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Australia. (However, in his recent budget speech, the Financial Secretary anticipated that the prospects for exports in 1978, other than clothing and textiles, continued to be good and forecast that domestic exports in 1978 would grow by 5%. He expected re-exports to grow faster at 8%, giving a forecast for total exports of goods of 6%).
4. In the last three years, consumer prices in Hong Kong have advanced in line with international price trends. The consumer price index increased by an estimated 5.8% in 1977, compared with 3.4% in 1976 and 1.2% in 1975. However, wages have advanced at a faster pace and between 1975 and 1977 the nominal average daily industrial wage (including fringe benefits) increased by an aggregate of 31%. Wages have therefore recovered from the recession of 1974 and 1975, when real wages showed a decline, and the increase in wages in 1976 and 1977 occurred at a time when unemployment was dropping from just over 9% in September 1975 to its present level of 4.1%. A present worry, however, is the possibility that the construction boom (para.l above), if accompanied by a decline in exports, could lead to internally-generated inflation.
CONDITIONS OF WORK
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5. Since 1968, 137 pieces of legislation of concern to the Labour Department have been enacted, of which 13 were passed during 1977. In the past year the Employment Ordinance has been amended to provide that all workers coming within its scope are given one rest day a week instead of four rest days a month. A further amendment provided for one week's holiday with pay from 1 January 1978 in addition to other statutory holidays which were increased in number from 6 to 10 as from 1 January 1977. Sickness allowance was increased from half a day's pay to two-thirds of a day's pay and the number of sickness days which can be accumulated from 24 to 36. Severance pay to compensate workers discharged on grounds of redundancy was increased from one-third to one half of a month's pay per year of service and the Employment Ordinance was also amended to give greater legal protection to workers claiming wages from employers declared bankrupt or from contractors in the building industry. The Factories and Industrial Undertakings Ordinance and Regulations control the hours and conditions of workers in industrial undertakings. It prohibits the employment of children in those undertakings under the age of 14 and limits the standard working hours for women and young people aged 16 and 17 to 8 hours a day and 48 hours a week. Though there are no legal restrictions on hours of work for men, the restriction on the hours of work for women and young persons is said to have resulted in a decrease in the . number of hours worked by men alongside women.
6. The Factories and Industrial Undertakings Ordinance also prescribes that before registration industrial undertakings must conform with certain standards of industrial health, safety and welfare. Premises must have adequate drainage, lighting and ventilation; adequate space for each workman; adequate enclosures ›
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/for driving