-income workers, we are prepared to do it. In the process, we will of course keep monitoring applications closely. In other words, we strike a balance here between possible abuse and at the same time the benefit of the vast majority of low-income employees and to reduce the burden of travel expenses they are facing everyday commuting to and back.  So we are acting with a sense of balance here and in the public interest.  The public interest comes first and foremost.

Reporter: How much money has been used for that scheme? Is it because even before you make the changes, the initial scheme was pretty well below what you expected, because you have expected 200,000 applicants, and yet there is only 20 per cent.

Secretary for Labour and Welfare: The 200,000 applicants is purely a planning figure. It is a guesstimate because we have no idea whatsoever of the asset situation of individual Hong Kong citizens, absolutely no idea how much asset they own. The only thing that we can estimate is the income level, using the income bracket to deduce the number of possible applicants. So that is really a ballpark planning figure. It must not be taken as a target beneficiary figure.

Reporter: By making the change you are trying to reach more people?

Secretary for Labour and Welfare: Certainly it is our objective. We want to benefit many more people. I believe tens of thousands of low-paid workers will benefit from the scheme. This is our objective. That is why we have gone out of our way and advanced the mid-term review. Our objective is to benefit more low-paid workers and help particularly the working poor. This is our intention.

(Please also refer to the speaking notes and the Chinese portion of the transcript.)

Ends/Friday, August 31, 2012
Issued at HKT 20:33

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