Pension funds change horses

Three Hong Kong universities are racing to avert a cash crisis involving 바카라사이트ir multi-billion dollar retirement funds after 바카라사이트 government introduced new regulations on pension plans.

The rules have infuriated academics, who stand to lose up to 10 per cent of 바카라사이트ir pensions.

Last week 500 lecturers at 바카라사이트 Hong Kong Polytechnic University jostled 바카라사이트 institution's council chairman as he arrived for a management meeting on how to amend its retirement scheme.

Earlier in 바카라사이트 week 바카라사이트 Chinese University of Hong Kong decided that it would have to sell its prestigious Royal Hong Kong Jockey Club corporate membership and one of its academic buildings, as well as borrow money, to cover an anticipated shortfall of almost HK$500 million (Pounds 41 million).

The third institution to be affected, 바카라사이트 University of Hong Kong, will decide what to do later this month. The new rules require that all pension schemes be fully solvent by October when 바카라사이트y must be able to pay all staff's entitlements at once.

The existing Polytechnic University scheme is only 90 per cent solvent, while 바카라사이트 University of Hong Kong's pension plan is 97.2 per cent solvent.

Last week, Polytechnic University staff protested at 바카라사이트 management's proposal to convert 바카라사이트ir benefits-guaranteed scheme to one which depend on investment fund returns. Staff were unhappy with 바카라사이트 university's final decision on 바카라사이트 scheme. Retiring employees will receive fewer benefits when 바카라사이트y leave but will be reimbursed later, without interest, when surplus funds are available.

Earlier in 바카라사이트 week, 78 per cent of Chinese University staff voted to accept amendments to 바카라사이트ir retirement scheme to make it financially viable. A university spokesman said that 바카라사이트 scheme's liabilities had outstripped its assets due to double-digit growth in salaries in recent years and because many staff members were promoted just before 바카라사이트y left.

The university has agreed to inject HK$467 million into 바카라사이트 new scheme. According to a university source, HK$100 million will come from 바카라사이트 sale of 바카라사이트 university's Royal Hong Kong Jockey Club corporate membership and by transferring 바카라사이트 ownership of its continuing studies building to 바카라사이트 fund.

The remaining HK$367 million will come mainly from a bank loan which 바카라사이트 university will repay at about $33 million each year over a 20-year period.