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Author Archives: hksar gov

EMSD announces test results of LPG quality in June 2024

     The Electrical and Mechanical Services Department (EMSD) today (July 10) announced that the department collected eight liquefied petroleum gas (LPG) samples from auto-LPG filling stations and LPG terminals on a random basis in June 2024 for laboratory tests. The results show that the LPG quality of all these samples complied with auto-LPG specifications.
 
     The detailed test results are available on the EMSD’s website (www.emsd.gov.hk/en/gas_safety/lpg_vehicle_scheme/publications/general/results_of_lpg_sample_analysis/index.html). Enquiries can also be made to the EMSD’s hotline on 2333 3762.
 
     In addition, the EMSD has been vetting independent third-party test reports submitted by LPG supply companies for each shipment to ensure that the quality of imported LPG complies with the specified requirements. read more

LCQ1: Residential Care Services Scheme in Guangdong

     Following is a question by Dr the Hon Dennis Lam and a reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (July 10):
 
Question:
 
     According to the Hong Kong Population Projections 2022-2046 published by the Census and Statistics Department, the proportion of elderly population in the total population will increase from 20.5 per cent in 2021 to 36 per cent in 2046, meaning more than one in every three Hong Kong people will be an elderly. On the other hand, it is learnt that ageing in the Mainland has become a common phenomenon in recent years. Regarding the Residential Care Services Scheme in Guangdong (the GD Scheme), will the Government inform this Council:
 
(1) given that the Social Welfare Department relaxed the eligibility criteria for operators under the GD Scheme in July last year by allowing non-governmental and private organisations alike to register their residential care homes for the elderly (RCHEs) located in the Mainland cities within the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) as Recognised Service Providers, of the respective numbers of applications from such organisations received and approved by the Government since the relaxation of the GD Scheme;
 
(2) as the Government indicated in May this year that it was exploring the expansion of the GD Scheme to include RCHEs solely operated by Mainland entities this year, and that it was liaising with relevant departments in the GBA cities to conduct on-site inspections and jointly select suitable RCHEs, of the progress of the relevant work; and
 
(3) of the average monthly expenditure incurred by the Government on each subsidised RCHE place purchased under the GD Scheme?
 
Reply:
 
President,
 
     The reply to the Member’s question is as follows:
 
(1) Since July 28, 2023, the Social Welfare Department (SWD) has relaxed the eligibility criteria for service operators to join the Residential Care Services Scheme in Guangdong (GDRCS Scheme). Hong Kong organisations, including non-governmental and private ones, which have experience and a good track record in providing subsidised residential care services for the elderly, may apply for inclusion of their residential care homes for the elderly (RCHEs) located in the Mainland cities of the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) in the GDRCS Scheme. The SWD has received seven applications so far, among which two applications have been approved and have joined the GDRCS Scheme since May 2024, while one application has been rejected. The SWD is vetting the remaining four applications.
 
(2) The 2023 Policy Address announced that the Government would explore expanding the GDRCS Scheme to include specific RCHEs operated by Mainland organisations in 2024, i.e. RCHEs which do not have experience in operating residential care homes in Hong Kong, so that elderly persons will have more retirement choices in the Mainland cities of the GBA. In November 2023, the Labour and Welfare Bureau signed a letter of intent on collaboration with the Department of Civil Affairs of Guangdong Province. Both sides would kick-start exploring the selection of RCHEs operated by Mainland organisations in designated Mainland cities of the GBA to join the GDRCS Scheme. The RCHEs concerned must be rated four stars or above on the “List of Star-rated Senior Care Organisations” by the Department of Civil Affairs of Guangdong Province based on the standards of the national “Classification and Accreditation for Senior Care Organisation”, and have at least a two-year record of operation. With the assistance of the Mainland government departments, the SWD has been visiting RCHEs for selecting more suitable RCHEs to join the GDRCS Scheme, with a view to providing more choices for Hong Kong elderly persons retiring in the Mainland cities of the GBA.
 
(3) The estimated expenditure for the GDRCS Scheme in 2024-25 is about $32.5 million. As at end-March 2024, there were about 170 Hong Kong elderly persons joining the GDRCS Scheme. The number of places to be purchased by the SWD each year depends on the number of participating elderly persons. The expenditure on purchasing the places is affected by various factors, e.g. the city and location where the RCHEs are situated, and the facilities and service level of the RCHEs. To avoid affecting the ongoing negotiations on the purchase of places between the SWD and the RCHEs concerned, the Government should not disclose the average monthly expenditure for subsidising the places for the elderly. read more

LCQ22: Funding schemes promoting logistics development

     Following is a question by the Hon Jimmy Ng and a written reply by the Secretary for Transport and Logistics, Mr Lam Sai-hung, in the Legislative Council today (July 10):

Question:

     In recent years, the Government has launched a number of funding schemes to promote modern logistics development and assist the industry in better grasping the latest trends in smart logistics and e-commerce business, including setting up the Logistics Promotion Funding Scheme (LPFS) and the Professional Training on Smart and Green Logistics Scheme (PTSGLS), as well as enhancing the Pilot Subsidy Scheme for Third-party Logistics Service Providers (the Pilot Scheme). Some members of the logistics industry have expressed concern about the vetting and approval of the aforesaid schemes, while hoping that the Government can further enhance these schemes. In this connection, will the Government inform this Council:

(1) of the respective numbers of applications received, approved, rejected and being processed by the authorities since the introduction of enhancement measures to the Pilot Scheme in February this year; among the approved applications, the average funding amount per case and the number of applications which have benefited from the extended scope of funding as a result of the enhancement measures; the latest progress of the authorities’ work in regularizing the Pilot Scheme;

(2) of the respective numbers of applications received, approved, rejected and being processed by the authorities since the launch of LPFS; among the approved applications, the average funding amount per case; whether the authorities will extend the scope of funding under LPFS to cover projects organized outside Hong Kong which are related to the promotion of modern and smart logistics, so that successful applicant organizations can promote the strengths of Hong Kong as an international premier logistics hub to more overseas enterprises; if so, of the details; if not, the reasons for that; and

(3) of the respective numbers of applications received, approved, rejected and being processed by the authorities since the launch of PTSGLS; the number of training courses approved for funding, as well as the theme, number of places and enrolment for each of these courses; the average funding amounts provided by the authorities for each training course and each participant who attended the training course for the first time?

Reply:

President,

     The Government attaches great importance to the development of Hong Kong’s logistics industry and has all along been supporting and enhancing Hong Kong’s position as a regional logistics hub through different measures, including the promulgation of the Action Plan on Modern Logistics Development on October 31, 2023, that formulated eight strategies and 24 action measures in five development directions, namely smart development, modernisation, green and sustainability, internationalisation and facilitation, to address the short, medium and long-term needs of the logistics industry, thereby achieving the goal of developing Hong Kong into a sustainable international smart logistics hub focusing on high-value goods and the e-commerce market. 

     In particular, in terms of the support for the logistics industry to develop towards the directions of smart logistics and green logistics, the Government has launched the Professional Training on Smart and Green Logistics Scheme and the Logistics Promotion Funding Scheme respectively under the Maritime and Aviation Training Fund this year, and enhanced the Pilot Subsidy Scheme for Third-party Logistics Service Providers, so as to strengthen the support towards the logistics industry to undergo digital transformation, adopt smart logistics solutions, as well as achieve environmental, social and governance (ESG) targets so as to promote green logistics.  

     The reply in response to Hon Jimmy Ng’s question is as follows: 

(1) Since implementation of the Pilot Scheme in October 2020, a total of 351 applications were received, of which 249 were approved, involving a subsidy amount of around $150 million. Since February this year, enhancement measures to the Pilot Scheme were rolled out, which included increasing the cumulative funding ceiling for each applicant enterprise from $1 million to $2 million, as well as extending the scope of funding to cover ESG technology solutions and related implementation services (including consultancy services) and project-based trainings associated with technology implementation. Since the implementation of the enhancement measures, as of June this year, a total of 29 applications were received, of which two were approved, 23 are being vetted and four were withdrawn before vetting. The amount of subsidy for each of the two approved applications is below $1 million. The Government will continue to review the effectiveness of the Pilot Scheme and duly explore the possibility of the regularisation of the Pilot Scheme.  

(2) The Logistics Promotion Funding Scheme aims to subsidise eligible logistics-related organisations and professional bodies to organise local promotional campaigns and activities, so as to rebrand the modern logistics industry as “smart, innovative and high-end”, with a view to attracting more young people to join the industry as well as promoting the strengths of Hong Kong as an international premier logistics hub to both local and overseas companies. Since its launch in January this year, as of June this year, a total of four applications were received under the Logistics Promotion Funding Scheme, of which two were approved and the other two are being vetted. The amount of subsidy of the two approved applications is $700,000 and $100,000 respectively. The Government will review the effectiveness and coverage of subsidy of the Logistics Promotion Funding Scheme from time to time.  

(3) The Professional Training on Smart and Green Logistics Scheme subsidises eligible logistics associations and training/education institutions to organise local training courses related to modern, smart and green logistics with a view to supporting in-service practitioners to equip themselves with up-to-date knowledge of smart and green logistics. Since its launch in January this year, as of June this year, a total of five applications were received under the Professional Training on Smart and Green Logistics Scheme, of which two were approved. The two approved applications are related to sustainable logistics development and green logistics, providing a total of 60 places. As the relevant training courses are still at the admission stage, the number of enrolment and average amount of subsidy are not available yet. The remaining three courses are being vetted. read more

LCQ3: Enhancing labour importation schemes

     Following is a question by the Hon Shiu Ka-fai and a reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (July 10):

Question:

     Under the Enhanced Supplementary Labour Scheme (ESLS), wages of imported workers should be at least the median monthly wages (median wages) of comparable positions in the market, and employers are required to pay the Employees Retraining Levy (ERL) of $9,600 in a lump-sum in respect of a two-year contract for each worker. The ERL paid is not refundable even if the contract is terminated prematurely. Many members of the industry have pointed out that with the median wages, ERL and accommodation costs, labour importation has become too costly, thus failing to help enterprises reduce operating costs and enhance competitiveness, and it is learnt that Singapore has not set the minimum wage for foreign workers in some industries. In this connection, will the Government inform this Council:

(1) whether it will review the requirement that wages of imported workers should be at least the median wages; if so, of the details; if not, the reasons for that;

(2) given that in the reply to my question on April 10 this year, the Government indicated that it did not have plans to include the retail and catering sectors in the sector-specific labour importation schemes for the time being, of the reasons for that; whether it will, in the light of the latest market situation, consider afresh including such sectors in the Schemes; and

(3) whether it will consider conducting an interim review of the ESLS one year after its implementation, including regularising the arrangement of accepting labour importation applications for the 26 job categories normally excluded from the Supplementary Labour Scheme, as well as revising the ERL as payable monthly and refunding employers for the overcharged ERL; if so, of the details; if not, the reasons for that?

Reply:

President,

     To cope with the challenges brought about by manpower shortage, the Government has enhanced the mechanism for importation of workers. Apart from launching sector-specific labour importation schemes for the construction sector, transport sector, and residential care homes for the elderly and residential care homes for persons with disabilities, the Labour Department (LD) has also implemented the Enhanced Supplementary Labour Scheme (ESLS) since September 4, 2023, to enhance the coverage and operation of the Supplementary Labour Scheme (SLS) in the past, including suspending the general exclusion of the 26 job categories (set out at Annex) as well as unskilled or low-skilled posts from labour importation for two years, with a view to alleviating the manpower shortage of other sectors (including the retail industry and the food and beverage services industry). Nevertheless, any mechanism for labour importation must be operated on the premise of safeguarding the employment priority for local workers.

     The reply to the Hon Shiu Ka-fai’s question is as follows:

(1) For the purpose of upholding the employment priority for local workers, the applicant employer of the ESLS must undertake a four-week local open recruitment and give priority to employing suitable local workers to fill the vacancies at a salary not lower than the prevailing median monthly wage of a comparable position in the market. In parallel, employers approved to import workers under the ESLS are required to sign a Standard Employment Contract prescribed by the Government with the imported workers, and shall pay a salary not lower than the median monthly wage of a comparable position. These requirements are important measures to prevent the imported workers from becoming cheap labour and undermining the employment opportunities of local workers. As such, the Government has no plan to change the requirements at this stage.

(2) As compared with the SLS in the past, the ESLS provides employers (including establishments in the retail industry, and the food and beverage services industry) with more flexibility in applying for importation of workers. The ESLS sets no quota on imported workers and accepts applications year-round. 

     In addition, the LD has been continuously improving the workflow of case processing under the ESLS, including introducing an application form for common posts; deploying staff designated to vet applications submitted by employers to expedite the preliminary screening process; exercising flexibility in the handling of recruitment advertisements placed by employers during local recruitment and expediting the follow-up on interview results, and organising briefings for employment agencies involved in labour importation matters. With the implementation of the aforesaid measures, case processing has become more effective and efficient. From April to June 2024, the numbers of imported workers approved to take up posts in the retail industry, and the food and beverage services industry were 1 035 and 5 917 respectively, which were higher than the numbers of imported workers applied for in the same period (810 and 5 403 respectively). At present, if an employer uses the application form for common posts and provides all required information and documents at the same time, the application will normally be screened-in within a short period of time, after which the employer can proceed with the four-week local recruitment immediately. The Government sees no imminent need to launch sector‑specific labour importation schemes for the retail industry and the food and beverage services industry at this stage.

(3) Since the launch of the ESLS, the Government has been closely monitoring the implementation of the scheme. The LD will review the coverage and operation of the ESLS prior to the lapse of its two-year implementation period.

     The Employees Retraining Ordinance (Cap. 423) (the Ordinance) sets out the current arrangement for the payment of the Employees Retraining Levy. Section 14(2) of the Ordinance stipulates that the amount of the levy payable in respect of each imported employee employed by an employer shall be the sum specified in Schedule 3 (i.e. $400) multiplied by the number of months specified in the employment contract between the employer and the imported employee. Section 15(2) of the Ordinance specifies clearly that under no circumstances will the levy paid be repaid or refunded to the employer. 

     The levy is transferred to the Employees Retraining Fund administered by the Employees Retraining Board for providing training and retraining to local workers. The Government has no plan to alter the levy arrangement which is in line with the policy objective of encouraging the training of local workers. read more