H.K. unemployment rate drops slightly to 6%

Asian Economic News, Jan 24, 2000

HONG KONG, Jan. 17 Kyodo

Hong Kong posted an unemployment rate of 6% for October-December 1999, dropping slightly from the 6.1% rate in the September-November period last year, the government said Monday.

The provisional number of unemployed for October-December was 220,000 of a labor pool of 3.53 million.

The underemployment rate for the same period was estimated at 2.8%, 100,000 people, and down from 3% in September-November, government statistics showed.

In Hong Kong, underemployed people are those who work less than 35 hours a week.

Cheung Hok-ying, the government's principal economist, told a press conference both unemployment and underemployment rates went down as labor demand increased, along with steady improvement in overall business conditions.

During October-December, unemployment rates decreased in the sectors of decoration and maintenance, transport, business services and personal services. They offset increases recorded in the restaurant and construction sectors.

Cheung said it is expected the rate will continue to improve as the tourism sector has shown clear signs of recovery and many major infrastructure and public works projects will be carried out in the next six months.