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The following is the transcript of the remarks by the Secretary for Labour and Welfare, Mr Matthew Cheung Kin-chung, on the passage of the Minimum Wage Bill by the Legislative Council (LegCo) at a media stand-up early this (July 17) morning (English portion):
Reporter: What is your reaction to the passage of the Bill and the government's rationale behind the two-year review of the minimum wage?
Secretary for Labour and Welfare: I am very pleased indeed that the Minimum Wage Bill has been enacted. It has been passed by the LegCo after 41 hours' debate. It marks a very important milestone in the protection of our labour, particularly grass-root workers in Hong Kong. I would say it actually opens a new page in our socio-economic history. In the next few months, a lot of work has to be done, particularly in, for example, the determining of the initial rate and also to do all the preparatory work leading to the implementation of minimum wage in the first half of next year. We will devise guidelines for particular sectors, and also start an education and publicity campaign, as well as work out the details for the disabled in particular, because they are the vulnerable group and need to be handled carefully.
On your question about the review which we promised at least once every two years, it is a very good idea that we put forward. It's much better than the annual review in the sense that it combines three benefits. First of all, it combines regularity with flexibility and also protection of labour rights. By actually requiring the Commission to conduct a review at least once every two years, this will provide certainty. And also, at the same time, if circumstances warrant, we can always carry out an interim review, an additional review, within the two-year period. So, it's flexible. And also it allows us to be more responsive and also more time to collate analysed data.
Reporter: Minimum wage will lead to job loss…… (inaudible)
Secretary for Labour and Welfare: We will certainly monitor development closely when minimum wage is implemented in Hong Kong. Experience elsewhere suggests that the real impact won't be visible until, say two years after it is implemented. We will be watching the situation carefully and do what we can to help those displaced because of this new measure, help to retrain them and if necessary, provide social security for them.
(Please also refer to the Chinese portion of the transcript)
Ends/Saturday, July 17, 2010
Issued at HKT 09:30
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