The following is issued on behalf of the Hong Kong Monetary Authority: The Hong Kong Monetary Authority (HKMA) and Securities and Futures Commission (SFC) today (April 19) issued a joint consultation on the annual updat… read more
Hong Kong Customs on April 16 mounted an anti-smuggling operation in the western waters of Hong Kong and detected a suspected smuggling case involving a river trade vessel in the waters off Fan Lau. About 360 kilograms of suspected scheduled dried shark fins of endangered species with an estimated market value of about $1.8 million were seized.
During an anti-smuggling operation conducted in the above-mentioned waters on that day, Customs intercepted a river trade vessel heading towards Macao. After inspection, Customs officers found the batch of suspected scheduled dried shark fins of endangered species on board the vessel.
An investigation is ongoing and the likelihood of arrests is not ruled out.
Under the Protection of Endangered Species of Animals and Plants Ordinance, any person found guilty of importing or exporting an endangered species without a licence is liable to a maximum fine of $10 million and imprisonment for 10 years.
Members of the public may report any suspected smuggling activities to Customs’ 24-hour hotline 2545 6182 or its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002/).
The Census and Statistics Department (C&SD) released today (April 19) the results of the Quarterly Business Tendency Survey for the second quarter (Q2) of 2024.
Business situation
For all surveyed sectors taken together, the proportion of respondents expecting their business situation to be better (14%) in Q2 2024 over the preceding quarter is slightly higher than that expecting it to be worse (12%).
When compared with the results of the Q1 2024 survey round, the proportion of respondents expecting a better business situation in Q2 2024 is 14%, slightly higher than the corresponding proportion of 13% in Q1 2024, while the proportion of respondents expecting a worse business situation in Q2 2024 is broadly the same as the corresponding proportion in Q1 2024 (12%).
Analysed by sector, more respondents in the financing and insurance sector expect their business situation to be better in Q2 2024 as compared with Q1 2024. On the other hand, more respondents in the retail and construction sectors expect their business situation to be worse, as compared to those expecting it to be better.
The results of the survey should be interpreted with care. In this type of survey on expectations, the views collected in the survey are affected by the events in the community occurring around the time of enumeration, and it is difficult to establish precisely the extent to which respondents’ perception of the future accords with the underlying trends. The enumeration period for this survey round was from March 2, 2024 to April 11, 2024.
Volume of business/output
Respondents in quite a number of the surveyed sectors expect their volume of business/output to decrease on balance or remain broadly unchanged in Q2 2024 as compared with Q1 2024. In particular, more respondents in the retail sector expect their volume of sales to decrease in Q2 2024 over Q1 2024. On the contrary, more respondents in the financing and insurance sector expect their volume of business to increase, as compared to those expecting it to decrease.
Employment
Respondents in most of the surveyed sectors expect their employment to increase on balance or remain broadly unchanged in Q2 2024 as compared with Q1 2024. In particular, more respondents in the real estate, financing and insurance, accommodation and food services and construction sectors expect their employment to increase in Q2 2024 over Q1 2024. In the information and communications sector, however, more respondents expect their employment to decrease, as compared to those expecting it to increase.
Selling price/service charge
Respondents in most of the surveyed sectors expect their selling prices/service charges to remain broadly unchanged in Q2 2024 as compared with Q1 2024. In the accommodation and food services sector, however, more respondents expect their charges for services rendered/prices of food provided to go up in Q2 2024 over Q1 2024. On the other hand, more respondents in the retail sector expect their selling prices to go down, as compared to those expecting them to go up.
Commentary
A Government spokesman said that large enterprises’ overall business sentiment and appetite for hiring improved slightly as compared to three months ago.
Looking forward, the spokesman said that while the complicated external environment will still affect business sentiment in the near term, continued growth of the local economy should provide support. The Government will monitor the situation closely.
Further information
The survey gathers views on short-term business performance from the senior management of about 560 prominent establishments in various sectors in Hong Kong with a view to providing a quick reference, with minimum time lag, for predicting the short-term future economic performance of the local economy.
The survey covers 10 major sectors in Hong Kong, namely manufacturing; construction; import/export trade and wholesale; retail; accommodation and food services (mainly covering services rendered by hotels and restaurants); transportation, storage and courier services; information and communications; financing and insurance; real estate; and professional and business services sectors.
Views collected in the survey refer only to those of respondents on their own establishments rather than those on the respective sectors they are engaged in, and are limited to the expected direction of quarter-to-quarter change (e.g. “up”, “same” or “down”) but not the magnitude of change. In collecting views on the quarter-to-quarter changes, if the variable in question is subject to seasonal variations, respondents are asked to provide the expected changes after excluding the normal seasonal variations.
Survey results are generally presented as “net balance”, i.e. the difference between the percentage of respondents choosing “up” and that choosing “down”. The percentage distribution of respondents among various response categories (e.g. “up”, “same” and “down”) reflects how varied their business expectations are. The “net balance”, with its appropriate sign, indicates the direction of expected change in the variable concerned. A positive sign indicates a likely upward trend while a negative sign indicates a likely downward trend. However, the magnitude of the “net balance” reflects only the prevalence of optimism or pessimism, but not the magnitude of expected change, since information relating to such magnitude is not collected in the survey.
Furthermore, owing to sample size constraint, care should be taken in interpreting survey results involving a small percentage (e.g. less than 10%) of respondents in individual sectors.
Chart 1 shows the views on expected changes in business situation for the period Q2 2023 to Q2 2024.
Table 1 shows the net balances of views on expectations in respect of different variables for Q2 2024.
The survey results are published in greater detail in the “Report on Quarterly Business Tendency Survey, Q2 2024”. Users can browse and download the publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1110008&scode=300).
Users who have enquiries about the survey results may contact the Business Expectation Statistics Section of the C&SD (Tel: 3903 7263; email: business-prospects@censtatd.gov.hk). read more
Following are the speaking notes of the Secretary for Labour and Welfare, Mr Chris Sun, on labour, manpower development and retirement protection policy areas tabled at the special meeting of the Legislative Council Finance Committee today (April 19):
Chairman and Honourable Members,
Recurrent government spending on labour and manpower development in 2024-25 is estimated to be $3,350 million, representing an increase of $540 million (about 19.4 per cent) over the revised estimate of $2,810 million last year. It accounts for 0.6 per cent of the total recurrent government expenditure. I will highlight the key areas of work in respect of the relevant areas in the coming year.
Re-employment Allowance Pilot Scheme
To encourage the elderly and middle-aged to join the workforce, the Labour Department (LD) will launch a three-year Re-employment Allowance Pilot Scheme. The Scheme will provide a re-employment allowance to persons aged 40 or above who have not been at paid employment for three consecutive months or more to incentivise them to rejoin the workforce. Each eligible person will receive a maximum re-employment allowance of $20,000 during the implementation of the Scheme. The estimated expenditure for the re-employment allowance is approximately $120 million, which is expected to benefit some 6 000 persons.
“Continuous contract” requirement
The Labour Advisory Board has reached a consensus on the review of the “continuous contract” requirement (commonly referred to as the “418” requirement) under the Employment Ordinance. Such a requirement will be relaxed by using the aggregate working hours of four weeks as a counting unit and setting the four-week working hour threshold at 68 hours. The Government has reported the review outcome to the Panel on Manpower of the Legislative Council and commenced the relevant legislative amendment work.
Abolition of Mandatory Provident Fund offsetting arrangement
To tie in with the implementation of the abolition of the Mandatory Provident Fund offsetting arrangement on May 1 next year, the Government is pressing ahead with the preparatory work, including developing an information technology system for the Government Subsidy Scheme and formulating its operational details.
Collecting information on working situation of digital platform workers
The LD has commissioned the Census and Statistics Department to conduct a Thematic Household Survey to collect information on the working situation of local digital platform workers (DPWs) and plans to collect the views of DPWs for the formulation of strategies for protecting DPWs.
Enhancing occupational safety and health
The LD is highly concerned about the recent fatal work accidents. Apart from commencing immediate on-site investigations, issuing suspension notices to the relevant duty holders and ascertaining the legal liability of the duty holders concerned, the LD has launched a series of follow-up actions having regard to the nature of the accidents, such as conducting targeted special enforcement operations and setting up Special Task Forces to combat unsafe work activities.
The LD has also revised the Code of Practice (CoP) for Bamboo Scaffolding Safety, which involves enhancing the stability of bamboo scaffolds and requiring bamboo scaffolders to possess valid safety training certificates before carrying out the relevant work. The newly revised CoP has been gazetted today.
On the other hand, to enhance the safety and health protection for workers in confined spaces, the LD will revise the relevant CoP following stakeholder consultations. It is expected to complete the revision exercise in the first half of this year.
Pilot Rehabilitation Programme for Employees Injured at Work
The LD is going to extend the Pilot Programme to cover the “catering and hotel industry” and the “transportation and logistics industry” starting from next month, with the aim of benefiting more injured employees.
Talent attraction
In the face of the labour shortage for various industries, on top of ongoing promotion of local training, the Government has also implemented various talent attraction measures including the launch of the Top Talent Pass Scheme (TTPS) since the end of 2022.
As at end-March this year, around 110 000 talents have arrived in Hong Kong through various talent admission schemes. Of these, we received over 77 000 applications under the TTPS and approved nearly 62 000. While there is no requirement for the TTPS entrants to be employed in the first two years, many of them have already been working in Hong Kong.
We understand from last November’s follow-up surveys with the TTPS entrants having arrived in Hong Kong for more than six months that 54 per cent of the talents arrived in Hong Kong had been in employment, taking up primarily managerial and professional posts with median monthly employment earnings of about $50,000. Around 25 per cent of the talents had monthly employment earnings of $100,000 or above. These are obviously higher than the local median monthly employment earnings of $20,000. In addition, 16 per cent of the incoming talents’ spouses had already taken up employment and most of them were engaged in high-skilled jobs. These survey findings illustrate that the arrival of the TTPS entrants and their spouses brings about direct economic contribution to Hong Kong. Besides, more than half of them were aged under 40 and many of them settled in Hong Kong with their young children. They will add new impetus to the local labour force and bring about positive impact on Hong Kong’s demographic structure.
We will review the TTPS and other enhanced arrangements of talent admission in the middle of this year to ensure the competitiveness of the measures and their effectiveness in addressing local manpower demands.
To alleviate the manpower shortage in skilled trades, the Government decided to launch the Vocational Professionals Admission Scheme. Starting from the 2024/25 admission cohort, non-local students of designated full-time professional Higher Diploma programmes of the Vocational Training Council (VTC) can apply for staying in Hong Kong for one year after graduation under the Scheme to seek jobs relevant to their disciplines. This Scheme will be piloted for two years. The VTC is now conducting publicity and student recruitment.
Hong Kong Talent Engage, established at the end of October last year, provides support and organises activities for incoming talent to proactively attract global talent with diverse backgrounds to come and settle in Hong Kong. We will organise the Global Talent Summit · Hong Kong on May 7 and 8 to promote Hong Kong’s unique advantages as an international talent hub and enhance talent mobility and co-operation among cities in the Guangdong-Hong Kong-Macao Greater Bay Area. We have issued invitations to Honourable Members to welcome you all to join the Summit.
Efforts on training
On training, the maximum monthly retraining allowance has increased to $8,000 in February this year so as to encourage more unemployed and job-seekers to enrol in training and enter the employment market. The Employees Retraining Board (ERB) has also launched the “One-stop Training and Employment Scheme” in February, and is actively promoting the Scheme to employers and recruiting trainees. The ERB is conducting a comprehensive review on its service targets, scope, etc, and will submit a report to the Government in the third quarter of this year.
To encourage more young people to participate in the Apprenticeship Scheme and join the relevant trades, each registered apprentice, for a period of three years starting from 2024-25, will be provided with an additional training allowance of $1,000 per month, and graduated apprentices will be subsidised to undertake upskilling courses of relevant trades. Meanwhile, the VTC receives subvention to organise short in-service training courses with a view to meeting the market demand.
Enhancement to Manpower Projection
The Labour and Welfare Bureau is conducting the Manpower Projection (MP) to assess the manpower requirements and shortages for key industries driving Hong Kong’s economic growth, and essential services supporting the city’s operation in 2028. Sectoral consultations for the MP exercise have largely been completed. We are consolidating data and information from various sources. Key findings of the exercise are expected to be available in the third quarter of this year, with a view to promulgating a detailed report early next year.
Chairman, this concludes my opening remarks. Members are welcome to raise questions. read more
The Financial Secretary, Mr Paul Chan, concluded his visit to Suzhou and returned to Hong Kong today (April 19).
In the morning, Mr Chan visited an enterprise engaging in hydrogen power technology, and toured its factory of fuel cell system and product assembly and testing. Mr Chan also met with representatives of the enterprise to learn about its plans to expand research and development (R&D) and international business. The enterprise has submitted its listing application in Hong Kong. Mr Chan encouraged the enterprise to expand their business planning in Hong Kong, including setting up R&D facilities and even international headquarters, and make good use of Hong Kong’s fund-raising services to strengthen their business and internationalisation. The Office for Attracting Strategic Enterprises, Invest Hong Kong, etc, will provide one-stop services and facilitate their settling in Hong Kong.
In concluding his visit to Hangzhou and Suzhou, Mr Chan said, “Hangzhou and Suzhou are both fast-developing and highly advanced cities in the Yangtze River Delta Economic Zone, with an energetic digital economy, a strong foundation for advanced manufacturing, vibrant development of private enterprises, robust innovation and technology capacities, and a rich cultural and creative atmosphere. They are enhancing the development of new quality productive forces with innovation to promote high-quality development. Hong Kong has close economic, trade, and cultural exchanges with the two cities. Hong Kong possesses advantages including its connectivity with international capital, alignment with international standards, provision of high-quality professional services, ability to attract international talent, and access to international markets. In addition, the Hong Kong Special Administrative Region Government is continuously promoting the development of innovation and technology in Hong Kong. Hong Kong can join hands with Hangzhou and Suzhou to assist their enterprises in developing their international businesses, and in managing cross-border industry and supply chains, as well as off-shore trade financing. During this visit, I met with leaders of both cities to discuss strengthening co-operation. I also visited various enterprises engaging in artificial intelligence, big data, biomedical technology, new materials, and new energy. I firmly believe in the enormous potential and scope for future collaboration between Hong Kong and the Yangtze River Delta region.”
