*************************************
Following is the transcript (English portion) of the remarks by the Secretary for Labour and Welfare, Mr Matthew Cheung Kin-chung, on the latest unemployment statistics at a media stand-up today (July 20):
The unemployment rate for the period April - June remained stable, following a slight relapse in the previous quarter.
The total employment over the period increased by 8,800. It is important to note that this is the first time since December 2009 and February this year that total employment has increased, reflecting that companies have become more active in hiring people and that the new jobs created were able to absorb the concurrent increase in labour supply. It is important to point out that of the 8,800 new employment created, 3,400 were from the construction sector. And particularly for the construction sector, notable improvement was made in the quarter in question.
Hong Kong's overall economic performance remains positive in general. Whilst companies adopted a more cautious approach in hiring staff when the Eurozone debt crisis surfaced in April and May, with the external environment now stabilising, they are now in a better recruiting mood, more ready to take on new hands, take on extra staff.
Looking ahead, the employment situation will still hinge on the pace of our economic growth, and in particular whether the number of new jobs created can absorb the entry of new fresh graduates and school leavers into the labour market in the next few months.
With the Eurozone debt crisis and its contagion still posing uncertainties and challenges, we will remain vigilant and continue to monitor the whole situation carefully.
Reporter: How do you expect the employment situation in the next quarter? Do you believe that the increase of the high school graduates will increase the unemployment rate in the next quarter?
Secretary for Labour and Welfare: I have actually mentioned earlier on that our overall economic performance at the moment is positive and in fact pretty robust. Companies tend to be more cautious in recruiting people during the April - May period because of the Eurozone debt crisis. But now with the external environment stabilising, confidence is coming back, so a lot of employers are now in a better hiring mood, better recruitment mood, so creating more jobs. If you look at the job gains for the period in question - we are talking about April, May, June - 8,800 new jobs were created. This is the first time since December last year up to February this year, that period. So no job gains at all for the previous four months. But jobs were coming back in this quarter. This is indicative of the revival in the labour market and also more confidence, particularly for employers to take on new hands.
For youth unemployment in particular, we are facing a peak period as usual - summer vacation, you know, with school finishing, university graduates joining the labour market. The situation is perfectly in line with the previous situation in the previous years. In fact if you look at the 15 to 19 age cohort, the most vulnerable group in terms of unemployment, the present unemployment rate stood at 20.4%. Now 20.4% is high, but if you look at the absolute figure itself, we are talking about 7,700 youngsters waiting for employment. So in terms of absolute number, the figure is not particularly high. We've got enough places in our training programmes - Youth Employment Training Programme, Work Experience Training Programme, under the Vocational Training Council and also the Labour Department - enough places to absorb them. We welcome them coming and we won't turn away anybody. And also the other thing to bear in mind is that, we are mounting today in the West Kowloon Dragon Centre a three-day recruitment fair providing 2,500 jobs and a lot of these jobs are suitable for young school leavers and graduates. They don't require experience. All they need are people who are joining the labour market. Opportunities are here. But we are watching the situation carefully. We won't be complacent and will do what we can to help youngsters in finding jobs.
(Please also refer to the Chinese portion of the transcript.)
Ends/Tuesday, July 20, 2010
Issued at HKT 19:19
NNNN
