ENG-1985 — Page 108

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EMPLOYMENT

and 19 with modification, making a total of 49. This compares favourably with most member nations in the region.

During the year, there were 3 779 prosecutions for breaches of ordinances and their regulations administered by the Labour Department. Fines totalling $6,721,440 were imposed.

Wages and Conditions of Work

There is no statutory minimum wage rate in Hong Kong. The wage level prevailing is essentially the result of an interplay of the economic forces of supply and demand.

Wages rates are usually calculated on a time basis such as hourly, daily or monthly, or on an incentive basis depending on the volume of work performed. The pay period is normally 15 days for daily-rated and piece-rated workers and a month for monthly-rated workers. Most semi-skilled and unskilled workers in the manufacturing industries are piece-rated, although daily rates of pay are also common. Monthly-rated industrial workers are usually employed in skilled trades or in technical, supervisory, clerical and secretarial capacities. On the other hand, monthly rates of pay are most common for workers in the non- manufacturing industries. Men and women receive more or less the same rate for piece-work, but women on average are paid less when working on a time-basis as there may not be strict job comparability.

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Wage rates of manufacturing workers continued to increase in money terms during the year. After allowing for rises in consumer prices, there was an increase in wage rates of 2.1 per cent in real terms during the 12 months ending in September 1985. The rate of increase in wage rates slowed down compared with the previous year, reflecting the weaker export performance, but unemployment and underemployment remained stable at a low level due to the continued expansion of other sectors of the economy.

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A Consumer Price Index (A), based on a household expenditure survey conducted from October 1979 to September 1980 and covering about 50 per cent of urban households in Hong Kong, was compiled as an indicator of the average price changes experienced by urban households spending between $1,000 and $3,499 a month in the base period of 1979-80. In December 1985, this index stood at 160.8 (see Appendix 16). A Consumer Price Index (B) was compiled to show the average price changes experienced by urban households spending between $3,500 and $6,499 a month in 1979–80. This covers about 30 per cent of the urban households in Hong Kong.

In September 1985, 75 per cent of manual workers engaged in manufacturing industries received daily wage rates (including fringe benefits) of $79 or more (males $90 and females. $75), and 25 per cent received $115 or more (males $133 and females $104). The overall average daily wage rate was $98 (males $116 and females $91).

Besides granting rest days, statutory holidays, paid annual leave and other entitlements under the Employment Ordinance, a number of employers in the manufacturing indus- tries provide workers with subsidised meals or food allowances, attendance bonuses, free medical treatment, and a Lunar New Year bonus of one month's pay or more. Free or subsidised accommodation and transport are also provided by some establishments. Since March 1982, an expanded survey of wages, salaries and employee benefits has been conducted to record wage rate statistics for non-manual workers in the manufac- turing industries as well as for manual workers and non-manual workers in the non- manufacturing industries.

The Employment of Children Regulations, made under the Employment Ordinance, prohibit the employment of children under the age of 15 in any industrial undertakings.