Shopping vouchers under consideration, says Tsang
Chief Executive Donald Tsang Yam-kuen said yesterday the government had been listening to appeals for shopping vouchers to be issued to boost domestic consumption. Mr Tsang, responding at the Apec summit to a proposal by the Liberal Party on Friday, said the administration had to consider the 'practical effects' of vouchers on boosting the economy. He said the proposal was at the preliminary stage and Financial Secretary John Tsang Chun-wah would consider it. At the City Forum yesterday, lawmaker for the wholesale and retail sector Vincent Fang Kang said vouchers could not solve all the problems, but he argued that the measure could increase spending in the short term. It would help small and medium-sized businesses to overcome their difficulties and avoid a wave of layoffs in the winter. But Paul Tse Wai-chun, lawmaker for the tourism sector, doubted the effectiveness of vouchers.
Restaurant bookings for festive season fall by half
Federation of Restaurants and Related Trades president Simon Wong Ka-wo said restaurant bookings for the Christmas and New Year period had dropped by half compared to last year. He said that overall in October the catering business volume had fallen by 20 per cent year on year, with many companies scaling down their annual banquets. Many restaurants were in difficulty, because of a tightening of bank loans and declining patronage, he said. He warned that many would close after the Lunar New Year, but declined to estimate the amount.
Retain staff, union urges business chamber members
The Federation of Trade Unions urged members of the city's business chambers not to lay off staff despite enduring difficulties. It said a few corporations had guaranteed there would be no layoffs or salary cuts in the coming year despite tightening cash flows and expected business difficulties amid the financial turmoil. The federation praised corporations that had demonstrated corporate social responsibility, and called on consumers to patronise small and medium-sized firms making similar pledges. It also called on financial commentators to take corporations' treatment of their employees into account when analysing listed companies.
