MPF semi-portability delayed again — legislation slips another session

MPF semi-portability has no date in sight. FTU lawmaker Wong Kwok-hing told LegCo the MPFA had floated the first half of 2011 for launch, leaving employees’ hopes dashed; the government had promised delivery within the year, and he pressed Financial Services Secretary Ceajer Chan on when the bill would reach LegCo.

What is MPF semi-portability?

It lets employees transfer the employee-contribution portion of their current-employment MPF account to a scheme of their choice, once a year. The “vote with your feet” mechanism is the key lever for pushing fees down.

Why the repeated delays?

Chan conceded the legislation could only be completed in the next legislative session. From “first half of 2011” to “within this year” to “next session” — the timetable kept slipping, disappointing many workers.

When did it actually happen?

On the government’s telling at the time, 2012 was the earliest possible. In the event, the Employee Choice Arrangement took effect on 1 November 2012 — the day workers finally got to vote with their feet.

To compare trustees’ fees and performance ahead of switching, visit MPF fund comparison.