The impacts of minimum wages on property management in Hong Kong

Abstract

In May 2011, it is a milestone for implementation of Statutory Minimum Ordinance in Hong Kong. In this dissertation, it can see that the changes in the field of property management after implementation of Statutory Minimum Wage Ordinance. The aim of implementation of Statutory Minimum Wage Ordinance to safeguard the interests of the vulnerable and grassroots workers. However, it found that it is very difficult to recruit frontline security staff than before. Hence, questionnaire and interview were conducted for analysis the existing working and living condition of frontline security staff and managerial grade staff. It can get more details what are the problems after implementation of Statutory Minimum Wage Ordinance. Moreover, some recommendations and suggestions are given for review of Statutory Minimum Wage Ordinance. In this project, it was found that frontline security staff get their job easier than before and the majority of their hourly wage rate at between $30.1 and $33. The frontline security staff also consider to get their job not only hourly wage but also the other fringe benefits what the property management company can provide. On the other hand, the managerial grade staff felt that their workload were increased and they also disagree the benefits could outweigh disadvantages after implementation of Statutory Minimum Wage Ordinance. Furthermore, management fee were increased inevitably which affected by the implementation of Statutory Minimum Wage Ordinance. It was known that the Statutory Minimum Wage rate was applied to all industries which set up in one rate. It is time for review the policy that set up a different minimum wage rate for different kind of industries. Recently, a referendum was conducted in Switzerland by resolution of implementing the Statutory Minimum Wage Ordinance on 18 May 2014, and it was rejected by majority. They concern that implementing the Statutory Minimum Wage Ordinance not only to weaken the productivity and competitiveness for each industry but also implementation of Statutory Minimum Wage Ordinance cannot be improved the quality of living condition. To improve the quality of living condition for grassroots workers, working hard is the best solution. We may put this case of Switzerland in to Hong Kong for reference and we may also make our own choice by a referendum for resolution of implementation of Statutory Minimum Wage Ordinance.