Industry schemes: contributions due even under 60 days’ employment

An auntie temping at a café for a month wondered whether her boss was contributing MPF for her. The answer is yes — catering and construction have “industry schemes” under which employer and employee must contribute even for employment under 60 days.

Why the special arrangement?

Because these industries have high turnover and many “casual employees”. Casual employees are hired by the day or for under 60 days. The system created industry schemes for these sectors’ employers so short-term workers get MPF protection too.

How do casual employees contribute?

Open an employee account with an industry scheme in advance, and give the account details to each new employer on day one. Two trustees currently offer industry schemes. Employers opting to pay contributions on the working day after payday simply report to the trustee — no enrolment paperwork.

How do frequent job-changers manage accounts?

The account follows the person. Moving within the same industry keeps accrued benefits in one industry-scheme account — no multiplying accounts with every job change.

Before any MPF move, compare scheme fees at MPF fund comparison or learn how industry schemes work at the MPF education centre.