Welcome Message
It is my honour to continue serving as the Chairperson of the Minimum Wage Commission under the Minimum Wage Ordinance (Cap.608 of the Laws of Hong Kong)This link will open in a new window and witness the implementation of the new annual review mechanism of the Statutory Minimum Wage (SMW). With the Commission’s completion of the first review under the new mechanism, the SMW regime has achieved a milestone since its implementation.
The Commission is chaired by a non-official, comprising three members each from the labour sector, the business sector, the academia and the Government, each with diverse professional expertise and experience. The Commission is tasked with the main function of, when required by the Chief Executive (CE) to do so, reporting to CE in Council its recommendation on the SMW rate.
Under the new mechanism, the Commission reviews the SMW rate annually by adopting a unanimously agreed formula (Note). Comprising both the headline Consumer Price Index (A) inflation and an economic growth factor, the formula seeks to maintain the purchasing power of low-income employees while enabling an adjustment suitably higher than inflation when the Hong Kong economy performs well. The indicators adopted in the formula are objective and easily comprehensible, enhancing the transparency and predictability of SMW adjustment, and reducing controversy. As such, the new mechanism preserves and enhances the balance between the objectives of forestalling excessively low wages and minimising the loss of low-paid jobs, while giving due regard to sustaining Hong Kong’s economic growth and competitiveness.
The Commission made its first recommendation on the SMW rate of $43.1 per hour under the new mechanism on 2 February 2026. With the acceptance of CE in Council on 10 February 2026 and approval of the Legislative Council on 25 March 2026, the new SMW rate will take effect on 1 May 2026.
My sincere gratitude must go to all esteemed Members for their impeccable professionalism and steadfast devotion. I am confident that they will uphold their unwavering commitment as we continue to discharge our responsibilities in full accordance with the statutory power and the mandate bestowed on the Commission under the Minimum Wage Ordinance.
You are most welcome to visit the Commission’s webpage to learn more about our work.
Priscilla WONG, SBS, JP
Chairperson
Minimum Wage Commission
Note: The adoption of the formula for deriving the SMW rate was one of the recommendations in the Commission’s study on enhancing the review mechanism of SMW in 2023, and approved by CE in Council in 2024.
