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Following is a question by the Hon CHAN Yuen-han and a reply by the Secretary for Economic Development and Labour, Mr Stephen Ip, in the Legislative Council today (May 3):
Question:
In late 2004, the Administration referred to the Labour Advisory Board (LAB) for examination the subject on implementing the statutory minimum wage in Hong Kong. The Chief Executive stated in last November that the subject would be referred to the Commission on Strategic Development (CSD) for discussion if LAB could not reach any consensus on it by the middle of this year. In this connection, will the Government inform this Council :
(a) of the progress of LABĄ¯s discussion on implementing the statutory minimum wage;
(b) as it is stipulated in the provisions of the Trade Boards Ordinance (Cap. 63, Laws of Hong Kong) that, if the Chief Executive in Council is satisfied that the minimum rates of wages being paid to any persons employed in any trade are unreasonably low, he can fix minimum rates of wages for such trade with reference to the inquiry report submitted by the trade board established for this purpose, whether it has informed LAB of the contents of these provisions; if it has, of the views of LAB members; if not, the reasons for that; and
(c) whether it has made preparations for referring the subject to CSD immediately if LAB fails to reach a consensus on it by the middle of this year, and how much time will be given for CSD to discuss?
Reply
Madam President,
(a) The Labour Advisory Board (LAB) has been analysing and discussing the various considerations of introducing a minimum wage system in Hong Kong, the employment earnings and features of employees of selected occupations (namely the cleansing and guarding services sectors), as well as the experience of other places in implementing a minimum wage system. It has also explored the possible impact of introducing a minimum wage on Hong KongĄ¯s overall economy as well as employers and employees, with particular reference to the cleansing and guarding services sectors. Furthermore, the LAB has taken stock of the views expressed by the public on the issue collected by the Labour Department. The LAB is deliberating the matter in depth.
(b) The Trade Boards Ordinance (TBO) was enacted in 1940 but its provisions have never been invoked. As the TBO has been on the statute books for over 60 years, many of its provisions are outdated and unable to meet the needs and changing circumstances of modern-day society. Some provisions are inadequate for the purpose of law enforcement whilst others are inconsistent with the requirements of the Hong Kong Bill of Rights Ordinance and the Basic Law. For these reasons, we have not particularly mentioned this Ordinance in the course of the LABĄ¯s discussion.
(c) Should there be no substantive progress in the LABĄ¯s discussion in the next few months, the Government will consider referring the matter to the Commission on Strategic Development (CSD) for further deliberation. As the LAB is still studying the matter, it is premature to speculate on whether and when the issue would be referred to the CSD for discussion. We hope that the LAB could reach a consensus on the issue.
Ends/Wednesday, May 3, 2006
Issued at HKT 15:22
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