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Source: Hong Kong Government special administrative region – 4

     The Innovation and Technology Commission (ITC) announced today (April 1) that applications under the 2026 Innovation and Technology Support Programme (ITSP) (Platform & Seed) will be invited from May 18 until July 17, 2026.
 
     The ITSP (Platform & Seed) aims to support applied research and development (R&D) projects undertaken by R&D centres or designated local public research institutes with a view to transferring R&D results to local industries. Platform projects are applied R&D projects that are industry-oriented and have potential for commercialisation, while seed projects are exploratory and forward-looking projects.
    
     An ITC spokesman said, “To fully align with the country’s 15th Five-Year Plan, the ITC welcomes applications closely related to the technology areas highlighted in the Plan (quantum technology, embodied AI, etc). Applications related to other technology areas that meet the eligibility requirements are also welcome. To allow applicants more time to prepare their proposals and identify industry partners, we have brought forward the announcement of this year’s application period.”
 
     Further information on the ITSP (Platform & Seed) is available on the Innovation and Technology Fund (ITF) website (www.itf.gov.hk/en/funding-programmes/supporting-research/itsp/itsp-platform-seed/index.html). For enquiries, please contact the ITF Secretariat (Tel: 3543 5904; email: enquiry@itf.gov.hk).

Source: Hong Kong Government special administrative region – 4

Following is a question by the Hon Nick Chan and a reply by the Acting Secretary for Financial Services and the Treasury, Mr Joseph Chan, in the Legislative Council today (April 1):
 
Question:
 
     While the Government indicated its intention to introduce legislation for a statutory corporate rescue procedure in 2020, it has not yet submitted the relevant bill to this Council to date. There are views that the absence of a statutory corporate rescue mechanism in Hong Kong not only increases the risk of viable companies being forced into winding-up, but also affects Hong Kong’s competitiveness as an international financial and legal services centre. In this connection, will the Government inform this Council:
 
(1) of the progress of drafting the aforementioned bill and the legislative timetable; whether it has assessed the impact on the continued operation of corporates, the protection of the rights and interests of shareholders and employees, as well as the overall debt recovery rate for creditors under the current situation where there is no statutory corporate rescue procedure;
 
(2) of the legal framework that the Government will adopt when studying the corporate rescue regime, in order to balance the rights of the various parties involved in debt restructuring, including whether it will establish a moratorium on winding-up and appoint professional third parties to intervene to assist corporates in restructuring their businesses; how such a regime will effectively address conflicts of interest among creditors and ensure that the rights and interests of corporate directors, shareholders and employees are adequately protected; and
 
(3) whether it will include provisions in the bill to prevent abuse of the regime, and set up a special task force comprising representatives from government departments and professional bodies to take forward the legislative work?
 
Reply:
 
President,
 
     The Government has been committed to enhancing the regime for corporate insolvency and restructuring in Hong Kong to protect the interests of shareholders, creditors and employees, while strengthening the city’s competitiveness as an international business and financial centre.
 
     Our consolidated reply to the various parts of the question is as follows:
 
     The Financial Services and the Treasury Bureau and the Official Receiver’s Office have previously conducted multiple rounds of consultation on a statutory corporate rescue procedure (CRP), including a consultation with the Panel on Financial Affairs of the Legislative Council (LegCo) on the legislative proposal in 2020, as well as the collection of views from various stakeholders. Despite the support from the accountancy and legal sectors, our proposal was met with objection and strong reservation from a number of LegCo Members and major stakeholders.
 
     The labour sector was concerned that the statutory CRP might be abused to divert company assets, thereby avoiding the payment of employees’ entitlements. Moreover, the corporate rescue, if failed, might impede the progress of employees’ applications for ex gratia payments from the Protection of Wages on Insolvency Fund, and hence delaying when employees could receive financial assistance. There were also opinions expressing concerns that the provisional supervisors, upon taking control of the company, might prioritise corporate survival over adequate protection of employees when formulating the rescue plans.
 
     In addition, there were concerns that debtors might exploit the moratorium under the statutory CRP to delay the legitimate debt recovery by creditors. Moreover, where any independent third-party professionals were appointed as provisional supervisors to take control of the company in the statutory CRP, they might not be as familiar with the company’s business operations as the management, making it difficult for them to provide targeted and practical recommendations. Representatives of small and medium enterprises (SMEs) also expressed worries that due to the relative complexity of the CRP in the legislative proposal and the potential involvement of costly professional fees, only a small number of large companies would use the CRP. As many SMEs would become unsecured creditors in the CRP and would have relatively weaker bargaining power, they might have to accept significant haircuts on debts owed to them under the rescue plan, thereby undermining their interests. Therefore, after taking into account the views of all stakeholders on the statutory CRP, we have decided to maintain the existing market-led scheme of arrangement as the statutory debt restructuring regime.
 
     In fact, under Hong Kong’s common law system and the judicial system which aligns with international standards, companies are currently provided with attractive and highly effective restructuring options. The scheme of arrangement provided under the Companies Ordinance (Cap. 622) has long been utilised by the market to bring about successful debt restructuring for a number of companies. Over the past five years, the courts of Hong Kong have sanctioned over 40 schemes of arrangement for debt restructuring, covering companies in industries such as aviation, mining, and real estate. It is also noted that schemes of arrangement sanctioned by Hong Kong courts have been recognised and adopted in parallel with similar procedures in other jurisdictions in recent years, thereby facilitating cross-border debt restructuring.
 
     Under court supervision, the existing scheme of arrangement effectively supports viable companies in debt restructuring and reduces their risks of being forced into winding-up. Specifically, before a restructuring proposal can be sanctioned by the court, a meeting of creditors or different classes of creditors must be convened, and the proposal must be approved by a majority in number representing at least 75 per cent in value of the claims of the creditors present and voting at the meeting. In addition, employees with outstanding entitlements (such as unpaid wages) are generally regarded as a separate class of creditors. This mechanism can effectively handle conflicts of interests among different creditors, while protecting the interests of corporate directors, shareholders and employees during restructuring, and providing companies with more flexible and practical restructuring options with the support of the common law system.
 
     Under the scheme of arrangement, a company may appoint an independent third-party restructuring consultant (usually a lawyer or an accountant) to assist in drawing up restructuring plans while maintaining normal operations during restructuring. If a winding-up order is issued against the company, the restructuring work will be undertaken by a liquidator, who may apply to the court for continuation of the company’s business operations if necessary. The existing scheme of arrangement, with its flexibility and practicality, has gained recognition from the international community and the market. It provides effective support for viable enterprises to sustain operations while striking a proper balance among the interests of different parties.
 
     The Hong Kong Special Administrative Region Government is now focusing on building a vibrant economy, striving for development, and promoting high-quality development of the financial market to create a more favourable business environment for enterprises, aiming for better alignment with our country’s development strategies of promoting high-standard opening up during the 15th Five-Year Plan period. We will keep an open mind and continue to proactively collect and evaluate views from various stakeholders on the CRP or the existing winding-up regime through different channels, with a view to making the insolvency and restructuring regime more pragmatic and efficient, thereby benefiting market participants.
 
     Thank you, President.

Source: Hong Kong Government special administrative region

Source: Hong Kong Government special administrative region

Source: Hong Kong Government special administrative region – 4

Following is a question by the Hon Alan Chan and a reply by the Secretary for Culture, Sports and Tourism, Miss Rosanna Law, in the Legislative Council today (April 1):
 
 Question:
 
Data from the Hong Kong Tourism Board show that both the average number of days stayed and the per capita spending of Mainland visitors declined in 2025. Some members of the industry have pointed out that some hotels have consequently undergone transformation and changed their uses. In this connection, will the Government inform this Council:
 
(1) whether it will, by drawing reference from the practice of introducing the Industrial Building Allowance to encourage investors to construct industrial buildings, introduce a “hotel building allowance”, providing an initial allowance of 20 per cent on capital expenditure incurred on the construction of hotel buildings, so as to alleviate the upfront capital pressure on investors and encourage hotel investment;
 
(2) whether it will consider increasing the plot ratio for hotel projects by 20 per cent to 25 per cent under specific conditions, in order to enhance investment incentives; and
 
(3) as some members of the industry have pointed out that there is currently an oversupply of hotel rooms, and the industry is forced to bear the Hotel Accommodation Tax (HAT) expenses itself due to a lack of bargaining power, they propose that the Government freeze HAT until the demand for rooms exceeds supply, i.e. adopting a year-on-year increase of over 3 per cent in the industry’s “Revenue Per Available Room” (which is a level sufficient to offset the tax cost) as a reference condition for resuming the tax collection, whether the Government will study the relevant proposal?
 
Reply:
 
Thank you, President.
 
President, the tourism industry in Hong Kong performed strongly in 2025. Annual visitor arrivals reached nearly 50 million, representing an increase of 12 per cent over 2024, with non-Mainland visitors increasing by 15 per cent. The tourism industry has continued to perform well this year, with visitor arrivals exceeding 14.31 million in the first three months, an increase of 17 per cent year-on-year. It is projected that total visitor arrivals for 2026 will reach about 53.8 million, an increase of approximately 8 per cent over last year.
 
Tourism is one of the major economic pillars of Hong Kong, driving growth in retail, food and beverage, hotels, and related sectors. In 2024, the value added attributable to tourism was $86.4 billion, accounting for 2.8 per cent of Gross Domestic Product, compared with 2.6 per cent in 2023.
 
As at the end of February 2026, Hong Kong had 333 hotels offering a total of 93 481 guest rooms, and the number of rooms has been increasing year on year. In 2025 as a whole, the average hotel room occupancy rate was about 87 per cent. During the Chinese New Year Golden Week of the Mainland in February, the occupancy rate of our hotels reached 90 per cent in general.
 
The Government has been proactively seizing opportunities to promote deeper integration of culture, sports and tourism, with the aim of offering visitors a more diverse and vibrant travel experience and enhancing Hong Kong’s overall attractiveness, thereby supporting the sustained development of the tourism and hotel sectors.  
 
 In consultation with the Development Bureau (DEVB) and the Financial Services and the Treasury Bureau, our reply to Hon Alan Chan’s question is as follows:
 
(1) Pursuant to the Inland Revenue Ordinance (Cap. 112), a hotel operator who constructs a commercial building or structure for use as a hotel may claim an annual allowance equal to 4 per cent of the capital expenditure incurred on the relevant construction works, until such capital expenditure has been fully claimed. 
 
If a hotel operator purchases a commercial building or structure to operate a hotel, it may claim an annual allowance of 4 per cent on the residual expenditure after the purchase, until such residual expenditure has been fully claimed.
 
Unlike the allowance on industrial buildings or structures, the allowance on commercial buildings or structures does not include an initial allowance of 20 per cent. It is because industrial buildings are purpose-built and normally have a high degree of wear and tear once they are occupied and are thus subject to a high initial depreciation, whereas the case for commercial buildings is different.
 
In addition, as for the deduction for building refurbishment expenditure, if a hotel operator renovates or refurbishes a hotel, the capital expenditure incurred on such renovation or refurbishment may also be deducted in equal instalments over a period of five years.
 
(2) Under the current development control regime, the Government has put in place various measures to facilitate hotel development. In terms of the building regime, hotels are regarded as non-domestic buildings. As compared with domestic buildings in general, the permissible plot ratio for non-domestic buildings is significantly higher. In addition, supporting facilities required for the daily operation of hotels and vehicular setting down and picking up areas are exempted from the calculation of gross floor area (GFA).
 
DEVB has also relaxed controls under the planning regime. For instance, the Planning Department amended the Mong Kok Outline Zoning Plan (OZP) and the Yau Ma Tei OZP in 2022 and 2023 respectively, doing away with the maximum plot ratio restriction of 12 for “Commercial” zones along both sides of Nathan Road in the districts and to follow the maximum permissible plot ratio under the Building (Planning) Regulations instead. In any case, even for commercial sites in general, project proponents may, through the established town planning procedures, submit a simple planning application to the Town Planning Board to seek minor relaxation of the plot ratio restriction.
 
For redevelopment through lease modification and land exchange on land zoned for commercial use, the “Pay for What You Build” Pilot Scheme (the “Pilot Scheme”) will also be applicable, i.e. the land premium payable will be assessed based on the full market value of the “preferred use” of the land proposed by the lot owner. That means if the lot owner’s preferred use is hotel use, the land premium will be assessed on the basis of hotel use, rather than the use of highest market value as determined by the Lands Department for the commercial site, which may be a commercial use other than hotel use. The Pilot Scheme will also allow lot owners to proceed with phased development, with the GFA under the initial phase of the development accounting to at least 60 per cent of the total permissible maximum GFA for the whole development, thereby reducing the initial capital outlay and alleviating cash-flow pressure for developers.
 
In terms of land supply, DEVB will continue to assist the Culture, Sports and Tourism Bureau in achieving its policy objectives and, where necessary, identify land for hotel development in large-scale town planning development projects.
 
(3) To tie in with the fiscal consolidation programme and to increase Government revenue, the Government resumed the collection of hotel accommodation tax (HAT) at a rate of 3 per cent of the accommodation charge with effect from January 2025. The Government fully took into account the impact of the tax on visitors and the industry when it decided to resume the collection of HAT. The average hotel occupancy rate and the number of overnight visitors for 2025 increased by around 2 per cent and 6 per cent respectively when compared to 2024, indicating that HAT has had little impact on visitors’ willingness to travel to Hong Kong. In addition, the Government has been maintaining close contact with the industry on the collection of HAT. We understand that the industry operates generally smoothly in terms of compliance and tax payment.
 
The HAT provides a stable source of Government revenue without affecting the general public. In 2025-26, the estimated revenue from HAT is $770 million. The estimated revenue for 2026-27 is $800 million. The Government currently has no plan to freeze the HAT or adjust the rate of HAT.

Source: Hong Kong Government special administrative region – 4

The Transport Department (TD) announced today (April 1) that, in anticipation of a large number of members of the public, visitors and cross-boundary vehicles visiting land-based boundary control points (BCPs) during the long weekend of Easter and Ching Ming Festival holidays, cross-boundary travellers are urged to use public transport services travelling between Hong Kong and the Mainland or Macao, plan their trips early and allow sufficient travelling time.

Enhancing services for travel convenience

The TD has been steering local and cross-boundary public transport operators (PTOs) to strengthen their services during the long weekend of Easter and Ching Ming Festival holidays to accommodate the diverse travelling needs of passengers, including:
 

• The MTR Corporation Limited will enhance the train services of the East Rail Line (ERL) between Admiralty and Lo Wu/Lok Ma Chau Stations at different times during the above period based on passenger demand for the convenience of residents and visitors;
• Increasing the frequency of the Hong Kong-Zhuhai-Macao Bridge (HZMB) shuttle bus (Gold Bus) to an average of about one minute during peak hours, if needed;
• Increasing the frequency of the Lok Ma Chau-Huanggang cross-boundary shuttle bus (Yellow Bus) to an average of about two minutes during peak hours, if needed;
• Increasing the quota of cross-boundary coaches to strengthen services; and
• The frequency of local franchised bus B routes connecting various land-based BCPs will also be increased to a level higher than that of normal weekends, and the operators concerned will reserve sufficient vehicles and manpower to meet passenger demand.

 
Travel during non-peak hours
 
It is anticipated that the waiting time for public transport services, including the Gold Bus and the franchised bus B routes, may be longer. Passengers are advised to travel during non-peak hours, maintain order while queuing and heed advice from on-site Police and staff of PTOs concerned. Passengers planning to take cross-boundary coaches are also advised to reserve their coach tickets in advance.
 
     Of note, HZMB users to Zhuhai should note that the temporary link bridge connecting HZMB Zhuhai Port and Qinglu South Road has been closed to all traffic. They should use public transport services as far as possible, plan their trips early and allow sufficient travelling time. The traffic of Zhuhai Port and neighbouring roads may also be affected, and passengers should remain patient while waiting.

As for motorists of cross-boundary private cars crossing the border, they are advised that special traffic arrangements may be implemented at the Lok Ma Chau and the Shenzhen Bay Port, subject to actual traffic conditions, during the long weekend of Easter and Ching Ming Festival holidays to secure smooth access for public transport vehicles to the above BCPs. Cross-boundary private cars may experience longer waiting times for crossing the BCPs during peak periods. Motorists should pay extra attention to variable message signs and traffic signs along the roads. In case of traffic congestion, they should remain patient and follow the instructions of on-site Police.
 
Information dissemination

For the HZMB, to plan their journeys ahead, members of the public can make use of the TD’s HKeMobility mobile app or website (hkemobility.gov.hk/en/traffic-information/live/cctv) to access snapshots of traffic conditions at inbound and outbound vehicle plazas of the HZMB Hong Kong Port. They can also check real-time situations of the vehicle clearance plaza of the Zhuhai Port through the WeChat official accounts “hzmbzhport” or “zhuhaifabu” (traffic-info.gzazhka.com:5015/#/) (Chinese only). Moreover, motorists are reminded to always comply with the traffic control measures implemented by the Zhuhai authority when driving on the HZMB Main Bridge. Vehicles must not occupy the emergency lane unless instructed by the Zhuhai authority.

The public and visitors may visit the one-stop information platform on immigration clearance “Easy Boundary” (www.sb.gov.hk/eng/bwt/status.html?type=outbound) of the Security Bureau or the HKeMobility for the latest information on various land-based BCPs more conveniently. The TD will provide information on the services and waiting times of the Gold Bus, the Yellow Bus and the MTR. Members of the public are advised to check the latest traffic news through radio and television broadcasts, the TD’s website (www.td.gov.hk) and the HKeMobility.
 
     The TD’s Emergency Transport Co-ordination Centre operates round the clock to closely monitor the traffic conditions and public transport services of various districts, the BCPs and major stations, and to implement contingency measures when necessary to meet service demands.

Source: Hong Kong Government special administrative region

Source: Hong Kong Government special administrative region – 4

​Following is a question by the Hon Leung Man-kwong and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (April 1):
 
Question:
 
Currently, under the Comprehensive Social Security Assistance (CSSA) Scheme, recipients aged 65 or above who are single or living in a family with other family members who cannot take care of him/her may apply to the Social Welfare Department (SWD) for a special grant to cover the one-off installation fee or monthly service charges of an Emergency Alarm System (EAS) (commonly known as “Safety Bell”). With advances in gerontechnology, various smart sensing devices equipped with proactive detection functions have emerged on the market, which can automatically trigger an alarm when an elderly person is unable to press a button. In this connection, will the Government inform this Council:
 
(1) of the number of CSSA recipients receiving an EAS Grant in the past three years;
 
(2) whether the authorities know the number of cases in which assistance was sought through EAS in each of the past three years, with a breakdown by nature of assistance sought (such as emergency medical transport to hospital and non-emergency support services);
 
(3) whether the authorities know the average time taken by the 24-hour call centres of various EAS service providers from receiving a distress signal to answering the call and dispatching the appropriate services;
 
(4) whether, in the past three years, the authorities have compiled statistics on the number of cases in which elderly persons living alone with an EAS installed were unable to actively press the button to seek help due to an accident, ultimately resulting in delayed rescue or even death; among such cases, of the proportion of those in which the elderly persons were found collapsed at home only after police or fire services personnel had forced entry into the units, as compared with the total number of units with an EAS installed; if the authorities have not compiled such statistics, whether they will consider establishing a mechanism to assess service blind spots;
 
(5) whether the current scope of subsidies provided by SWD covers “contactless” intelligent accident detection systems now available on the market, such as AI-powered millimetre-wave fall detectors or smart door sensors; if not, whether the authorities will consider expanding the subsidy coverage; and
 
(6) given the various new types of sensor systems now available on the market, whether the authorities will formulate uniform certification standards to ensure that such products meet the relevant requirements?
 
Reply:
 
President,
 
The Comprehensive Social Security Assistance (CSSA) Scheme provides a safety net of last resort for people who cannot support themselves financially due to old age, ill-health, disability, single parenthood, unemployment, low-earnings or for other reasons to help them meet their basic needs. The CSSA Scheme provides a wide range of special grants, including the grant for emergency alarm system (EAS Grant), to meet the different special needs of recipients. 
 
The EAS Grant is applicable to all emergency alarm systems available in the market. The EAS Grant is either $100 maximum per month or $2,500 maximum on a one-off basis. From 2023-24 to 2025-26, the number of CSSA recipients receiving the EAS Grant is set out below:
 

Year	Number of CSSA recipients receiving the EAS Grant
2023-24	26 653
2024-25	25 543
2025-26 (As at end December 2025)	25 053

The Social Welfare Department (SWD) does not designate any service providers, systems or certification standards for the EAS Grant. CSSA recipients can select suitable emergency alarm systems and services according to their needs. The SWD does not maintain records regarding the use of relevant services by the EAS Grant recipients and therefore are unable to provide the information requested in parts (2), (3) and (4) of the question.
 
To strengthen the support for carers and promote the use of gerontechnology, the Labour and Welfare Bureau and the SWD launched in March 2026 a two-year pilot scheme on Installation of Intelligent Accident Detection Systems for High-Risk Households, installing, on a pilot basis, intelligent accident detection systems for no fewer than 300 high-risk carer households, including singleton and doubleton elderly households, as well as households with persons with disabilities. The pilot scheme leverages smart technology, striving to instantly detect, early intervene and promptly assist carers or care recipients who unfortunately encounter home accidents. The pilot scheme is sponsored by HKEX Foundation and participating households of the pilot scheme will be exempted from all fees. The Government has commissioned Hong Kong Shue Yan University to evaluate the effectiveness of the pilot scheme for reference for continuous implementation, adjustments, or improvements of the measure in future.

Source: Hong Kong Government special administrative region – 4

Following is the speech by the Chief Executive, Mr John Lee, at the Fourth Edition of Women Power Forum today (April 1):

Ladies and gentlemen, I am very pleased to join you, today, for the fourth Women Power Forum, delighted to be here among so many esteemed female leaders and distinguished guests.

They say women hold up half the sky, and in today’s Hong Kong, that is exactly what we see.

In the private sector, a growing number of listed companies now have a good number of female directors, and women’s participation in corporate leadership continues to rise. In the professional world, more than half of our accountants and lawyers are women. And within the Government, eight out of 15 directors of bureaux, along with the Director of the Chief Executive’s Office, are women. Forty-nine per cent of our civilian civil servants are also women. 

In short, women are both the leaders and the backbone of our economy and our government. Hong Kong is clearly far better because of it, because of the women of Hong Kong. Very proud of you all.

Hong Kong’s achievements stand as a powerful testament to our unwavering commitment to women’s development and gender equality.

We champion these goals because we recognise a fundamental truth: that women’s progress is not just a women’s issue; it is a shared responsibility, one that benefits everyone. In Hong Kong and around the world.

That’s why the theme of this year’s Women Power Forum is “Women Across Nations: Unite to Prosper.” Working together, we can continue to drive progress, locally, regionally and globally.

I wish you all a rewarding Forum and, for those of you here from outside Hong Kong, an enjoyable stay in the world’s rising East-meets-West centre for international cultural exchange. Thank you. 

Source: Hong Kong Government special administrative region – 4

     Following is a question by the Hon Cheung Pui-kong and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (April 1):
 
Question:
 
     The Hong Kong Special Administrative Region Government launched the Greater Bay Area Youth Employment Scheme (the Scheme) on a pilot basis in 2021 and regularised the Scheme with enhancement measures in 2023. As the Scheme has entered the stage of regular implementation and involved substantial public expenditure, it is learnt that the community has expressed concern about the use of public funds under the Scheme and the sustainability of its effectiveness. In this connection, will the Government inform this Council:
 
(1) of the specific verification and monitoring mechanism put in place by the authorities to ensure that young people receiving allowance actually take up full-time employment in eligible posts in Mainland cities of the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) in accordance with the requirements of the Scheme, so as to prevent situations contrary to its eligibility criteria, such as “remote working”, “normally stationing in Hong Kong” or “bogus employment”;
 
(2) whether the authorities have formulated a regular review and verification mechanism targeting at the information on applications submitted by organisations participating in the Scheme (participating organisations) to ensure its accuracy, thereby forestalling situations such as falsifying the number of young people hired, fabricating job duties or defrauding public funds; if so, of the details; if not, the reasons for that;
 
(3) of the number of on-site inspections or document vetting conducted by the authorities since the launch of the Scheme on participating organisations and the young people hired as the specific targets; the number of non-compliant cases identified, the amount of allowance recovered, and the penalties imposed on non-compliant enterprises and individuals, with a breakdown by type of non-‍compliant act;
 
(4) whether the authorities have set specific and quantifiable key performance indicators (KPIs) to assess the effectiveness of the Scheme; if so, of the specific details of such KPIs and the extent to which they have been fulfilled in the past two years; if not, the reasons for that, and how the authorities account to the public as to whether the public funds involved in the Scheme have been put to proper use;
 
(5) as it is learnt that at present, the number of job vacancies under the Scheme is greater than the rate of job applications, whether the authorities will consider relaxing the upper age limit for participation in the Scheme from 29 to 35, so as to broaden the coverage of the Scheme;
 
(6) apart from commissioning a consultant to conduct a “longitudinal study” on the Scheme, whether the authorities have put in place a systematic mechanism to track the long-term employment trends of young people who have completed the 18-month on-‍the-job training; if so, of the data collected under the mechanism and the specific findings of the data analyses; if not, whether they will establish a relevant mechanism to collect information for the purpose of enhancing the Scheme and following up the employment development of these young people; and
 
(7) as it is learnt that problems have arisen since the launch of the Scheme, such as applying for allowance despite non-compliance, a relatively high rate of premature departure among the young people concerned, or the failure of certain posts to effectively promote talent exchange, of the specific enhancement measures implemented or planned for implementation by the authorities to address the above problems, thereby plugging monitoring loopholes and enhancing the effective use of public funds while ensuring that the Scheme can genuinely achieve its policy objectives of promoting the integration of Hong Kong young people into GBA for development and fostering talent exchange within the region?

Reply:
 
President,
 
     The Government launched the pilot Greater Bay Area Youth Employment Scheme (the pilot scheme) in 2021 and has regularised the scheme (regularised scheme) since 2023, encouraging enterprises to employ Hong Kong young people to work in the Mainland cities of the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) in accordance with Hong Kong laws. Starting from January 2025, the Labour Department (LD) has relaxed the eligibility requirements for joining the scheme to include young people aged 29 or below with sub-degree or higher qualifications, and increased the allowance limit for employers to HK$12,000 per month per young person for up to 18 months. In tandem, the scheme has implemented the Arrangements for Mainland Youth to Work in Hong Kong under the GBA Youth Employment Scheme to allow enterprises taking on Hong Kong young people to work in the GBA Mainland cities to apply for the same number of Mainland young people to work in Hong Kong in accordance with relevant requirements, so as to foster talent exchange in the GBA.
 
     My reply to the question raised by the Member is as follows:

(1) to (3) The LD has established a monitoring mechanism for the scheme to ensure that enterprises comply with Hong Kong laws and the scheme’s requirements. The Guidelines for Participating Enterprises of the scheme stipulates that enterprises must submit job vacancies to the LD for vetting. The enterprises must arrange the employed young people to work at the premises of the enterprises in the GBA Mainland cities for at least 30 hours per week. During the allowance period, the enterprises in general may only deploy the employed young people to work in Hong Kong or other provinces/ cities in the Mainland outside the GBA for a maximum of six months.  Participating enterprises must strictly adhere to the terms and conditions set out in the Guidelines for Participating Enterprises, otherwise the allowance will not be disbursed. 

     The LD vets all job vacancies under the scheme, and examines the work and wages records, etc. of the employed young people in the GBA pursuant to a risk-based principle. If an enterprise violates Hong Kong laws or the requirements of the scheme, the LD will stop processing or reject the relevant allowance applications and recover the allowance already disbursed. If non-compliance with the law is involved, the LD will refer the cases to other law enforcement departments for follow‑up.

     From 2021 to 2025, the pilot scheme and the regularised scheme recorded a total of 2 833 employment cases. During the same period, the LD conducted random spot checks on about 1 400 employment cases, and investigated 90 cases suspected of non-compliance and/ or complaints. Among the 77 cases for which investigation had been completed, 16 cases, involving a total of 14 employers, were found to have breached the scheme’s requirements. After the LD’s follow‑up, seven employers have rectified and complied with the relevant rules, five employers’ applications for allowance have been rejected, and the remaining two employers have returned the approved allowance. Besides, the LD has referred seven suspected cases involving the provision of false information, documents forgery or fraud to the Hong Kong Police Force for follow-up.

(4) to (7) The LD proactively promotes and publicises the scheme, including liaising with trade associations, enterprises associations, the LD’s industry-based tripartite committees and human resources associations to introduce the scheme and appeal to enterprises to offer job vacancies. The LD also facilitates job matching through organising large-scale job fairs and briefing sessions annually, and participating in recruitment activities and talks organised by trade associations, enterprises associations and tertiary institutions. 

     The LD has also commissioned service providers to provide support for the employed young people to undergo exchange and study in the Mainland, and to strengthen their understanding of the development of the country and the GBA. Under the pilot scheme and the regularised scheme in 2023, a total of 1 809 young people were employed, among which 946 (52.3 per cent) completed the 18-month on-the-job training. In 2024 and 2025, a total of 1 024 young people were employed under the regularised scheme, and some of them are still undergoing on-the-job training. The LD will compile the data on their completion of on-the-job training in due course.

     Participating enterprises and employed young people generally acknowledge that the scheme has facilitated the employed young people in establishing interpersonal networks in the Mainland, and broadening their understanding of the living, work culture and business environment in the Mainland. To further understand the employment situation of the employed young people (including tracking their employment situation after the completion of the allowance period), the LD has commissioned a consultant to conduct a 3-year “longitudinal study” of the scheme since March 2024 to carry out follow-up surveys on participating enterprises and young people, gathering their opinions on the scheme. Upon completion of the “longitudinal study”, the LD will review the results in detail, and consider whether further data collection and analysis are required for evaluating the effectiveness of the scheme, including whether the current age limit for joining the scheme is appropriate.  

     Since the implementation of the enhancement measures, the numbers of job vacancies and employed young people recorded in 2025 have increased by 24.5 per cent and 45.6 per cent respectively when compared with those in 2024. As job vacancies offered by enterprises and the employment situation of young people are affected by factors such as the economy and labour market, it is not appropriate to formulate “key performance indicators” for the scheme.

     The LD will continue to closely liaise with the stakeholders and listen to the views of the society on the scheme, and explore appropriate enhancement measures in a timely manner to foster the career development of Hong Kong young people in the GBA and facilitate the talent exchange in the area.