Relief measures help preserve employment and create jobs, better equip people and facilitate planning for the future
19 April 2020
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In the past two days, I attended the meetings of the Legislative Council Finance Committee with the Secretary for Justice, 11 Directors of Bureaux and 16 civil service directorates to explain the $137.5 billion relief measures announced by the Government on April 8. Funding approval was secured after some 18 hours of deliberation. I would like to express my sincere gratitude to those Members who supported the funding proposal. The Government will implement the relief measures as soon as possible to provide shoulder-to-shoulder support to the people and businesses in riding out the storm.
The heavy blow dealt by the novel coronavirus to the global economy has led to severe contraction or even a standstill in a wide range of economic activities. Hong Kong is no exception to this. We are undergoing a year of economic catastrophe, with sharp economic downturns having a pronounced impact on the labour market. The seasonally adjusted unemployment rate increased visibly to 3.7% in December 2019 to February 2020, the highest in more than nine years. The unemployment rate and the underemployment rate of the retail, accommodation and food services sectors combined surged to 6.1% and 2.5% respectively, both the highest in about a decade. Among the hardest hit was the food and beverage service activities sector, with the unemployment rate and the underemployment rate soaring to 7.5% and 3.5% respectively. Meanwhile, the unemployment and underemployment situation in the construction sector also deteriorated severely. Our year-on-year decline in total employment widened to 2.5%, the largest since the Asian financial crisis, reflecting serious job losses.
As the figures for February have yet to reflect the pandemic situation, the unemployment rate and underemployment rate for January to March 2020 to be released tomorrow (April 20) are expected to show further rise. The labour market will remain under enormous pressure in the short term and imminent improvement in the employment situation is unlikely. Under such circumstances, many businesses will downsize on manpower, making it more difficult than in previous years for fresh graduates to secure employment during the peak job seeking period in May to July.
The new round of relief measures features an $81 billion Employment Support Scheme, a flagship project that covers around 1.5 million employees. With the aim to minimise redundancy and job losses thereby retaining employment during the epidemic, the Scheme will provide wage subsidies to eligible employers who undertake not to make workers redundant during the subsidy period and to spend 100% of the subsidy on paying wages for their employees.
The Government will also allocate resources for creating jobs. Around 30 000 time-limited jobs will be created in both the public and private sectors in the coming two years for people of different skill sets and academic qualifications, including seasoned professionals and fresh graduates.
The jobs so created will encompass as many types as possible, from technical and supporting posts in the construction and maintenance field, to professional positions in the legal, accounting, financial services, engineering and architecture sectors, and even marketing jobs in arts, culture or green living.
Positions available for fresh graduates include those requiring professional or general skills, such as graduate programmes in building surveying, town planning, estate surveying, land surveying and engineering, researchers and executive assistants.
An educated and trained labour force is key to sustainable economic growth of Hong Kong. To this end, the Government will introduce job advancement measures to encourage employees of various professions to learn new skills and support businesses to apply technology, thereby turning crises into opportunities. Given the rapid changes in the labour market, employees should equip themselves in response to economic, scientific and technological developments as well as challenges in society.
Besides, the Government is expected to recruit over 10 000 civil servants this year for filling vacancies arising from retirement or creation of new posts. Continuing a trend of steady growth in the civil service establishment for the past few years, some 6 000 new posts will be created in 2020-21 for enhancing the existing services, taking forward new initiatives and meeting the manpower demand of government departments arising from increased workload and actual operational needs. About 90 per cent of the additional manpower belongs to the middle and lower ranks, covering a number of frontline grades. We have also planned to recruit about 5 000 short-term interns this year, an increase of about 3 000 positions over last year.
Prospective applicants for civil service posts at the degree or professional level can apply before 5 p.m. on April 29 to sit the new round of Common Recruitment Examination and Basic Law Test, tentatively scheduled to be held on June 6 and 13 (or other dates in June if necessary) in Hong Kong. Other government job openings will be advertised on the Government vacancies website.
These new measures and vacancies will increase employment opportunities for job-seekers, especially fresh graduates. It is important for young people to be well prepared for their future pathways through careful life planning. To those aspiring, visionary and committed young people who have a sense of national identity and an affection for their hometown Hong Kong, we welcome you to join the civil service and contribute to the development of the city. What you will gain is not merely a stable job with prospects, but also opportunities to unleash your potential and realise your aspiration, as well as a mission to serve the community.
The Government values its employees and will make extra effort in nurturing talent within various departments. The Civil Service Training and Development Institute (CSTDI) of the Civil Service Bureau is striving to upgrade the civil service in such areas as technology applications, digitalisation and big data analytics to meet the changing needs of society. The CSTDI also offers courses on leadership, public communication, national development as well as the relationship between the Central Authorities and the HKSAR. The new Civil Service College in Kwun Tong to be completed in 2026 will help the Government step up training of civil servants in different areas to enhance the quality of public service and thereby build a better civil service.
Besides, the Human Resources Planning Commission under my chairmanship launched a manpower information portal talent.gov.hk in December last year. It is a one-stop portal which consolidates relevant information and data for job seekers, employees as well as career guidance teachers to keep them informed of the market trends in a timelier manner.
Quality human resources are an important factor in propelling the development of Hong Kong, and we are still blessed with robust institutional strengths and core competitive advantages. The Government will continue to keep in view the market situation and introduce various policy initiatives to help the younger generation grasp opportunities for upward mobility and cope with future challenges.
Every cloud has a silver lining. Resilience, fortitude, positivity and foresight are what we need in adversity. In no way should the virus outbreak upset our original life plan. People need hope, and more importantly, to be well prepared for the future and stay on the right track towards achieving their goals.
