Policy Address

Labour Support

133. The prevailing manpower shortage has constrained the pace of economic recovery of Hong Kong. To meet the imminent needs, we have, on a time-limited and non-permanent basis, enhanced the mechanism for admission of talents and labour. The Government attaches great importance to giving priority to local workers on employment. We will strengthen the training, support and protection for local workers, expand the potential labour force, enhance the productivity of our workers and create high-quality employment opportunities to cater for the need of our workers.

Strengthen Training to Promote Re-employment

134. To encourage the latent labour force to enter the labour market, we will complete the legislative amendments early next year regarding increasing the maximum monthly retraining allowance by nearly 40% from $5,800 to $8,000 early next year. Furthermore, the Employees Retraining Board (ERB) will roll out a two-year pilot scheme in the first quarter of next year, allowing employers to arrange enterprise-based pre-employment training, with the provision of retraining allowance. The first phase of the pilot scheme will target trades facing severe manpower shortage, such as healthcare, catering, retail and hotel hospitality services. Upon completion of training, trainees will be offered employment contracts by the participating enterprises, lasting for no less than one year and with salary above the prevailing market wage. The ERB will also offer the trainees six-month placement follow-up services and skill training.

135. The ERB will review its service scope, training strategies and operation mode, etc. to better meet the needs of Hong Kong's economic development and manpower training, and promote continuous learning and skills development for all. It will submit recommendations in the third quarter of next year.

136. The Government will launch a three-year Re-employment Allowance Pilot Scheme, targeting at elderly and middle-aged persons aged 40 or above who have not been in paid employment for three consecutive months or more. To encourage these persons to rejoin the workforce, those who have worked for six consecutive months will be provided with a maximum allowance of $10,000, while those who have worked for 12 consecutive months will be given an additional maximum allowance of $10,000. Some 6 000 persons are expected to be benefitted.