Smaller average pay rise of 3.8 per cent likely to hit Hong Kong workers next year, poll shows

Employers in the city are expected to offer staff pay rises averaging 3.8 per cent next year, down from the 4.3 per cent they gave this year, a survey has found.

The biggest winners are expected to be those in the construction industry, with the poll indicating a rise of 5.1 per cent, followed by 4.8 per cent for engineers and 4.4 per cent for manufacturing workers.

The Institute of Human Resources Management conducted the survey in September, involving about 90 companies that employed a total of 131,000 staff.

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Lawrence Hung, the institute's vice-president, said: "In view of economic uncertainties looming over Hong Kong, companies have projected a lower [salary increase] in 2016 at 3.8 per cent, which indicates a conservative market sentiment and a wait-and-see approach."

He cited the mainland's economic slowdown, the volatility of the Hong Kong stock market, and a drop in mainland tourists to the city as reasons for the caution.

In September, 3.5 million mainland tourists visited the city, down 4.7 per cent from September last year, Tourism Board figures showed.

Census and Statistics Department figures showed retail sales for September were HK$35.2 billion, down 6.4 per cent from the same month last year.