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HONG KONG

Trade Union Ordinance in 1988 permits unions to maintain political action funds which are restricted to local elections.

Nonetheless, only about 437,000 workers (or 15.6 percent) out of a total labor force of 2.8 million belong to one of the 481 registered unions. Apathy toward unionism on the part of workers, reinforced by the Confucian cultural heritage and its emphasis on family responsibility, is the principal reason for this phenomenon.

The principal governmental and nongovernmental institutions that interact with the trade unions are the Legislative Council, the Department of Labor, the Labor Advisory Board, and the Labor Tribunal. Currently, two seats in the Legislative Council are set aside for labor representatives indirectly elected by the constituency. The Department of Labor (DOL) initiates labor legislation, monitors the territory's compliance with international conventions, enforces local regulations, and mediates or arbitrates in labor-management disputes. The Labor Advisory Board (LAB) advises the Commissioner for Labor on matters of interest to the local work force; trade unions and employer organizations elect eight of the representatives, while the remaining four are appointed by the commissioner. In May the six labor representatives of the LAB threatened a general strike to protest a government plan to import labor. However, the labor unions did not carry through on their threat.

Work stoppages from January to November resulted in the loss of 3,495 workdays. Work stoppages and strikes are permitted. However, there are some restrictions on this right for civil servants. Employees hired on a contract basis can be fired for breach of contract if they walk off the job.

Hong Kong labor unions may form federations, confederations, or affiliate with international bodies. Any affiliation with outside labor unions needs the consent of the Government; no

request has been turned down. The three major federations are the pro-PRC Federation of Trade Unions (81 affiliated unions with about 174,000 members), the Independent Confederation of Trade Unions (21 affiliated unions with a membership of 97,000) and the pro-Taiwan Trades Union Council (70 affiliated unions with a membership of about 18,000).

As a dependent territory of the United Kingdom, Hong Kong is not a member in its own right of the International Labor Organization (ILO). The United Kingdom makes declarations on behalf of Hong Kong concerning the latter's obligations regarding the various ILO Conventions. To date Hong Kong has implemented provisions applying 29 conventions in full and 18 others with modifications. In the Basic Law, China has undertaken to continue to adhere to these conventions after 1997.

b. The Right to Organize and Bargain Collectively

The right to organize and bargain collectively is guaranteed under local law. Hong Kong laws pertaining to collective bargaining cover mainly the shipping, textile, public transport, public utility, and carpentry trades, and the catering, construction, public service, and teaching professions. Wages are usually set by employers on the basis of market factors. While collective bargaining does take place, it is not widely practiced, and in general there are no mechanisms specifically to encourage it. Hong Kong law does,

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