19 September 2018
Pay raises are expected to be marginally lower next year. Photo: Bloomberg
Pay raises are expected to be marginally lower next year. Photo: Bloomberg

Salaries could rise 4.1-4.3% next year: Survey

Employees in Hong Kong can look forward to an average salary increase of 4.1-4.3 percent next year, Apple Daily reported Friday.

It cited a survey by the Hong Kong People Management Association (HKPMA) and Hong Kong Baptist University (HKBU).

They interviewed 88 companies, with more than 80,000 employees combined, between July and September this year.

Of those, 72 firms predicted that next year’s salary increase will fall between 4.1 percent and 4.3 percent, which is lower than the average 4.3-4.7 percent increment this year.

Employees in engineering can look forward to the highest average increase of 5.3 percent, while those in retail may receive the smallest raise, 3.5-3.9 percent.

Fresh graduates this year who have embarked on a career in the construction industry enjoy an average starting salary north of HK$16,000 a month.

Those in the retail sector had to settle for about half: HK$8,000 a month.

The survey found that employees of the surveyed firms work an average of 42.4 hours a week.

Frontline staff work an average of 47.2 hours a week, while management put in an average of 40.6 hours.

Of the 54 mainland firms surveyed, 44 expected salaries to increase 5.8-6.6 percent next year, while 16 companies in Macau were predicting an average increase of 4.7-4.9 percent, lower than the increment this year.

Randy Chiu, director of the Centre for Human Resources Strategy and Development at HKBU, the average salary increase in each of the coming few years could slump to 4 percent or lower, given an uncertain economic outlook.

While Chiu said the smaller raises expected do not mean employees have to be prepared for a “harsh winter” ahead, he called for the government to facilitate the development of multiple industries to invigorate the economy.

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