HK raises minimum wage rate

The minimum wage rate has been raised by 5.25% to $42.1 per hour.

The Chief Executive (CE) in Council has adopted the Minimum Wage Commission’s recommendation on raising the Statutory Minimum Wage (SMW) rate by 5.25% to $42.1 per hour from $40.

An amendment notice will be published in the Government Gazette on 21 February, and the government will table it in the Legislative Council (LegCo) next Wednesday. Subject to LegCo’s approval, the revised SMW rate will come into force on 1 May.

In conducting the review of the SMW rate, the commission adopted the formula approved by the CE in Council on 30 April 2024 to derive the recommended SMW rate.

Chris Sun, secretary for Labour & Welfare, said the commission reviewed the SMW rate through elaborate discussions to draw up the implementation arrangements for adopting the formula, examining the latest data on the indicators in the formula, and assessing the relevant impacts.

He added that the commission’s recommendation aligns with SMW’s policy goals to maintain an appropriate balance between forestalling excessively low wages and minimising the loss of low-paid jobs whilst considering the need to sustain Hong Kong's economic growth and competitiveness.

As announced in the 2024 Policy Address, the government will implement a new annual review mechanism for the SMW.

The first SMW rate derived under the new mechanism is expected to take effect on 1 May 2026.