In order to listen widely to public views on the “Non-mandatory Central Provident Fund System” proposal, the Macao SAR Government has launched a 60-day public consultation from April 15 to June 13.  The Social Security Fund (FSS) hopes that people from all walks of life can express their views actively, so as to improve the pension system of Macao residents by making suggestions together. 

Ip Peng Kin, President of the FSS Administrative Committee, said that as the phenomenon of ageing society aggravates, there is a rising demand from the public   for retirement protection.  The second tier Central Provident Fund System that is under construction, is a system built on the first tier Social Security System.  It helps the Macao residents accumulate retirement wealth and enhance their old-age security in the future, through contributions by employers and employees/individual contributions.  The Central Provident Fund System, together with financial aids, subsidies, personal savings and social services of all kinds, forms a complementary and multi-tier pension and social security system, which acts as an early response to the challenges brought by an ageing population. 

By studying and making reference to the Central Provident Fund System of other countries or regions, and the operational experience of the private pension system in Macao, the FSS has constructed a Central Provident Fund System suitable for Macao.  Taking in account factors like the current economic situation of SMEs, the income of some employees being at a low level, and some private pension schemes being in operation for many years, the consultation document proposes that in the initial phase of implementation, the Central Provident Fund System will be carried out in a non-mandatory form, and the Government takes the role to guide the participation of employers and employees. 

The consultation document of the “Non-mandatory Central Provident Fund System” proposes the setting up of two contribution schemes, namely the Joint Contribution Scheme and the Individual Contribution Scheme, so that all Macao residents aged 18, regardless of their employment status, can join the scheme.  The consultation document also proposes a tax incentive measure to encourage and attract the participation of businesses that already have private pension system.  For the effective implementation of the system in the future, the document also makes suggestions on aspects such as the contribution method, the regulatory regime, and the convergence of private pension and Central Provident Fund System. With regards to subject matters like “Employees can get the money accumulated from the part of the employer’s contributions”, “Portability of accrued rights” and “Withdrawal of money”, the consultation document provides two options for public comments. 

The “Non-mandatory Central Provident Fund System” is closely related to all Macao people.  The FSS attaches great importance to the comments and suggestions from all walks of life.  By holding consultation meetings and organizing roving exhibitions, the FSS hopes that members of the public can understand the contents of the proposal.  Members of the public can visit the thematic website www.fss.gov.mo/cpf to find out more about the schedule of the consultation activities. 

The consultation document can be downloaded from the FSS website or can be picked up from the FSS Headquarters, the FSS China Civil Plaza Office in NAPE, the ServiceCentre of MSAR, the Public Information Centre or public libraries.  All walks of life are welcome to express their invaluable comments and suggestions through the following channels during the period April 15 to June 13. 

Email: cpf@fss.gov.mo
Website: www.fss.gov.mo/cpf
Fax: 8599 7677
Voice mail hotline: 8599 7488
Postal or drop address: Rua Eduardo Marques, n^os.2 a 6, Macau (Please specify on the envelope cover “Comments about the public consultation on “Non-mandatory Central Provident Fund System”)