The Hong Kong Council of Social Service (HKCSS) has called on the government to alleviate poverty according to the unique characteristics of each district.

Analyzing the official statistics for last year, the council found that the poverty rate on the Islands, especially at Tung Chung on Lantau, has hit 22.3 percent, surpassing the traditional poorest districts of Sham Shui Po (21.4 percent) and Yuen Long (21.1 percent).

Chua Hoi-wai, business director in Policy Research and Advocacy at HKCSS, said every district has its own poverty problem which should be addressed accordingly. For instance, 17 percent of Sham Shui Po's population are elders aged 65 or above, while nearly 15 percent of those living on the Islands are children age 0-14.

He acknowledged the outcome of minimum wage had lifted 55,000 young and middle-aged workers out of poverty last year. On the contrary, the number of elderly people living in poverty rose by 0.5 percent to 32.7 percent, or 290,000 in total.

Young people in the low-income group have earned more, thanks to the introduction of minimum wage, but this did not benefit their parents as many of them do not support their parents. Among the elderly, 176,000, or 53.9 percent, lived alone or just with their spouses.

Council chief executive, Christine Fang Meng-sang, said adjustment of the minimum wage should be in line with inflation and urged the government to review wages annually. To thoroughly alleviate poverty among elderly people, she said a universal pension system is a must, but details can be discussed through public consultation.

"The proposed old-age living allowance is used to alleviate poverty among old people, and not a gesture of gratitude as fruit money. Hence , it has to be calculated in order to cover their basic necessities," Fang said.

The council also called for the HK$2,200 old-age living allowance to be raised to HK$3,000 and the asset ceiling to HK$600,000.

"After setting an official poverty line, we can look deeper and find out which age groups are the mostly afflicted and the causes of poverty. Each district can formulate measures to specifically tackle the problem," she added.

The Democratic Alliance for the Betterment and Progress of Hong Kong (DAB) has suggested an asset cap for elderly people applying for the allowance, which currently is set at HK$186,000 for a single applicant. It said the cap should be set at HK$300,000 - the same as for public-housing applicants.

For a couple, the limits should be HK$10,520 in monthly income and HK$281,000 in assets.

Attending a function co-organized by the HKCSS and the Hong Kong Federation of Women's Centres to help newly-elected lawmakers get a grip of the poverty problem in Sham Shui Po on Monday, DAB lawmaker Leung Che-cheung said elderly Chinese have a habit of saving money for their funerals, and having savings of HK$186,000 is very common among them.

He added the DAB may not agree to vote on the new scheme when it is tabled in the Legislative Council later this month.

"We have to ensure that the elders are able to live a relatively easy retirement life - say 20 years, between 65 and 85, with a reasonable amount of money," Leung said. "The society has a greater consensus on having a means test, but the cap can be increased."

mingyeung@chinadailyhk.com

(HK Edition 10/16/2012 page1)