It
23. The functioning of the labour market in Hong Kong has also been an important contributory factor in the growth of the economy. too has to a large degree opérated on free market principles, with wages being mainly determined by the supply and demand for labour in the various industries and trades. This has given the flexibility for workers to move into the growing and more productive industries and trades and away from the less productive ones. This has not, at least in recent decades, led to exploitation. In general there has
been a shortage of labour. The competition of employers for workers
and the constant readiness of the workforce to seek better opportunities has ensured a steady increase in real wages.
24. Market forces operate in Hong Kong within the framework of a
very considerable body of labour legislation. This covers, for example, minimum working conditions, the regulation of safety and health hazards in certain industries, the employment of women and
young people, severance pay and so on. Hong Kong adheres to more International Labour Organisation (ILO) conventions than any other
country or territory in Asia and more than some advanced countries. Very considerable efforts are also being made in providing training
to upgrade the skills of the working population.
PHYSICAL DEVELOPMENT AND INFRASTRUCTURE
25. Over the past 30 years Hong Kong has been almost completely rebuilt in an increasingly spectacular manner. Very little of what existed even as recently as the 1950's now remains standing.
Intensive re-development began in the 1960's. Previously the
territory had been too poor to afford very much development. Investment had to be concentrated in building up industry and in
providing for basic needs such as water and housing. It was only when industrial growth had begun to provide sufficient capital that
anything more ambitious could be attempted on a significant scale.
26. Despite Hong Kong's free market philosophy, development in the
territory has always involved a conscious element of government planning and regulation. Virtually all land is ultimately vested in
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