Hong Kong employer groups call for helper wage freeze, warn of mass sackings
A coalition of Hong Kong employers has called on the government to freeze the pay of foreign domestic workers this year, warning that any wage increases may result in mass sackings. They also proposed a new pay-for-performance mechanism to allow employers to reward high-performing helpers more than poor performers. Two employers’ groups – the International Domestic Service Industry Development…
A coalition of Hong Kong employers has urged the government to freeze the wages of foreign domestic workers, warning that any increases could lead to widespread layoffs. The International Domestic Service Industry Development Federation and the Quadripartite Alliance for Harmonious Employment Practices, alongside about 30 employers’ representatives, presented their concerns to the government on Saturday.
According to the groups, over 97% of 6,200 polled employers supported a wage freeze and food allowance this year. Meanwhile, 84% of those surveyed feared they could not cover a pay raise for their helpers and might resort to firing them if the government approved an increase. "Many employers are themselves out of work or facing cuts in pay or freezes on wages," a federation spokeswoman noted.
The International Domestic Service Industry Development Federation explained that the government-imposed minimum wage for foreign helpers has risen by 7.8% over the past three years. With additional allowances, employers could potentially spend up to HK$11,000 (US$1,400) per helper annually. Chrystie Lam, a federation spokeswoman, emphasized that employers do not wish to terminate their helpers but suggested introducing a performance-based pay system instead of a one-size-fits-all wage adjustment.
In Hong Kong, foreign domestic helpers receive a monthly minimum wage set by the government. This rate, distinct from the one covering local workers, was last increased by 2.2% to HK$5,100 per month, plus a food allowance of HK$1,236 for those who do not receive free meals from their employers. The minimum wage is reviewed annually, typically announced in September.
Last month, a group of foreign domestic helper unions requested a higher minimum wage of HK$6,770 and a food allowance exceeding HK$2,770, citing rising inflation, stagnant wages over the past decade, and insufficient food allowance for adequate meals. The SCMP has sought further comment from the Labour and Welfare Bureau.
Written by urgent.news from South China Morning Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
