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According to the latest labour force statistics released today (August 17) by the Census and Statistics Department (C&SD), the seasonally adjusted unemployment rate decreased from 4.6% in April - June 2010 to 4.3% (provisional figure) in May - July 2010. The underemployment rate remained unchanged at 2.0% (provisional figure for May - July 2010).
Comparing May - July 2010 with April - June 2010, decreases in the unemployment rate (not seasonally adjusted) were mainly observed in the retail; hotels; information and communications; arts, entertainment and recreation; and manufacturing sectors. As to the underemployment rate, decreases were mainly seen in the foundation and superstructure, and repair, laundry, domestic and other personal service activities sectors, offsetting increases in the arts, entertainment and recreation, and wholesale sectors.
Total employment increased by around 8 100 from 3 492 100 in April - June 2010 to 3 500 200 (provisional figure) in May - July 2010. Over the same period, the labour force increased by around 3 600 from 3 664 000 to 3 667 600 (provisional figure).
The number of unemployed persons (not seasonally adjusted) decreased by around 4 400 from 171 800 in April - June 2010 to 167 400 (provisional figure) in May - July 2010. Over the same period, the number of underemployed persons decreased slightly from 73 700 to 72 900 (provisional figure).
Commentary
The seasonally adjusted unemployment rate dropped notably by 0.3 percentage point to 4.3% in May - July 2010, the lowest level since November 2008 - January 2009.
The Secretary for Labour and Welfare, Mr Matthew Cheung Kin-chung, said that the drop was mainly due to the strengthened hiring sentiment of corporations given the sustained economic growth, resulting in a further increase of 8 100 in total employment.
"In light of the latest feedbacks from business surveys and job vacancy data, more new jobs are likely to be created in the next few months, providing favourable conditions for the labour market to improve further," he noted.
Mr Cheung pointed out that unemployment rate in the construction sector dropped by 0.5 percentage point to 7.1%. Of this, the unemployment rate for the decoration, repair and maintenance for buildings sub-sector fell by 0.6 percentage point to 8.1% and that for the foundation and superstructure sub-sector decreased by 0.4 percentage point to 6.8%. The figures registered marked cumulative decreases of 13.6 and 3.8 percentage points respectively when compared to their peaks in 2009.
On youth employment, he observed that the unemployment rate of the 15-24 age group went up by 1.0 percentage point to 13.2%, with 41 300 unemployed. Among them, the unemployment rate of the 20-24 age group rose by 1.0 percentage point to 12.1%, leaving 32 800 unemployed, while that of the 15-19 cohort dropped slightly by 0.3 percentage point to 20.1%, with 8 400 unemployed.
During the same period last year, the unemployment rate of young people aged 15-24 was higher at 14.7%, with 52 100 unemployed. The unemployment rate for the 20-24 age group was 12.0%, with 35 800 unemployed, while that for the 15-19 cohort stood at 28.5%, with 16 300 unemployed.
"Although the youth unemployment situation has improved when compared to a year earlier, the figures were still on the high side. We will continue to leave no stone unturned to help young people find jobs," Mr Cheung said.
Looking ahead, Mr Cheung said, "The employment situation will still hinge on the overall economic growth and the pace of job creation. The uncertainty stemming from the fragile nature of recovery in the United States and Europe remains a major cause for concern. We will continue to be vigilant and monitor developments closely."
In July 2010, the number of private sector vacancies posted by the Labour Department increased significantly by 46.9% from 45 433 in the same period of last year to 66 734, and rose by 8.9% when compared to 61 302 in the preceding month. The number of successful placements increased by 4.4% from 12 142 in June 2010 to 12 681, and up by 36.5% over 9 288 in the same period last year.
Further Information
The unemployment and underemployment statistics were compiled from the findings of the continuous General Household Survey.
The survey for May - July 2010 covered a sample of some 24 000 households or 73 000 persons, selected in accordance with a scientifically designed sampling scheme to represent the population of Hong Kong.
Data on labour force characteristics were obtained from the survey by interviewing each member aged 15 or over in the sampled households.
In the survey, the definitions used in measuring unemployment and underemployment follow closely those recommended by the International Labour Organisation.
Detailed analysis of labour force characteristics is given in the "Quarterly Report on General Household Survey" which is published four times a year. The current issue of the report covering the quarter January - March 2010 is now available and the next issue covering the quarter April - June 2010 will be available by end August 2010. Users can download this publication free of charge at the website of the Census and Statistics Department (C&SD) (www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/labour/index.jsp).
Enquiries for more detailed labour force statistics for April – June 2010 can be directed to the General Household Survey Section (2), Census and Statistics Department (Tel.: 2887 5508; Fax: 2508 1501; E-mail: ghs@censtatd.gov.hk).
Ends/Tuesday, August 17, 2010
Issued at HKT 16:30
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