Labour union says Hong Kong’s minimum wage hike insufficient

The Minimum Wage Commission reached a consensus last Thursday to raise the minimum wage to HK$40, a 6.7% increase.
By: | October 18, 2022
Topics: Compensation and Benefits | Compliance | Employment Law | Hong Kong | News

Hong Kong’s minimum wage hike to HK$40 (US$5.10) is insufficient to protect the livelihood of workers, and should instead be increased to HK$46 (US$5.86), said a labour union.

Currently, around 14,000 workers earn the minimum wage. Most of these workers are cleaners and security guards, who deserve respect as frontline workers in the fight against the pandemic, said the Federation of Hong Kong and Kowloon Labour Unions (HKFLU).

“[The HKFLU] believes that the minimum wage should be increased to not less than $46, which is a reasonable wage level for grassroots employees that will allow them to afford their daily basic living expenses,” read the statement.

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Last Thursday, the Minimum Wage Commission reached a consensus of raising the current minimum wage of HK$37.50 (US$4.78) to HK$40, an increase of around 6.7%.

The Minimum Wage Commission, whose recommendations inform minimum wage adjustments, is tasked with submitting a report to the government by end-October, ahead of a review the following year. In the past, revised minimum wages have come into effect on May 1. In 2021, authorities did not adjust the minimum wage, citing poor economic outlook, reports Hong Kong Free Press.