1936
C 8
LABOUR.
General.
36. Once again labour conditions in the Colony have been quiet during the year under review. As compared with 1935 there has been a marked decrease in unemployment especially among skilled and semi-skilled workers. This is undoubtedly due to the expansion and increased activity of our local industries which was foreshadowed in the annual report for 1935. The stabilisation of the local dollar at a comparatively low rate vis-a-vis sterling has been of great assistance to local industries, and it is particularly gratifying to notice that heavy industries have had a fairly good year. There is still a certain amount of unemployment in the ranks of unskilled labour but this may be expected to decrease in proportion to the improvement in world conditions which is sharply reflected by the Colony's entrepot trade.
37. Unfortunately it has to be recorded that there is considerable unemployment in the New Territories though it would appear that this is largely attributable to a specific cause. Although practically all the New Territories villagers are small land owners, it has for a long time been customary for a large proportion of the male population to earn a livelihood at sea. At the beginning of the year it was brought to the notice of Government that one of the conditions governing the grant of the Imperial Government's shipping subsidy was that subsidised ships should employ British subjects and that this was leading to the dismissal of Chinese crews and their replacement by lascars from British India. The Government immediately instituted a system whereby Chinese seamen who were able to prove their claims to British nationality should be issued certificates of Nationality and Identity. By the end of the year approximately 734 certificates had been issued, mostly to inhabitants of the New Territories, and it is hoped that local shipping companies will be able gradually to re-employ many of those who are at present out of work.
Disputes and Strikes.
38. There were no strikes during the year and no disputes of more than minor importance. A certain amount of trouble was experienced in repatriating Northern Chinese who had been employed on the Shing Mun waterworks construction but, with the assistance of the Tung Wah Hospital authorities, a satisfactory working arrangement was evolved.
39. There have, of course, been many cases of individual hardship due to business failures and defaulting employers. This is inevitable under local conditions, especially in connection with work undertaken by contractors. The Chinese custom of sub-letting contracts results in a hierarchy of sub-contractors of