The Labour Department resolved 65.1% of the 34,116 labour disputes and claims it handled last year through conciliation.

Permanent Secretary for Economic Development & Labour Matthew Cheung said it was its best performance since the Asian financial crisis in 1997, adding that disputes and claims fell 3.2% last year from 35,254 in 2002.

Mr Cheung said the figures showed the spirit of mutual support and understanding between employers and employees. These harmonious relations were essential to Hong Kong's economic recovery, he added.

The labour market has continuously improved, with the unemployment rate down from its peak at 8.7% to 7.5%.

The number of applications to the Protection of Wages on Insolvency Fund also dropped 2.9% to 22,350 from 23,023 in 2002, another figure reflecting Hong Kong's economic improvement.

Mr Cheung said protecting the occupational safety and health of employees is one of the main tasks of the Labour Department.

However, accidents during installation, checking and maintenance of lifts and escalators happened from time to time and the injuries could be very serious. There were 12 such industrial accidents between 1992 and 2003.

"We are very concerned about the safety performance of the lift and escalator trade as well as the construction industry as a whole," he said.

To increase safety awareness in the trade, a Q&A competition has been held since last year by the department, trade bodies, the Electrical & Mechanical Services Department, the Occupational Safety & Health Council and the Vocational Training Council.

Stressing that the Labour Department attached great importance to the safety performance of all trades and industries, Mr Cheung said that the department has been enhancing the safety standards of the lift and escalator industry through legislation, law enforcement, training, education and promotion.