LCQ11: Construction sector manpower required for development of Northern Metropolis
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Question:
There are views that the Northern Metropolis (NM), adopting an "industry-driven and infrastructure-led" approach as its development principle, will provide over 3 000 hectares of new development land for various public and private sector construction projects, and that the corresponding dedicated legislation for NM has already undergone public consultation, the Government should make necessary preparations to ensure an adequate manpower supply in the construction sector, so as to accelerate the progress of infrastructure works and industrial development in NM. In this connection, will the Government inform this Council:
(1) whether it has reviewed if the current manpower supply in the construction sector is sufficient to support the development of NM; if so, of the details; if not, the reasons for that;
(2) given that the Development Bureau has been implementing the Labour Importation Scheme for the Construction Sector (Scheme), which, on the premise of safeguarding the employment priority for local labour, allows eligible employers to import labour through the Scheme at an appropriate scale to fill vacancies in the local workforce, since the launch of the Scheme to date, of (i) the total number of quotas approved, with a breakdown by trade and discipline, and (ii) the average time taken from the submission of an application to the approval of a quota; whether the authorities can shorten the time taken for vetting and approval to expedite the provision of the construction sector manpower required for the development of NM; and
(3) given that the Scheme primarily applies to public sector construction works contracts with a contract value of no less than HK$1 billion, and in view of the need for public-private partnership in the development of NM, whether the Development Bureau will consider cutting red tape and easing restrictions to include private sector construction works related to NM within the scope of eligible works under the Scheme, so as to provide a more flexible arrangement for the importation of labour?
Reply:
President,
The Northern Metropolis (NM) is Hong Kong's major new strategic development space for the future which will provide substantial land for industry development. As the construction volume associated with the NM development is expected to rise continuously, we must put in place relevant measures to meet the resulting manpower demands on the construction industry. To this end, the Development Bureau (DEVB) will work with the Construction Industry Council (CIC) to strengthen local training and promote technology adoption across the sector, to enhance the overall productivity of the construction industry, while adhering to the multipronged approach and the policy of ensuring employment priority for local workers. The DEVB will also continue to make effective use of the existing Labour Importation Scheme for the Construction Sector (Scheme) as a supplementary measure to respond flexibly to the industry's manpower needs.
My reply to the questions raised by the Member is as follows:
(1) According to the Construction Expenditure Forecast and Manpower Forecast for Hong Kong Construction Industry released by the CIC in April 2026, generally speaking, taking the NM development into account, the total construction expenditure of the industry could reach $305 billion to $360 billion in 2030/31. The medium-to long-term outlook for the construction industry remains robust, and the overall construction expenditure of the industry is expected to grow steadily.
Due to the ongoing efforts by the CIC to enhance training and the increased adoption of innovation and technology across the sector, labour shortage in some trades has eased. However, with the gradual recovery of the economy including the real estate market, a gradual resurgence of the volume of private sector projects is expected. Together with the anticipated rising volume of public works, including the NM development and other public projects (such as railway and public housing projects), the manpower demand of the construction industry will remain keen in the next five years. There is a need to retain the current Labour Importation Scheme for the Construction Sector and the quota ceiling of 12 000 under the Scheme. The Government will continue to collaborate with the CIC and industry stakeholders to address the industry's manpower demand with the multi-pronged strategy.
(2) The Labour Importation Scheme for the Construction Sector was launched in July 2023. Applications for labour importation quota must be submitted by the principal contractor of eligible works contracts. The DEVB is responsible for handling and approving these applications. Applicants are required to prove that there is a genuine need for importing workers based on the works progress. The personnel to be imported by applicants must be of the eligible trades/disciplines identified to be in shortage. Applicants or employers must also conduct local recruitment as required under the Scheme and demonstrate that they are unable to employ sufficient local workers to take up the relevant trades/disciplines before their applications are considered. All imported labour applications approved under the Scheme must be for skilled workers and technicians working at construction sites. The Scheme does not allow the importation of general workers nor the imported labour to be engaged in work other than the trades/disciplines specified in the applications. The Approving Authority will stringently perform its gatekeeping role, and will only decide whether to approve an application having regard to the advice of an interdepartmental committee comprising relevant Government departments.
Quota allocation is on a rolling basis, i.e. quotas will be released for new applications after completion of the relevant construction projects. The vetting and approval for the first twelve rounds of applications under the Scheme have been completed. Currently, there are 6 897 approved and valid quotas under the Scheme, including the 259 valid quotas approved before the implementation of the Scheme and counted towards it. A breakdown by trade can be found in the Annex.
The Scheme will accept applications on a quarterly basis with each application period lasting for a month. Application results will be issued to the principal contractor-applicant within two months from the relevant closing date of the application. The above is the normal cycle for the application and approval process. However, should individual construction project be identified as having high urgency, the DEVB will also consider handling its application for imported labour on a case-by-case basis, taking into account the actual circumstances of that project.
(3) Under the Labour Importation Scheme for the Construction Sector, eligible works contracts primarily apply to public sector construction works with a contract value of no less than HK$1 billion. However, it also specifies that if private sector construction works contracts have special circumstances, such as the contracts involving construction personnel of special trades/disciplines the local supply of which is very limited, or the relevant works projects have exceptional circumstances warranting special consideration and of a considerable scale, the applications may also be considered.
Over the past period, applications received and approved under the Scheme were primarily for public sector projects with a contract value of no less than $1 billion. As the NM development goes into full swing, particularly with more land earmarked for industry development entering the construction phase, we will make good use of the Scheme to cater to the need for speeding up and enhancing the efficiency of industry development. Upon receiving applications from private sector projects related to industry development, we will take into account the role of such projects in driving industry growth, or the wider social benefits they bring to Hong Kong. Such applications must also be supported by the relevant policy bureaux. In other words, for private projects, if the project is purely for private residential development or ordinary commercial buildings, its application will generally not be considered.
Ends/Wednesday, July 8, 2026
Issued at HKT 16:35
Issued at HKT 16:35
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