Tag Archives: China

     Following is a question by the Hon Doreen Kong and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (February 28):

Question:

     It has been reported that the supply of foreign domestic helpers (FDHs) in Hong Kong falls short of demand, and the trend of FDHs job-hopping (i.e.‍ premature termination of employment contracts for change of employers) has not abated. On the other hand, the Labour Department reviewed the Code of Practice for Employment Agencies (CoP) in March last year and put forth three proposals to combat job-hopping of FDHs. In this connection, will the Government inform this Council:

(1) of the progress of work on revising the CoP, and whether there is a specific timetable;

(2) how it ensures that once the CoP has been revised, employment agencies (EAs) will be able to clearly explain to FDH jobseekers the application criteria and possible consequences of changing employers under the prevailing policy; whether it will consider requiring EAs to make audio or video recordings of the entire explanation process; if so, of the details; if not, the reasons for that;

(3) whether it has considered including in the sample service agreement in the CoP a provision on refund arrangements when FDHs leave employment early, such as specifying the refund ratio and arrangements for departing Hong Kong, in order to strengthen the protection for the rights and interests of FDHs and employers; if so, of the details; if not, the reasons for that;

(4) whether it will consider stipulating in the CoP that EAs should not provide monetary incentives to FDHs to induce them to terminate their contract prematurely, nor should they provide monetary incentives to the families of FDHs; of the investigation approach and disciplinary mechanism put in place by the Government to address the aforesaid acts allegedly committed by EAs through overseas agents or recruiters;

(5) in order to further protect the rights and interests of employers in Hong Kong, whether the authorities will consider strengthening cooperation with governments of the source countries of FDHs to prevent immoral EAs and FDHs, respectively, from seeking to obtain by deception intermediary fees and leaving service benefits (such as free return passage to FDHs’ place of origin); if so, of the details; if not, the reasons for that; and
 
(6) as the 2023 Policy Address proposed to relax the visa policy for Laotian talents for employment in Hong Kong, whether the authorities have at the same time explored expanding the source countries of FDHs to Laos; if so, of the details; if not, the reasons for that?

Reply:

President,

     The Government is highly concerned about the suspected abuse of premature termination of employment contracts by foreign domestic helpers (FDHs) to change employers (commonly known as “job-hopping”). Apart from the Labour Department (LD)’s rigorous efforts in combating unscrupulous business practices of employment agencies (EAs), the Immigration Department (ImmD) has also been strictly scrutinising the employment visa applications from FDHs who change employers frequently. In 2023, a total of 502 employment visa applications from FDHs were rejected by the ImmD due to suspected “job-hopping”, representing a substantial reduction of about 80 per cent when compared with the figure of 2 833 during the pandemic in 2021. The situation of “job-hopping” by FDHs has improved significantly.

     In consultation with the Security Bureau and the ImmD, my reply to the Member’s question is set out below:

(1) After concluding the consultation exercise on the preliminary proposals for revising the Code of Practice for Employment Agencies (CoP) in the first half of 2023, the LD has analysed and examined the feedback received. Currently, the LD is finalising the revised content of the CoP taking into account the suggestions and concerns raised by different stakeholders, as well as formulating the mechanism for enforcing the revised CoP. The LD will promulgate the revised CoP in the second quarter of this year. 

(2) The CoP requires EAs to brief employers and FDHs on their obligations and rights under the Standard Employment Contract (SEC) and relevant legislation, such as the Employment Ordinance. EAs should request employers and FDHs to acknowledge in writing that they have been briefed on these matters, and should retain the written acknowledgement for inspection by the LD. The revised CoP will require EAs to further explain to FDHs the requirements for changing employers, and retain the written acknowledgement signed by FDHs. 

(3) To enhance the protection of employers’ interests as consumers, the revised CoP will require EAs to specify, in the written service agreements drawn up with employers, whether they will provide a refund or an alternative arrangement for replacement of FDHs in the event of premature termination of employment contracts initiated by FDHs. A new section will also be included in the sample service agreement appended to the CoP, requiring EAs to specify such arrangements. 

     Regarding the arrangements for FDHs to leave Hong Kong, according to the Government’s prevailing policy, FDHs shall leave Hong Kong within two weeks from the date of employment contract termination or upon completion of employment contract, whichever is earlier. The SEC stipulates that employers have to provide their FDH with free return passage to his/her place of origin upon termination or expiry of the contract, so as to ensure the FDH’s smooth return to his/her place of origin upon the completion or early termination of the contract, and to avoid the FDH being stranded in Hong Kong due to a lack of travel expenses.

(4) The revised CoP will further require that EAs should not adopt business practices such as providing monetary incentives to FDHs in employment to induce them to terminate their employment contracts prematurely. If an EA contravenes this requirement, the LD may impose sanctions. As mentioned above and based on the LD’s enforcement experience, the implementation of relevant measures against EAs and FDHs can effectively combat the malpractice of “job-hopping” by FDHs.
 
(5) The Government has established a standing inter-departmental liaison mechanism with the consulates of major FDH source countries in Hong Kong to discuss FDH issues of mutual concern and exchange information on unscrupulous EAs, ensuring that the rights and benefits of both employers and FDHs are well protected. If any organisation located outside Hong Kong is found to have committed improper acts of arranging FDHs’ employment in Hong Kong, the LD will relay them to the governments concerned through the liaison mechanism and request appropriate follow-up actions. 

(6) To expand the sources of FDHs and increase the FDH supply to Hong Kong, the LD has been keeping in view the labour market conditions in different FDH source countries and maintaining communication with relevant stakeholders. As part of these efforts, the LD has engaged with the consulates of different source countries in Hong Kong, introducing our FDH importation policy and encouraging more of their nationals to come to Hong Kong to work as domestic helpers. The current entry arrangement for admission of FDHs does not apply to Chinese residents of the Mainland, the Macao Special Administrative Region and Taiwan, as well as nationals of Afghanistan, Cuba, Laos, the Democratic People’s Republic of Korea, Nepal and Vietnam. Save from the above, the Government has not imposed any restriction on the employment of FDHs of any particular nationalities. Employers may, having regard to individual needs, decide to hire FDHs from any countries and regions other than those specified above.

     The Chief Executive’s 2023 Policy Address announced the relaxation of the policy in respect of employment for Vietnamese talent and the policy for Laotian and Nepalese talent for employment, training and study in Hong Kong. The relaxations primarily serve to complement the Government’s overall strategy for attracting talent, and do not cover the immigration arrangement for FDH importation. The Government will conduct assessments from time to time to ensure our FDH importation policy meets the actual needs and circumstances of Hong Kong, having regard to, among others, maintaining effective immigration control and security considerations. read more

     Following is a question by the Hon Lam So-wai and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (February 28):   Question:        A study re… read more

     Following is a question by the Hon Tang Fei and a written reply by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, in the Legislative Council today (February 28):
 
Question:
 
     It is learnt that amid geopolitical tensions and uncertainty in global economic outlook, some corporates face hindrance when making applications to banks for loans secured by non-residential properties for the purpose of financing their business operation. In this connection, will the Government inform this Council:
 
(1) in respect of the aforesaid applications made by corporates to banks, whether the Hong Kong Monetary Authority has formulated vetting and approval criteria and limitations; if so, of the details;
 
(2) for corporate loans secured by non-residential properties, of the current loan-to-value ratios offered by banks; and
 
(3) of the number of applications for corporate loans secured by non‍-‍residential properties which were approved by banks in the past year, together with a breakdown by quarter?
 
Reply:
 
President,
 
     Regarding the various parts of the question, having consulted the Hong Kong Monetary Authority (HKMA), my reply is as follows:
 
(1) The HKMA requires banks to prudently manage their lending business and develop specific credit underwriting standards. Banks must comply with the HKMA’s countercyclical macroprudential measures when approving property mortgage loans. In light of changes in the property market, the HKMA twice increased, in August 2020 and July 2023 respectively, the maximum loan-to-value (LTV) ratio for non-residential properties to the current 60 per cent.
 
     For credit facilities secured by (residential or non-residential) properties for the purpose of financing corporates’ business operations, such as overdrafts and trade lines, banks will develop a set of prudent credit underwriting standards based on their risk appetites. These include taking suitable measures to understand a corporate’s background and the purpose of the credit, and to conduct a detailed assessment of the corporate’s financial position and repayment ability.
 
(2) and (3) The HKMA at present mainly collects mortgage data relating to residential properties on a regular basis, and will actively consider collecting mortgage data on non-residential properties.
 
     The HKMA has not prescribed a financing cap for credit facilities secured by properties for the purpose of financing corporates’ business operations. Banks when assessing each loan application will conduct a comprehensive evaluation of a corporate’s condition and make their credit decision based on their risk appetites and credit underwriting standards. In other words, depending on the credit risk level, some corporates may obtain from banks partially secured loans, or even unsecured loans, with a financing ratio that exceeds 100 per cent of the property value.
 
     Based on the HKMA’s understanding from banks, while the overall credit landscape is affected by the uncertain global and domestic economic outlooks and high interest rate environment, the banking industry continues to support corporates’ financing needs without tightening the credit underwriting standards. According to the data provided by banks to the HKMA, the aggregate credit facility limits granted by banks to small and medium-sized enterprises (SMEs) declined slightly in the fourth quarter of 2023 due to weakened credit demand. Meanwhile, the proportion of SMEs with increased or unchanged credit facility limits remained stable at over 95 per cent consistently. read more

International Maritime Centre

162. Currently, around 90 per cent of the world’s merchandise goods are transported by sea. With its advantageous geographical location, unique institutional strengths and extensive experience and network in international trade and commerce, Hong Kong enjoys a prime position in the shipping market. Supported by the National 14th Five-Year Plan and the Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area, the Government promulgated the Action Plan on Maritime and Port Development Strategy (Action Plan) in December last year. The Action Plan formulates 10 strategies and 32 action measures to support the sustainable development of Hong Kong’s maritime and port industry, with a view to enhancing the long-term competitiveness of the industry. It also consolidates and strengthens Hong Kong’s position as an international maritime centre.

Develop High Value-Added Maritime Services

163. One of the directions set out in the Action Plan is to develop high value-added maritime services. Over the past few years, the Government has introduced a series of tax concession measures for the maritime industry in the areas of ship leasing, marine insurance, ship agency, ship management, shipbroking and so forth, which have begun to yield results. We will commence studies on further enhancements within this year.

164. In addition, Hong Kong’s ship registration regime is widely recognised internationally. Hong Kong ranks fourth in the world in terms of gross tonnage, and excels in its high quality fleet. The port state control detention rate of Hong Kong registered ships is much lower than the global average. We plan to offer block registration incentive to attract shipowners to register ships in Hong Kong extensively. The Government will amend the relevant regulations regarding this incentive starting this year, and provide an outline of the incentive rules, eligibility criteria and so forth.

Modern Logistics Development

165. The Government seeks to assist the logistics industry in better capitalising on the latest developments and business opportunities in smart logistics and e-commerce. To encourage the logistics industry to enhance productivity through technology application, the Government launched a $300 million Pilot Subsidy Scheme for Third-party Logistics Service Providers in 2020 to provide subsidies to eligible logistics service providers. So far, the scheme has benefited over 190 enterprises, involving a total of about $137 million. The scheme was enhanced in February this year, with the funding ceiling for each applicant enterprise increased from $1 million to $2 million and the scope of funding extended to cover services related to the application of ESG technology solutions.

International Aviation Hub

166. Hong Kong International Airport (HKIA) has about 120 airlines operating flights to some 180 destinations worldwide. With Hong Kong’s role as an international aviation hub and tapping into the convenience and opportunities brought about by the Hong Kong-Zhuhai-Macao Bridge, our vision is to transform HKIA into an Airport City integrating commerce, conventions and exhibitions, tourism, lifestyle, logistics and more, shaping it into a world-class landmark.

Open up a New Aviation Hinterland

167. The AA is working full steam ahead with the HKIA three-runway system (3RS) project as scheduled, with the target of commissioning at the end of this year. Leveraging the opportunities brought by the 3RS and our country’s support of the “Air Silk Road”, we will focus on current major routes and routes along the B&R with potential, thus strengthening aviation services between Hong Kong and related countries and, in doing so, expand our aviation network.

Intermodal Transport

168. The AA will make comprehensive use of HKIA’s advantages in handling high-value, temperature-controlled air cargo. We are taking forward the development of a sea-air intermodal cargo-transhipment mode in collaboration with Dongguan. Its handling capacity will gradually reach one million tonnes per annum, better fulfilling the GBA’s international cargo demand, with first-phase construction of the permanent facility of the HKIA Logistics Park, which is scheduled for completion by the end of next year.

Asia’s Aviation Logistics Base

169. The AA will actively expand air cargo services, including handling cold-chain cargo at its logistics park in Dongguan and collaborating with Zhuhai to develop its international cargo business. It will also attract international cargo forwarders and major global retailers to set up their Asian aviation logistics base in Hong Kong.

Centre for International Legal and Dispute Resolution Services in the Asia-Pacific Region

170. As the only common law jurisdiction in China, Hong Kong enjoys a robust legal system and a pool of elite legal talent, which are cornerstones of Hong Kong’s premier business environment and provide us with new opportunities for development.

171. With the staunch support from the Central Government, the International Organization for Mediation (IOMed), upon establishment, will have its headquarters hosted in Hong Kong. IOMed, specialising in resolving international disputes by means of mediation, will be the first international inter-governmental organisation to set up headquarters in Hong Kong. This will attract dispute parties, mediators and legal professionals to conduct mediation in Hong Kong, which will in turn boost other related economic activities.

172. Furthermore, the Department of Justice (DoJ) will continue to promote Hong Kong’s legal and dispute resolution services by organising international conferences and exchange activities, as well as leading delegations of legal professionals to visit the Mainland, the Middle East, ASEAN member states, etc.

East-meets-West Centre for International Cultural Exchange

173. Hong Kong is a diverse and open community. It is a melting pot of Chinese and Western cultures, where modernity blends with tradition. The Government is committed to developing high-quality arts, cultural and creative industries through continuously developing relevant sectors, promoting Chinese culture and fostering arts and cultural exchanges between China and the rest of the world. The Government will soon promulgate the Blueprint for Arts and Culture and Creative Industries Development, to outline the vision and specific initiatives for the work.

Creative Arts Branding

174. The Government will inject about $1.4 billion and $2.9 billion into the Film Development Fund and the CreateSmart Initiative respectively in 2024/25, to support projects in various areas such as film, arts and design. Among them, the Government will organise the Hong Kong Fashion Design Week annually from 2024 onwards. It is our vision to turn the Hong Kong Fashion Design Week into an Asian fashion design mega event, thereby introducing Hong Kong’s fashion design brands internationally.

Signature Performing Arts Programmes

175. The Government has announced the launch of the Signature Performing Arts Programme Scheme. The scheme will support production of representative and large-scale local signature performing arts programmes to be staged as long-running performances and become another cultural icon of Hong Kong. Culture, Sports and Tourism Bureau will devise the key arrangements of the Signature Performing Arts Programme Scheme in the first half of 2024.

Large-scale Arts Events

176. We will organise the first Hong Kong Performing Arts Expo (HKPAX) in October this year to provide a comprehensive platform for showcasing top-notch performing arts productions and enhancing exchanges to create business opportunities for these programmes and creative talents. We will also organise the 4th Guangdong-Hong Kong-Macao Greater Bay Area Culture and Arts Festival. With more than 100 arts and cultural activities taking place in Hong Kong and different cities of the GBA, the festival is expected to feature about 5 000 artists and draw a total of 140 000 visitors.

(To be continued.) read more

     Following is a question by the Hon Chu Kwok-keung and a written reply by the Secretary for Education, Dr Choi Yuk-lin, in the Legislative Council today (February 28):

Question:

     In December 2023, the Hong Kong Housing Authority announced the initiation of a feasibility study for the redevelopment of Choi Hung Estate. It has been learnt that two secondary schools and one primary school within the Estate, which are currently over 60 years old, will be affected by the redevelopment project. Following the precedent of the redevelopment of Pak Tin Estate, the Education Bureau will not directly allocate school premises to the affected schools for reprovisioning use in the light of estate redevelopment, but will require these schools to participate in the allocation of school premises on a competitive basis among school sponsoring bodies. In this connection, will the Government inform this Council:

(1) as the authorities indicated at the June 2022 meeting of the Panel on Education of this Council their intention to submit to the Public Works Subcommittee of this Council a project proposal at an estimated cost of approximately $429.8 million for the construction of a new school premises at an alternative site within the Choi Hung Estate for The Church of Christ in China Kei Wa Primary School (KWPS) in the Estate, whether the project and the decision to allocate the new school premises to KWPS will be changed with the initiation of the feasibility study for the redevelopment of Choi Hung Estate; if so, of the details;

(2) whether the authorities have plans to reprovision the aforesaid three schools affected by the redevelopment of Choi Hung Estate through direct allocation of school premises; if so, of the details; if not, the reasons for that; and

(3) whether the authorities will consider reviewing the existing school allocation mechanism so that priority allocation of school premises for reprovisioning will be arranged for schools affected by the redevelopment of housing estates in which they are located?
 
Reply:
 
President,
 
     The Hong Kong Housing Authority (HA) announced on December 21, 2023 that a redevelopment study for Choi Hung Estate would be initiated to further explore the potential of making good use of its build-back potential, and an implementation plan would be worked out for the purpose. The HA will maintain communication with the bureaux/departments concerned, including the Education Bureau (EDB), on various arrangements. Upon completion of the study, the HA will announce the relevant arrangements accordingly. The entire redevelopment project is expected to take at least 15 years to complete.
 
     Our reply to the question raised by the Hon Chu Kwok-keung is as follows:
 
     At present, there are one public sector primary school and two public sector secondary schools within the Choi Hung Estate. Regarding the primary school, the Government announced in 2020 that The Church of Christ in China Kei Wa Primary School (Kei Wa) located in the estate would be reprovisioned to a reserved school site therein. The proposal was supported by the Legislative Council Panel on Education (the Panel) in 2022. As recommended by the Panel, the EDB also maintained communication with the relevant departments to confirm whether there would be any redevelopment plans for the estate before implementing the project. In the light of the HA’s study, and taking into account the principle of vicinity generally adopted in primary school admission, the EDB is reviewing the reprovisioning plan for Kei Wa.
 
     As for the secondary schools, the EDB is closely monitoring the supply of and demand for secondary school places in the district and Hong Kong as a whole, and maintaining communication with school sponsoring bodies (SSBs) and schools to explore the most appropriate arrangements. The Government generally does not, owing to the redevelopment of public housing estates (PHEs), reprovision schools through direct allocation of school premises. Should there be School Allocation Exercises (SAEs) in future, interested schools (including those seeking reprovisioning due to redevelopment of PHEs) are required to apply through an open and fair SAE and compete with all eligible SSBs in Hong Kong. When assessing the applications, the Government would pay heed to the views of the School Allocation Committee with a view to selecting the best and most suitable SSB, with quality of education as its prime consideration. Other factors to be taken into account include the school proposals submitted by the SSBs, the operation record of the SSBs and the physical condition of the existing school premises, etc.
 
     With changing population structure in Hong Kong, we encourage and support SSBs to make long-term planning and actively respond to community needs for different services in the interest of the society at large and with regard to the circumstances of the district and the schools. The EDB would continue to meet with relevant SSBs to explore feasible options having regard to the actual circumstances. read more