Minimum wage review must wait for Q1 data next year; over 200,000 grassroots workers get nearly 10% pay rise, says Matthew Cheung

Secretary for Labour and Welfare Matthew Cheung said the minimum wage review must be data-driven, with the latest figures available only in next year’s first quarter. The Minimum Wage Commission must submit its recommendations to the Chief Executive and the Executive Council no later than next November.

How has the minimum wage performed so far?

In its first three months, over 200,000 grassroots employees benefited, with wages rising nearly 10% (9.7%) — a 4% real gain after inflation. Cheung called the figures encouraging, describing the rollout as smooth and stable overall.

How is the government cushioning inflation for grassroots workers?

The Work Incentive Transport Subsidy Scheme launching 3 October gives eligible workers HK$600 a month (HK$300 for part-timers working 36 hours a month), on top of the HK$6,000 handout for every Hong Kong resident at year-end. Cheung said these measures would ease inflation pressure and help with transport costs.

Will the minimum wage be reviewed early?

No. Cheung stressed the review must weigh a basket of socio-economic indicators — wage trends, the broader economy and employment conditions — with a full review only after Q1 data arrives. Pressed on whether it could come sooner, he said the timetable stands. Workers wanting to understand how the minimum wage interacts with MPF contributions can consult MPF educational resources.