Employment support scheme set

April 25, 2022

Secretary for Labour & Welfare Dr Law Chi-kwong:

The mechanism we applied here is basically relying on the MPF contribution records. For those records provided by the applicants through the trustees that we will receive, we will be able to tell how many (employees) and how exactly each one of the employees on the (application) list are receiving (the subsidy) from their employers.

In this particular scheme - the 2022 Employment Support Scheme - we actually require (that) if we have given each full-time staff an $8,000 wage subsidy, then as (it) appeared on those records, they will receive at least $8,000. And it will be nothing less than $8,000. So by checking the records, we can ensure that the employers are not pocketing the money on their own accounts, but are (paying that amount) to each individual employee.

The enterprise may employ new staff and staff may resign. So, there can be a natural turnover. So, we will not be checking individual (account) information per se. But at least we know that (the enterprises) are paying their employees, (and) each person is being given a minimum amount (of subsidy).

(To watch the full press conference with sign language interpretation, click here.)

Secretary for Labour & Welfare Dr Law Chi-kwong announced today that the 2022 Employment Support Scheme will accept applications from April 29, with the first batch of subsidies to be disbursed in early May.

Introducing the implementation details of the scheme at a press conference today, Dr Law said the applicant must have participated in MPF schemes or set up ORSO schemes on or before 31 December 2021.

He said: “The mechanism we applied here is basically relying on the MPF contribution records. For those records provided by the applicants through the trustees that we will receive, we will be able to tell how many employees and how exactly each one of the employees on the application list are receiving the subsidy from their employers.

“In this particular scheme - the 2022 Employment Support Scheme - we actually require that if we have given each full-time staff an $8,000 wage subsidy, then as it appeared on those records, they will receive at least $8,000. And it will be nothing less than $8,000. So by checking the records, we can ensure that the employers are not pocketing the money on their own accounts, but are paying that amount to each individual employee.

“The enterprise may employ new staff and staff may resign. So, there can be a natural turnover. So, we will not be checking individual account information per se. But at least we know that the enterprises are paying their employees, and each person is being given a minimum amount of subsidy.”

There will be a restricted list covering sectors which are less affected by the fifth wave of the COVID-19 epidemic, such as supermarkets, pharmacies and property management firms.

Those enterprises belonging to sectors on the restricted list can only apply for the subsidy for at most 100 eligible employees.

Meanwhile, to ensure that the use of public funds can achieve the purpose of retaining employees, heavier penalties will be imposed in this round of the scheme to increase the deterrent effect.

Applicants have to undertake to use all subsidies for paying wages and employ a sufficient number of employees in each subsidy month.

Otherwise, apart from returning the subsidy amount, applicants are also required to pay a penalty equivalent to 10% of the subsidy amount to be returned.

The application period will last until May 12.

Click here for details.