Employment in Hong Kong - Wages

Wages

A minimum wage law was passed in Hong Kong in July 2010. It requires the Chief Executive of Hong Kong to propose a minimum wage level, which he will do for the first time in November 2010; the Legislative Council will either approve or reject the amount. The law does not give the Legislative Council the power to amend the amount, and it is not applicable to foreign domestic helpers, who, under legislation specifically governing the employment of foreign domestic helpers, earn a minimum of HK$3,580 per month. The wage level prevailing is essentially the result of interplay of supply and demand. Wages are usually calculated on hourly, daily, monthly, or piece rates. In September As of 2007, the average monthly wage rate for the supervisory, technical, clerical and miscellaneous non-production workers was HK$11,712. Based on the wage indexes, the average wage rate for this group of workers rose by 1.8% per annum in 1995-2007, and by 1.5% per annum in real terms. The small difference is due to severe consumer price deflation. The overall average daily wage for the workers on public works construction projects was HK$565.60 at the end of 2007.

In November 2010, legislators of the Hong Kong SAR Government agreed to set a minimum wage level of HK$28 (UK£2.29 or US$3.60) per hour, which came into force the following May.