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news.gov.hk  
 From Hong Kong's Information Services Department
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April 30, 2006
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Labour
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Public works' labour issues monitored

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New measures will be introduced from May 1 to monitor and control the payment of workers' wages and multi-layer subcontracting for all new public works contracts, the Environment, Transport & Works Bureau says.

 

The bureau established a working group established  with construction industry representatives in January last year. The group formulated the measures.

 

They cover three main areas, including maintaining workers' records, improving protection for workers, and enhancing subcontractor management.

 

Workers' records

Contractors are required to establish a smart-card system to maintain workers' attendance records. All on-site workers must have a written employment contract with their employers and all wage payments and Mandatory Provident Fund contributions should be arranged through bank auto-pay.

 

Measures to improve protection for workers include:

* appointment of a Labour Relations Officer stationed on-site on a full-time basis to monitor workers' attendance and payment records and assist the Labour Department in handling wage dispute complaints;

* the main contractor will be made responsible for all non-payment of wages under the contract, including those of the subcontractors of all tiers; and

* workers must report the incident of non-payment to the Labour Relations Officer within seven days.

 

Subcontractor management

The bureau will prohibit certain specified element of the works from being subcontracted, such as foundation and bridge structures.

 

It will also restrict subcontracting of certain trades to two layers, such as cement works, electrical works, carpentry and bar bending.

 

A contractor's core management team must be its direct employees and these employees are prohibited from taking part in subcontracting any part of the works under the contract.

 

The bureau said the new measures will reduce the risk of wages in arrears. It will further refine and adjust these measures as it proceeds.