XN000022-1983-06-29 — Page 3

WEDNESDAY, JUNE 29, 1983

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+UNEMPLOYMENT SITUATION HAS CEASED TO DETERIORATE+

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THE UNEMPLOYMENT SITUATION HAS CEASED TO DETERIORATE WITH THE GRADUAL RECOVERY FROM RECESSION, THE SECRETARY FOR ECONOMIC SERVICES, THE HON PIERS JACOBS TOLD THE LEGISLATIVE COUNCIL THIS AFTERNOON.

BUT HE CAUTIONED THAT ALTHOUGH THE ECONOMY IS IMPROVING AND SEEMS LIKELY TO GO ON IMPROVING+, THERE WAS NO GUARANTEE THAT THIS IMPROVEMENT WOULD BE TRANSLATED IMMEDIATELY INTO NEW JOBS.

THE REASON, HE SAID IN REPLYING TO QUESTIONS FROM THE HON SELINA CHOW, WAS THAT AFTER ECONOMIC RECOVERY BEGAN THERE TENDED TO BE A LAG BEFORE EMPLOYMENT OPPORTUNITIES WOULD START TO INCREASE AGAIN.

+NEVERTHELESS, ALL THE INDICATORS SUGGEST THAT THERE SHOULD BE AN IMPROVEMENT ÎN THE UNEMPLOYMENT SITUATION IN THE NEXT FEW MONTHS, + MR JACOBS SAID.

EARLIER, HE TOLD THE COUNCIL THAT THE SEASONALLY ADJUSTED UNEMPLOYMENT RATE WAS 5.2 PER CENT IN THE FEBRUARY-APRIL PERIOD THIS YEAR WHICH WAS HIGHER THAN THE 3.4 PER CENT RECORDED FOR THE SAME TIME LAST YEAR.

BUT MR JACOBS POINTED OUT THAT DOMESTIC EXPORTS OF GOODS INCREASED BY ABOUT FIVE PER CENT IN REAL TERMS IN THE FIRST QUARTER THIS YEAR COMPARED WITH THE SAME PERIOD LAST YEAR.

+ORDERS IN HAND IN THE MANUFACTURING SECTOR AS A WHOLE HAVE LENGTHENED FROM 3.8 MONTHS IN DECEMBER 1982 TO 4.2 MONTHS IN APRIL 1983, + HE SAID.

MR JACOBS ADDED THAT RETAINED IMPORTS OF RAW MATERIALS AND SEMI-MANUFACTURES IN THE FIRST FOUR MONTHS OF THIS YEAR INCREASED BY ROUGHLY FIVE PER CENT IN REAL TERMS COMPARED WITH THE SAME PERIOD LAST YEAR.

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