Pedestrians donning face masks walk across a street in Central district, Hong Kong, Oct 6, 2020. (PARKER ZHENG/CHINA DAILY)
HONG KONG – Long-term effects of the COVID-19 pandemic on consumer behavior in Hong Kong may affect the local job market, Secretary for Labour and Welfare Law Chi-kwong said Wednesday.
Replying to a query at the Legislative Council (LegCo), Law said the labor market could gradually recover in the second half of 2021 if the pandemic is brought under control with the launch of the COVID-19 Vaccination Programme.
Secretary for Labour and Welfare Law Chi-kwong said the pandemic may expedite adoption of innovation and technology (I&T) in daily lives and business operations, such as online shopping, remote work and distance business, which may lead to changes in demand for talents for different jobs
“In the longer run, changes in consumption behaviors or business models caused by the COVID-19 epidemic may affect the local labour market,” Law said in a written reply.
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He said the pandemic may expedite adoption of innovation and technology (I&T) in daily lives and business operations, such as online shopping, remote work and distance business, which may lead to changes in demand for talents for different jobs.
“The government will monitor relevant developments closely and provide additional support and assistance as necessary, including enhancements in training, re-training, and job-matching,” he added.
According to data from the Census and Statistics Department, the seasonally adjusted unemployment rate increased from 7.0 percent for the November to January period to 7.2 percent for December to February.
Around 261,600 people were unemployed in the latter period, with distinct increases in the unemployment rate observed in the import and export trade sector; postal and courier activities; education; and arts, entertainment and recreation.
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Law said the government will closely monitor the impact of the pandemic on labour supply and requirements and update labor force projections where needed.
The government was also coordinating with post-secondary education institutions and providing information on manpower trends of different industries to facilitate their planning, he added.
Also answering a query at the LegCo on Wednesday, Secretary for Transport and Housing Frank Chan Fan said the corporate restructuring at Cathay Pacific Airways has led to around 5,900 employees being made redundant.
Around 5,300 of these employees were Hong Kong-based, he added.
Beleaguered Cathay Pacific suffered a record annual loss of HK$21.65 billion (US$2.79 billion) for 2020 as pandemic lockdowns wrought havoc on international travel.
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Chan said the Transport and Housing Bureau had requested Cathay to fully consider its restructuring’s potential impact on Hong Kong's status as an international aviation hub and the aviation network.
He added that Cathay should also maintain its core team and suitable talents to ensure that it is well equipped to start off again after the pandemic and provide impetus for the relaunch of the local aviation industry as well as Hong Kong’s overall economy.