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Hong Kong’s minimum wage of HKD $28 (USD $3.60) per hour was implemented on May 1, 2011. The minimum wage was in accordance with Hong Kong’s Minimum Wage Ordinance that was passed by the Legislative Council in July 2010.

The statutory minimum wage is applicable to Hong Kong employees regardless of whether they are paid on a daily, monthly, part-time, contractual or permanent basis.  According to the Minimum Wage Ordinance, the total wage for an employee must not be less than HKD $28 per hour, when the wage amount is averaged over the total number of hours worked.

More than 300,000 low-income employees in Hong Kong (or 10% of the country’s workforce) will have their wages adjusted to the minimum wage. The minimum wage also applies to disabled employees, but is not applicable to live-in domestic workers and internship students.  

Hong Kong’s new minimum wage of HKD $28 is less than the HKD $33 (USD $4.24) hourly rate proposed by Hong Kong’s labor unions. Nevertheless, it is higher than in neighboring Taiwan (USD $3.40 per hour), but still lower than in Korea (USD $3.95 per hour). Previously, Hong Kong did not have a minimum wage, and some employees in the retail industry were earning as low as HKD $20 (USD $2.57) per hour. The implementation of the minimum wage in Hong Kong will increase the labor cost in Hong Kong’s retail, food and beverage and services sectors. These sectors mostly comprise small and medium enterprises.  

Nevertheless, the minimum wage will have no impact on skilled workers and executives in Hong Kong, who are already earning higher salaries.