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Following is the speaking notes of an announcement by the Secretary for Labour and Welfare, Mr Matthew Cheung Kin-Cheung, today (August 31) on an enhancement measure for the Work Incentive Transport Subsidy Scheme:
I am pleased to announce the Government's decision to substantially relax the Work Incentive Transport Subsidy (WITS) Scheme to benefit many more low-income workers.
The Labour and Welfare Bureau and the Labour Department have taken the initiative of advancing the mid-term review of the Scheme and have now decided to enhance the Scheme's flexibility and accessibility by providing for the option of an individual-based means test as an alternative to the household-based means test.
At present, the Scheme adopts household-based means-testing only. As a result, despite their genuine needs, some low-paid workers are unable to enjoy the subsidy when the aggregate income and assets of their households exceed the limits of the Scheme, or when they cannot, for various reasons, provide information on the income and assets of other household members.
To reduce low-income earners' burden of work-related travelling expenses and to encourage them to stay in employment, we will introduce the option of an individual-based means test.
Applicants meeting the personal income and asset limits can then apply on their own, instead of as members of a household. This will also substantially reduce the information that applicants need to submit and make the application much simpler and easier.
Improving the livelihood of our citizens and helping our grass-roots workforce top the agenda of the new-term Administration. We are determined to benefit many more low-income workers and help the working poor by advancing the mid-term review of the WITS Scheme and making the Scheme more flexible, accessible and user-friendly.
We will submit our enhancement proposal to the new Legislative Council as soon as possible to seek approval for early implementation.
It is also important to note that the income and asset limits for the means test of the Scheme have been adjusted upwards by significant levels across the board starting from March this year. For example, for a single-person household, the income limit has been increased to $7,300 per month. If the employee's Mandatory Provident Fund contribution is taken into account, the income level is $7,684. The asset limit has also substantially increased from $44,000 to $72,000. For an applicant aged 60 or above, $35,000 will be added to the asset limit. As applicants can claim subsidy for the previous six to 12 months in each application, those qualified under the relaxed limits can start submitting their applications from tomorrow (September 1) onwards.
Ends/Friday, August 31, 2012
Issued at HKT 19:12
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