TNAG-2245-FCO40-3228-Bank-of-Credit-and-Commerce-Hong-Kong-Limited-(BCCHK)-1991 — Page 233

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

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TRADE DESCRIPTION (AMENDMENT) BILL

9.

The majority of respondents were against the passage of the Trade Description (Amendment) Bill by LegCo. They questioned the need for such an amendment. They believed that the amendment would only reduce production cost marginally and was unlikely to greatly increase the competitiveness of Hong Kong's knitwear industry. They pointed out that, despite the guarantee of employers that no workers would be sacked, the workers would be forced to leave of their own accord since their wages, which were determined by their workload, would inevitably decrease as many of the knitwear procedures were moved to China. Some respondents considered that the introduction of the amendment bill would result in a shift of local workers from the manufacturing sector to the service industries, and see jobs in the manufacturing sector being filled by cheaper imported labour. They warned that there were likely to be more cases of labour disputes and urged the Government to introduce measures to protect the interest of local workers.

City and New Territories Administration

26 July 1991

c.c. Members of CSC, PS/GH, DIS, D of B, CTEL, CP, D of SB,

DS (CS) SM, DSS/Ops, Secretary General OMELCO (2), Clerk of Councils, UKREP JLG, Head of CPU.

C.N.T.A. 9

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