policy address

52. Despite the economic recovery, some employees have yet to see any improvement in their livelihood. The Legislative Councillors representing the labour sector have persistently reflected the frustration of the lowest paid workers. They have put forward a number of constructive suggestions, which we highly value. We deeply appreciate the difficulties faced by the working man and woman. Protecting labour rights and promoting good labour relations are essential in building a harmonious society.

53. The Labour Advisory Board is now conducting an in-depth study on the question of a minimum wage and standard working hours. As different sectors in the community have diverse views on the subject, we should give the Board sufficient time to consider it. Concurrently, the SAR Government has taken the initiative to require its service contractors to ensure that the wages of their non-skilled workers are not lower than the average market level. We have promoted this arrangement to all public organisations, and they have responded positively. About 25 000 workers at lower levels will benefit from these arrangements. We will further promote this practice to subvented organisations and subvented schools. I appeal to the business community, in the spirit of corporate social responsibility, to follow the level of average monthly market wages announced by the Government in paying their non-skilled workers. We firmly believe that these pragmatic measures will protect more workers at lower levels.

54. On another front, the Government is determined to crack down on the employment of illegal workers. We will target employers who hire them. The number of joint operations against illegal employment by law enforcement agencies in the first eight months this year was 30% higher year-on-year. A total of 145 employers were convicted for hiring illegal workers and sentenced to immediate imprisonment. We are also determined to combat wage default offences. Employers who wilfully use improper means to evade their obligations will receive severe punishment. The number of successful prosecutions for wage default offences in the first eight months this year increased by 13% over the same period in 2004, and some company directors were sentenced to jail. The Labour Department will strengthen enforcement action against wage defaulters, and will propose increasing the maximum penalty for wage default offences.

55. Job creation is always an important consideration in policy formulation. In the next two years, the Government will embark on a number of community facility projects, continue to expedite urban renewal and promote active building maintenance. These will improve our living environment and create more job opportunities for the construction industry.

56. Between now and the end of 2006, the Government will invest about $190 million to carry out over 120 Rural Public Works and Urban Minor Works projects. This will create 480 jobs for the construction industry. Accelerating the building programme of the municipal works projects will create another 2 200 jobs. Advancing maintenance works to 30 community halls and centres will add around 200 jobs for the construction industry. The Hong Kong Housing Society and the Urban Renewal Authority are also expected to provide some 3 000 jobs each year by helping property owners to undertake proper building maintenance. We are considering the expansion of this effort with the Hong Kong Housing Society and the Urban Renewal Authority. Under the Tourist District Enhancement Programme, we will study the need for new tourism works projects in Aberdeen to support the redevelopment plan for Ocean Park. We will also enhance the waterfront facilities at Lei Yue Mun, and develop a piazza at Tsim Sha Tsui.

57. Projects associated with preparations for the 2008 Olympic Equestrian Events in Hong Kong will create about 450 construction industry jobs. As the Hong Kong Sports Institute has to temporarily vacate its present site to make way for the equestrian events, the Government will provide training grounds for local athletes over the transitional period, and will build new facilities.

58. In order to encourage property owners to undertake small scale construction projects including building maintenance, we will introduce legislation in the 2005-06 legislative year to put in place a minor works supervision system to streamline related procedures and assure the safety of these projects.