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FRIDAY, OCTOBER 14, 1994
CHRONIC
HONG KONG, AS I SAID IN MY SPEECH, HAS SUFFERED FROM LABOUR SHORTAGES FOR OVER 30 YEARS AND IT IS INTERESTING ΤΟ SEE HOW THAT HAS AFFECTED BOTH CHANGES IN OUR LABOUR MARKET AND INFLATION. IN FACT IT'S INTERESTING TO LOOK AT THE ACTUAL INCREASE IN THE LABOUR MARKET IN THE LAST COUPLE OF YEARS AGAINST THAT BACKGROUND OF A TIGHT MARKET. IN 1992 THE NUMBER OF PEOPLE IN OUR LABOUR MARKET ACTUALLY FELL. IN 1993 IT INCREASED BY, I THINK JUST UNDER THREE PER CENT, ABOUT 2.9 PER CENT. IN THE FIRST HALF OF THIS YEAR THE NUMBER IN OUR LABOUR MARKET WENT UP BY ALMOST THREE-AND-A-HALF PER CENT. SO EVEN THOUGH WE WERE EXPANDING, UNEMPLOYMENT DIDN'T MOVE, IT STAYED ABOUT THE SAME, AND I DON'T THINK THERE WAS ANY DIRECT IMPACT ON TIGHTNESS OR LABOUR COST PUSH INFLATION IN THE LAST 18 MONTHS OR SO BUT THAT IS BECAUSE, SURPRISINGLY, GIVEN THE LONGER HISTORICAL TREND, THE NUMBER IN OUR LABOUR MARKET HAS ACTUALLY BEEN GOING UP FOR THE LAST 18 MONTHS.
WE DO HAVE SPECIFIC SCHEMES WHICH ARE DIRECTED, OF COURSE, TO TRYING TO MEET PARTICULAR LABOUR SHORTAGES. WE HAVE THE GENERAL IMPORTATION SCHEME, WE HAVE PARTICULAR SCHEMES WHEN WE HAVE A BIG PROJECT LIKE THE AIRPORT, AND WE'VE INTRODUCED, AS YOU WILL
KNOW, A PARTICULAR SCHEME ΤΟ BRING THE GRADUATES OF CHINESE TERTIARY INSTITUTIONS DOWN TO HONG KONG TO DO PARTICULAR JOBS. AND I THINK THAT SCHEME HAS ALREADY BEGUN TO WORK AND WORK SUCCESSFULLY AND I HOPE WE'LL BE ABLE TO DO MORE IN THE FUTURE.
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WE'VE ALSO ATTEMPTED TO INCREASE SUBSTANTIALLY OUR INVESTMENT IN TRAINING AND RETRAINING IN ORDER TO MAKE THE BEST USE OF THE SKILLS THAT WE ACTUALLY HAVE. I VERY MUCH DOUBT WHETHER IT WILL BE POSSIBLE IN THE FUTURE TO ABANDON ANY RESTRICTIONS ON THE IMPORT OF LABOUR, I THINK THE COMMUNITY WOULD FIND THAT EXTREMELY DIFFICULT. BUT IF THERE ARE GOOD IDEAS ELSEWHERE, SUCH AS IN SINGAPORE, WHICH SHOULD CONSIDER, THEN I'M SURE THAT WE WILL NEED, BECAUSE OF THE CONTINUING PROBLEMS OF LABOUR SHORTAGE, TO LOOK AT THEM. AND JUST AS I'M SURE SINGAPORE LEARNS FROM US FROM TIME TO TIME, SO WE MAY BE ABLE TO LEARN FROM THEM TOO. SPEAKER:
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GOVERNOR, THANK YOU FOR COMING TODAY AND SHARING SOME OF YOUR THOUGHTS WITH US FORCEFULLY AND OPENLY. AND I AM SURE I'M SPEAKING FOR MANY OF MY COLLEAGUES IN THE BUSINESS. COMMUNITY, THAT WE AS MUCH AS YOU WOULD LIKE TO SEE THE FOUR POINT DECLARATION THAT YOU JUST MADE, MATERIALIZE.
AND AS A GESTURE OF OUR APPRECIATION OF YOU COMING TODAY, CAN I ASK WILLIAM ALSO TO COME UP AND WE WOULD LIKE TO GIVE YOU A SMALL MEMENTO.
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