XN000022-1996-01-10 — Page 38

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From the statistics available, it is apparent that people with lower educational attainment; of more advanced age; previously working in the manufacturing sector; and with lower skill levels spend more time in between jobs. This pattern was broadly stable during the past two years including the past few months when the unemployment rate increased.

The statistics reflect that our labour market's requirements have become more sophisticated. People with higher level of skills and educational attainment are more competitive in filling job vacancies. It also indicate that displaced workers previously working in the manufacturing sector are facing more: difficulty in finding jobs in other sectors. As for age, while younger people have a shorter MDU, their unemployment rate is considerably than those aged 30 and above. This suggests that younger people are more mobile in the labour market.

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(b)

The Governor convened two Summit Meetings on Employment last year. At both meetings, there had been positive and useful exchanges of views between both employers' and employees' representatives on how to tackle the unemployment problem and in particular on how to redress the 'mismatch' between demand and supply in the labour market. Employers and employees were united in their resolve to deal with this problem in a spirit of co-operation.

In tackling unemployment, the Government's objective is to assist the unemployed to re-enter the workforce. To this end, we have made good progress on the package of measures promulgated at the two Summit Meetings.

We have stepped up our employment service. The Job Matching Programme which started as a Pilot Programme in April last year and operated at full force from last August onwards has proved to be a very effective means of matching the unemployed with job vacancies. As of 3.1.96, the Programme has found jobs for over 2,800 job-seekers, representing a success rate of 70%.

Through our promotion efforts, some employers have now adopted a more flexible and pragmatic attitude in their recruitment of local workers.

Our Employees Retraining Scheme (ERS) has been providing more unemployed persons with suitable retraining courses and as a result, a greater number of retrainees have successfully re-entered the workforce. We are also commissioning a consultancy study on how to make the ERS more effective.