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Hong Kong may adjust review period for minimum wage, improve efficiency of process, labour chief reveals

  • Secretary for Labour and Welfare Chris Sun says he will ask Minimum Wage Commission to look at how existing mechanism can be made more efficient
  • That may include a shorter time frame between evaluations, he says

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The minimum wage for low-income earners has been frozen for four years. Pictured at Jordan. Photo: SCMP

Hong Kong authorities are considering shortening the period between minimum wage reviews and making the process more efficient, the city’s labour minister has revealed, with the pay level set to rise in 2023 after a four-year freeze.

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Speaking to the Post exclusively, Secretary for Labour and Welfare Chris Sun Yuk-han said he would task the Minimum Wage Commission, the statutory body responsible for setting the hourly pay level, with looking into how the existing mechanism could be made more efficient with a possibly shorter time frame between evaluations.

“Right now we’re doing it every two years. Do we have to shorten it?” Sun said on Saturday. “If you’re going to shorten it, what kind of a new method are we going to adopt in order to achieve a shorter frequency? And also, how can we increase the efficiency?”

Secretary for Labour and Welfare Chris Sun. Photo: Jonathan Wong
Secretary for Labour and Welfare Chris Sun. Photo: Jonathan Wong

Sun added that his review request to the commission would be independent from the usual level adjustments.

Hong Kong introduced the statutory minimum wage in 2011, at first setting the amount at HK$28 per hour. The rate was gradually increased every two years and reached HK$37.50 in 2019.

But the amount was frozen at HK$37.50 last year, the first time it had remained unchanged, with authorities highlighting a struggling economy battered by the coronavirus pandemic.
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The Post learned last month that the minimum wage could be increased to HK$40 per hour, following a recommendation by the commission. If approved, the new minimum wage would take effect next May.

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