Written by 
Hong Kong Free Press has signed up to Oxfam’s Living Wage initiative to ensure fair pay for all staff.
Thanks to HKFP Patrons and supporters, our newsroom offers a wage in line with international news outlets, including a health care plan, mental health support and other benefits.
Why a living wage is necessary, according to Oxfam – click to view
The labour market has been impacted by the pandemic
Since the outbreak of the pandemic, the labour market in Hong Kong has faced critical challenges, resulting in a skill mismatch in the post-pandemic period. There is clearly a long journey ahead before we fully recover. Many employers have expressed concern about recruitment as they have found it very difficult to hire and retain staff due to the labour shortage. At the same time, however, many workers’ livelihoods have been severely impacted because of the statutory minimum wage freeze over the past four years. Although it will be raised to $40/hour beginning 1 May 2023, it might not sufficiently make up for inflation, especially in terms of food and energy. If workers’ wages are not enough to cover their basic cost of living, and transportation costs or other costs they need to bear to go to work, this will deter potential workers from joining the workforce. This will in turn worsen the labour shortage, creating a vicious cycle in Hong Kong. A living wage, on the other hand, ensures workers can lead a decent life, and would thus attract economically inactive individuals to return to the workforce and alleviate the labour shortage.
The living wage is a remedy to a dilemma and creates a win-win situation
It is high time employers pay their employees a living wage. On the one hand, doing so would alleviate the problem of working poverty by providing employees with fair wages. On the other, employers could recruit and retain talent more easily, and workers would more likely be committed to their jobs as well. Moreover, Generation Z and millennials generally place more emphasis on a company’s values; by paying a Living Wage, employers can show their commitment to paying fair wages and attract more young talents to join their company. All around, there are many solid reasons for why a Living Wage would create a win-win situation for both employers and employees and address the labour shortage in Hong Kong.
We ensure and encourage diversity, inclusion and equal opportunities as an employer through our Trust Project-backed policies, and enacted a Freelance Charter in 2020 to set out fair terms and conditions for external contributors.
| Year | Living wage (HK$/hour) | Legal minimum wage (HK$/hour) |
|---|---|---|
| 2024 | 61.5 | 40 |
| 2023 | 60.1 | 40 |
| 2022 | 58.9 | 37.5 |
| 2021 | 57.1 | 37.5 |
| 2020 | 57.4 | 37.5 |
| 2019 | 54.7 | 37.5 |
| 2018 | 54.7 | 34.5 |
Originating in the UK as a global movement in 2011, the living wage refers to a wage that allows employees and their families to meet basic needs, as well as enable them to live a decent life. This includes being able to afford a balanced diet, reasonable living space, social life, education, health care and being able to save for an emergency.
The latest living wage standard for 2024 in Hong Kong is set at HK$61.5 per hour. Oxfam recognises employers who pay a living wage, awarding them with the “Living Wage Employer Logo” to recognise their commitment.
Support HKFP | Policies & Ethics | Error/typo? | Contact Us | Newsletter | Transparency & Annual Report | Apps
Help safeguard press freedom & keep HKFP free for all readers by supporting our team
Source link