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Union compromise on minimum wage

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Federation softens its approach to voluntary code

The tug of war over a minimum wage law appeared to take a new twist yesterday as a government-friendly labour union said it would not oppose a non-binding charter.

With the policy speech just two days away, Federation of Trade Unions legislator Chan Yuen-han said she was prepared to reconsider her position as long as a clear timetable for eventual legislation could be provided.

The largest trade union has been pushing for a minimum wage law, saying the proposal put forward by business groups for a voluntary charter would not work.

'If there is a clear legislative timetable, I would reconsider. The tug of war has been going on for so long. It would be a breakthrough,' she said.

Union president Cheng Yiu-tong, who is a member of Mr Tsang's cabinet, said legislation could be implemented if the non-binding charter proved ineffective.

The executive councillor's remarks fuelled speculation that Mr Tsang may opt for the charter approach in his policy speech, without ruling out a legislative timetable.

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