The Mandatory Provident Fund (MPF) is one of the worst implemented schemes which steals money from the employees and punishes entrepreneurs. It offers returns lower than inflation and in most instances delivers returns lower than fixed deposit.
It is already hard enough to operate a business in Hong Kong and MPF adds considerably to the administrative overheads of any small business because MPF payments cannot be made in advance and must be made before the 10th day of every month, which means that every month the employers have to go through the rigomorale of filling out forms, calculating the MPF contribution, filing to the MPFA any changes (e.g. resignations, layoffs, etc.) and then writing / sending cheques to the trustee.
Probably because we have been quite vocal about our views on MPF, a labour department inspection was sent to our office to check that we have observed all of the labour laws in Hong Kong. They asked for documents for all the employees, the Employee Compensation coverage note and other documents.
Having sent them everything by email; they are now harassing us requesting a meeting…. As an employer, Hong Kong is becoming a more and more difficult place to operate a business whilst the Communist government happily kidnaps Hong Kong residents illegally.