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According to the figures released today (October 25) by the Census and Statistics Department (C&SD), the average monthly salaries for middle-level managerial and professional employees for all the selected industry sections surveyed, as measured by the Nominal Salary Index (A), increased by 3.8% in June 2013 compared with a year earlier.
After discounting the increase in consumer prices as measured by the Consumer Price Index (C), the Real Salary Index (A) remained virtually unchanged in June 2013 compared with a year earlier.
Analysed by industry section and on a year-on-year comparison in nominal terms, the average monthly salaries for middle-level managerial and professional employees increased in all the individual industry sections in June 2013, ranging from 2.2% to 5.7%.
After discounting the increase in consumer prices, the Real Salary Index (A) increased in building and construction and related trades; and import/export, wholesale and retail trades, by 1.9% and 0.5% respectively. As for manufacturing, electricity and gas supply; financing and insurance; and transportation, storage, communications and travel agencies, decreases of 1.4%, 1.2% and 0.8% were recorded respectively.
The Salary Index (A) measures changes in salary rates for all middle-level managerial and professional employees of the companies covered by the survey. Another index, the Salary Index (B), which excludes newly recruited and promoted employees and covers only those middle-level managerial and professional employees remaining in the same occupation and in the same company in two consecutive years, is also compiled. Its main purpose is to measure salary changes due to general increment, meritorious performance and gain in seniority.
Comparing June 2013 with June 2012, the overall Salary Index (B) increased by 6.0% in nominal terms or 2.2% in real terms. The different movement between the Salary Index (A) and the Salary Index (B) was mainly attributable to the lower pay usually received by new recruits (included only in Salary Index (A) but not in Salary Index (B)) as compared with existing employees. Hence, in general, increases in Salary Index (B) are greater than the corresponding increases in Salary Index (A).
Statistics on the year-on-year percentage changes in the Nominal Salary Index (A), Real Salary Index (A), Nominal Salary Index (B) and Real Salary Index (B) for June 2013 in respect of the selected industry sections covered are shown in the tables attached.
The survey findings also showed that in June 2013, 74% of the middle-level managerial and professional employees were entitled to profit-sharing bonuses (74% in 2012), 42% to guaranteed year-end extra pay (44% in 2012), and 29% to housing benefits of some kind (32% in 2012).
Commentary
A Government spokesman noted that on the back of a tight labour market, the average salaries of all middle-level managerial and professional employees grew further by 3.8% in nominal terms in June 2013 over a year earlier. Excluding newly recruited and promoted employees who normally have lower pay, the average nominal salary increase was more appreciable at 6.0% year-on-year, translating into a real growth of 2.2% after discounting inflation.
The spokesman further pointed out that thanks to the vibrancy of many domestically-oriented sectors, both nominal salary indices showed broad-based improvement, with particularly discernible increases seen in the building and construction and related trades sector, and among engineering and other technical support personnel.
Other information
The salary indices are compiled annually based on the results of the Survey of Salaries and Employee Benefits - Managerial and Professional Employee (Excluding Top Management). This statistical survey has been conducted by the C&SD since 1984 to measure changes in salary rates for middle-level managerial and professional employees. A sample of about 260 companies was selected for the survey in 2013.
For the purpose of the survey, salary rate is defined to include basic salaries, cost-of-living allowance, guaranteed year-end extra pay, commission and tips, as well as other regular and guaranteed bonuses and allowances.
Details of the salary movement, average salary rate for major occupations, and statistics on employees' entitlement to various fringe benefits, together with a description of the survey methodology, are published in the "2013 Report of Salaries and Employee Benefits Statistics - Managerial and Professional Employees (Excluding Top Management)". The publication is available for downloading free of charge from the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp210.jsp?productCode=B1050010).
Enquiries concerning the salary indices can be directed to the Wages and Labour Costs Statistics Section (2) of the C&SD at 2887 5230.
Ends/Friday, October 25, 2013
Issued at HKT 16:30
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