MPF RULES

Help… I have been employed in HK now for 3 years starting my 4th year of my contract.


Recently when I brought my work visa to the attention of my employer I learned that I was not enrolled in the HK MPF scheme when I started in 2008. I was keen to start a MPF fund as I felt it was an opportune time to get started as the world was reeling in the financial tsunami and get in on the bottom floor. I was told in 2008 that it is all done automatically by the employer.


So I was shocked to learn today that I am not involved at all in the HK MPF Scheme at all.


I was informed that as an Expat I was opted out of the program for the first 18 months (my employer said I opted out). I was told this is standard practice and that all expats are exempted for the first 18 months. While I do not agree with this I am told I have no options at this time.


I am also being told if I want to activate the program for the first possible activation date it would be after 18 months of employment and I will have to make a contribution based on a monthly minimum requirement of 1,000 HKD. I am being asked to pay back dues of 20,000 HKD now. Which I must pay immediately in order to activate the account, or I can just have it activated effective this month no back dues and the fund begins today.


This all seems a bit suspicious and perhaps not in my best interest. I do not feel my employer will advise me of my proper rights and I have seen on the MPF website that the employer is liable to a hefty fine for nonpayment of the fund plus the director is subject to prosecution. I am sure this would be applicable if it was done in malice or in an attempt to avoid. I do not believe this is the case here and believe it is just an error on the part of accounting and payroll.


I don’t want to ask questions of the MPF Fund Authorities as I feel it may bring an undue bad light on the company and could ultimately jeopardize my future employment.


I would like to know,


When does MPF actually start for Expats?

Is there in fact a period that Expats are opted out for?

What can I do here?


Much appreciated,


JO