}
CONFIDENTIAL
機密
For discussion
on 5th February 1974
XCC(74)9
Copy No..32...
MEMORANDUM FOR EXECUTIVE COUNCIL
WORKMEN'S COMPENSATION (AMENDMENT) BILL 1974
EMPLOYMENT (AMENDMENT) BILL 1974
A, B
Annexed for the consideration of Honourable Members are copies of the Workmen's Compensation (Amendment) Bill 1974 (Annex A) and the Employment (Amendment) Bill 1974 (Annex B) which are principally designed to raise the maximum wage ceilings for general entitlement of non-manual workers under the Workmen's Compensation Ordinance (Chapter 282) and the Employment Ordinance (Chapter 57).
Maximum Ceilings
2
All workers employed by way of manual labour have full entitlement under both ordinances regardless of their wages. However, non-manual workers are presently excluded from the scope of the legislation if their wages exceed $1,500 per month. The ceiling was set at this level when the Employment Ordinance was first enacted in 1968. In view of rising wage levels and in conformity with the Employment Ordinance, the Workmen's Compensation Ordinance was amended in 1969 and its ceiling was also set at the same level of $1, 500 per month.
Wages and the Cost of Living
3
Both wages and the cost of living have increased considerably since 1968. The nominal wage index for industrial workers rose by 89% from 134 in September 1968 to 253 in September 1973 and this also represents a substantial increase in real terms over the rise in the cost of living. There is no index reflecting wage movements for non-manual workers but on the assumption that their wages, like those of industrial workers, have been adjusted at least to reflect the rise in the cost of living, it would seem reasonable to assume an increase equivalent to not less than the change in the Consumer Price Index over the same period. In September 1968, the Consumer Price Index stood at 118 and in September 1973 it was at 181, an increase of 53.4%. However, a more reliable guide is the moving annual average of the Consumer Price Index, which irons out seasonal fluctuations. This average has risen approximately 37,5% in the five years from September 1968 to September 1973. In view of the fact that the percentage increase has been distorted by the extremely
C.S. 166
CONFIDENTIAL
機密