Labour Advisory Board Report 2013-2014 - Chapter 3

Activities in the 2013-2014 Term

3.1 Introduction

The Labour Advisory Board (LAB) met nine times during the period from 1 January 2013 to 31 December 2014. Members advised the Chairman of LAB on labour legislation, administrative measures on labour matters as well as other issues.

3.2 Consultation on Labour Legislation

LAB discussed three items of labour legislation. Details of the items and their progress are listed below:

Employment Ordinance

• To legislate for paternity leave (PL).
  • Based on the consensus of LAB, the Government introduced the Employment (Amendment) Bill 2014 (the Bill) into the Legislative Council (LegCo) on 26 March 2014 to legislate for three days of PL for eligible male employees with pay at four-fifths of their average daily wages. During the scrutiny of the Bill by LegCo, the Government reported to LAB the relevant progress and the amendments proposed by LegCo Members. After discussion, LAB reaffirmed its support to the consensus previously reached regarding the statutory PL proposal and adopted some minor adjustments to the Bill proposed by the Government.
  • The Bill was passed by LegCo on 18 December 2014. Statutory PL has taken effect since 27 February 2015.

• To review the continuous contract requirement under the Employment Ordinance (EO).
  • Having regard to the concerns of the labour sector on the continuous contract requirement (i.e. to constitute a continuous contract, an employee has to be employed by the same employer for four weeks or more and worked for at least 18 hours each week), the Labour Department (LD) has conducted a review of the continuous contract requirement under EO and put forward possible approaches for the consideration of LAB.
  • After rounds of in-depth deliberations, the Employer and Employee members maintained their different concerns over the subject and had yet to reach a consensus.

Employees’ Compensation Ordinance, Pneumoconiosis and Mesothelioma (Compensation) Ordinance and Occupational Deafness (Compensation) Ordinance

• To increase the amounts of a total of 18 compensation items under the three Ordinances in line with the review findings for the 2012-2013 period.
  • The compensation levels are subject to review every two years according to the established mechanism. Adjustments, if necessary, are generally made by reference to the changes in the wage and price levels and other relevant factors over the review period.
  • LAB endorsed the proposal to adjust upwards the amounts of 18 compensation items from 5.73% to 44.44%.
  • The relevant resolutions were passed by LegCo on 4 February 2015. The new levels of compensation have taken effect since 5 March 2015.

3.3 Consultation on Administrative Measures on Labour Matters

LAB was briefed or consulted on the following administrative measures on labour matters:

• findings of a survey on chiropractor consultation by the public published by the Census and Statistics Department, the latest development of chiropractic in Hong Kong and other places and the review on whether the medical certificates issued by chiropractors should be recognised under labour legislation.
• offsetting arrangement for long service payment and severance payment under the Mandatory Provident Fund (MPF) Schemes.
• measure worked out by the Development Bureau to expedite the preparatory work for applications under the Supplementary Labour Scheme (SLS) as submitted by public works contractors.
• results of a review of the productivity assessment mechanism for employees with disabilities under the Statutory Minimum Wage regime and enhancement measures to be adopted by LD.

3.4 Consultation on Other Legislation and Measures

• LAB noted and gave its views on the review on the adjustment of the minimum and maximum relevant income levels under MPF schemes by the Mandatory Provident Fund Schemes Authority.
• LAB noted and gave its views on the consultation paper for the Administration of Justice (Miscellaneous Provisions) Bill by the Judiciary Administration regarding the proposed amendments by the Judiciary to the Labour Tribunal Ordinance to improve the operation of the Labour Tribunal.
• LAB noted the public consultation document for Improvement of Corporate Insolvency Proposals by the Financial Services and the Treasury Bureau.
• LAB noted the Social Welfare Department’s measure to lift the restriction on elderly care homes under their Enhanced Bought Place Scheme to use SLS, whereby the non-subsidised portion of these homes can apply for imported care workers under SLS.
• LAB noted and gave its views on the public consultation paper for Public Engagement Exercise on Population Policy by the Steering Committee on Population Policy.

3.5 Supplementary Labour Scheme

Operating on the principle of according priority in employment to local workers, the Government will approve imported workers at technician level or below under SLS only if employers cannot recruit local workers to fill the relevant job vacancies. LD will invite LAB members’ views on applications under SLS, before the Commissioner for Labour approves or refuses the relevant applications. During the 2013-2014 term, LAB provided views on 1 671 applications for labour importation.

To ensure effective attainment of the policy objective of SLS, a working group on SLS has been formed under LAB. The terms of reference, composition and membership of the working group are at Appendix VI.

3.6 Participating in the International Labour Conference

LAB members attend the annual International Labour Conference in Geneva, Switzerland as part of the delegation of the People’s Republic of China. The Conference provides a valuable forum for LAB members to exchange views, share experience and establish contacts with delegates from different Members of the International Labour Organisation (ILO).

The 102^nd Session of the International Labour Conference

The 102^nd Session of the International Labour Conference was held from 5 to 20 June 2013. The Hong Kong Special Administrative Region (HKSAR) sent a tripartite team to the Conference as part of the delegation of the People’s Republic of China. Members of the tripartite team were:

More than 4 700 government, employer and employee delegates, including 156 Ministers from Members of ILO, participated in the Conference. HKSAR representatives attended the plenary sessions of the Conference and meetings of the Committee on the Application of Standards, Committee on Employment and Social Protection in the New Demographic Context, Committee on Sustainable Development, Decent Work and Green Jobs, Committee on the Recurrent Discussion on Social Dialogue and the World of Work Summit.

The 103^rd Session of the International Labour Conference

The 103^rd Session of the International Labour Conference was held from 28 May to 12 June 2014. HKSAR also sent a tripartite team to the Conference as part of the delegation of the People’s Republic of China. Members of the tripartite team were:

The Conference was attended by over 4 400 government, employer and employee delegates representing 165 Members of ILO. HKSAR representatives attended the plenary sessions of the Conference and meetings of the Committee on the Application of Standards, Committee on Forced Labour, Committee on Transitioning from the Informal Economy, Committee on the Recurrent Discussion on Employment and the World of Work Summit.

3.7 Contacts with ILO

LAB also maintained liaison and interflow with ILO officials. Mr Yoshiteru Uramoto, Regional Director of ILO Regional Office for Asia and the Pacific, and Mr Tim De Meyer, Director of the ILO Country Office for China and Mongolia visited Hong Kong and met with LAB members in November 2014 to exchange views on the latest development of international labour affairs.