Why companies should invest in anti-poverty programmes

The Commission on Poverty's definition of a poverty line for Hong Kong is expected to largely follow the Organisation for Economic Co-operation and Development standard. That is, those who live on half or below half of the median household income here will be defined as poor.

While there is still debate about whether government assistance should be considered when calculating incomes, it is time for us to move on from just talking to taking action.

On the one hand, Hong Kong has the highest density of US dollar billionaire households in the world, and over 230,000 millionaire households. On the other hand, one in six residents, or 1.17 million people, live in poverty. The plight of the poor seems to be the antithesis of the robust economic foundations and the government's years of investment in social welfare policies.

Poverty is not only a social justice issue, but, more importantly, an issue of untapped economic potential, especially for the younger generation. Addressing this multi-dimensional issue requires a strong partnership between the government, the non-profit sector and the business sector. However, the voice of business has been relatively quiet.

Moral obligation aside, companies should address poverty for business reasons. Poverty hits the bottom line, and helping to reduce it can create opportunities for business. Businesses that create decent jobs, access to markets or goods and services that benefit low-income groups help to build healthier, wealthier and more highly skilled communities, which will in turn provide the customers, suppliers and employees that companies need for sustainable growth.

There are a number of ways to unleash the potential of the business sector in addressing poverty issues.