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Following is the transcript (English portion) of the remarks made by the Secretary for Labour and Welfare, Mr Matthew Cheung Kin-chung, at a media stand-up today (June 24) on the Employment (Amendment) Bill 2009 and the Minimum Wage Bill:
Reporter: You just highlighted the rationale of excluding foreign domestic helpers, I'm just concerned that if there would be any legal challenges for Hong Kong?
Secretary for Labour and Welfare: First of all, in proposing to exclude live-in domestic helpers, I stress the word "live-in" domestic helpers, we don't differentiate between local and foreign, that is very important. In coming to the decision to exclude live-in domestic workers, we have taken account of the special circumstances, the relevant factors and also the views of stakeholders concerned. Primarily, there are two major reasons. One is the distinctive working pattern of domestic workers - for examples, round-the-clock presence, provision of service-on-demand and very diverse domestic duties expected of live-in domestic helpers - makes it virtually impossible to ascertain the actual hours worked so as to determine the wages to be paid. In short, we will be facing insurmountable practical difficulties in bringing them under the Statutory Minimum Wage regime because it would be calculated on an hourly basis. So in other words, how to ascertain the number of hours of work, given the very unique nature of work.
The second consideration is also relevant here is the remuneration package for live-in domestic workers is rather unique in a sense that it includes, on top of wages, in-kind benefits which are not available to their local counterparts, particularly to the live-in counterparts. Specifically, they enjoy free accommodation, free lodging, and also are spared the cost of commuting between home and workplace.
In the case of foreign domestic helpers, as you all know, they enjoy free food or food allowance, free medical treatment, free passage to and from their places of origin. And also to provide additional safeguard, the Government in fact since 1970s has introduced a minimum allowable wage to protect foreign domestic helpers, and the level currently is set at $3,580. So generally, this is the background in which we come to our decision.
On the question of legal challenge, we have taken advice from the Department of Justice and have been assured that the proposal to exclude live-in domestic workers, whether foreign or local, is legally tenable.
Reporter: Mr Cheung, regarding the Employment Ordinance Amendment, are you confident that the amendment will actually successfully have enough deterrent effect on violators?
Secretary for Labour and Welfare: I am quite sure that by criminalising default of Labour Tribunal Awards, we will provide a very effective deterrent and send a clear message to the community that it is a serious offence to default payment of Labour Tribunal Awards. Bear in mind that the maximum penalty is as high as three yearˇ¦s imprisonment and a fine of $350,000. It is quite a penalty, pretty heavy.
Reporter: Are you worried that there would be any further delay? Say, opposition from lawmakers, or wages committee, I donˇ¦t know if there is one. Are you worried that there will be any deferrals?
Secretary for Labour and Welfare: We have tried our best to deliver our pledge to introduce the bill (on minimum wage) before LegCo closes in the summer recess. I really hope that LegCo members would realise the importance of this bill and cooperate to scrutinise the bill as quickly as possible. Our timetable is, hopefully, by middle of next year, the Provisional Minimum Wage Commission will come up with the initial rate for minimum wage, we have to go back to LegCo as a subsidiary legislation for approval. So all these, I hope that, you know, in terms of timing, if everything goes well, hopefully, we will see the implementation of minimum wage by the end of next year or early 2011.
(Please also refer to the Chinese portion of the transcript.)
Ends/Wednesday, June 24, 2009
Issued at HKT 19:50
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