The Civil Service Bureau (CSB) made pay offers to the staff side of the four civil service central consultative councils today (June 8), under which the pay for civil servants in the upper, middle and lower salary bands and the directorate be frozen for 2021-22, effective retrospectively from April 1, 2021.

     The above decisions were made by the Chief Executive-in-Council (CE-in-Council) after considering all relevant factors under the established annual civil service pay adjustment mechanism, including:

* the net pay trend indicators;
* the state of Hong Kong's economy;
* changes in the cost of living;
* the Government's fiscal position;
* the pay claims of the staff side; and
* civil service morale.

     "There are unfavourable and encouraging factors at the same time as far as the state of the economy is concerned. While the unemployment rate still stands at a high level, the state of the economy has shown a clear trend of recovery. Real Gross Domestic Product (GDP) is forecast to grow by 3.5 per cent to 5.5 per cent in 2021, and real GDP resumed appreciable year-on-year growth of 7.9 per cent in the first quarter of 2021. Although the COVID-19 epidemic in the past year has had a great impact on various industries in Hong Kong, labour market conditions will likely improve in the period ahead as the economy continues to recover, particularly so if the epidemic remains well contained. Local inflation may go up slightly alongside the recovering economy. At the same time, the efforts and contributions of civil servants at all ranks in fighting the epidemic in the past year are worthy of recognition. The CE-in-Council, after balancing all relevant factors, made an offer to freeze pay," a CSB spokesman said.
 
     "The CE-in-Council will make a decision on the 2021-22 civil service pay adjustment after considering the response from the staff side and in accordance with the established mechanism," the spokesman added.

Ends/Tuesday, June 8, 2021
Issued at HKT 12:27

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