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All departing flights were cancelled at Hong Kong airport from 4pm on Monday afternoon. Photo: Sam Tsang

Hong Kong protests take toll on city’s tourism workers as earnings slump 74 per cent on average over past two months

  • Number of tours also fell 74 per cent on average, affecting an estimated 99 per cent of workers in the industry, according to survey
  • Trade unions say impact is even more severe than deadly 2003 Sars outbreak
Victor Ting

The summer boom for Hong Kong’s tourism industry has turned into a chilly winter of unemployment and economic hardship described as worse than the 2003 Sars outbreak by trade unions, as two months of worsening civil unrest take their toll.

Average earnings for tourism workers plunged by 74 per cent in June and July, while the number of tours in the city also fell 74 per cent on average during the same period year on year, affecting an estimated 99 per cent of workers in the industry, according to a survey released on Monday.

“The impact is even more severe than the 2003 Sars outbreak, because at least the whole of society was united in combating the public health crisis back then. With the recent protests, society is riven with divisions and we really don’t see an end in sight,” said Paul Lau Chun-yuen, president of the Hong Kong Tour Escorts General Union.

Street protests and violent clashes between police and anti-government protesters have entered their tenth week, centring on opposition to the now-shelved extradition bill, which would have allowed transfers of criminal suspects to mainland China.

On Monday, black-clad protesters staged another mass sit-in at Hong Kong International Airport for the fourth day in a row, which disrupted the travel plans of tourists and forced the Airport Authority to ground all flights out of the city from 4pm onwards.

Beijing warns of ‘signs of terrorism’ in violent unrest in Hong Kong

Chief Executive Carrie Lam Cheng Yuet-ngor last week warned of a looming economic slump if the crisis persisted, saying it could be “worse than those caused by Sars or past economic storms”.

The outbreak of severe acute respiratory syndrome killed 299 people in Hong Kong and resulted in an economic slump, with visitor arrivals from January to May 2003 dropping 17.5 per cent over the same period the previous year.

Tourism is one of Hong Kong’s pillar industries. Photo: Nora Tam

Tourism, one of Hong Kong’s four pillar industries employing more than 270,000 people, contributed 4.5 per cent of GDP to the city’s economy in 2017. The other three industries are financial services, trading and logistics, and professional and producer services.

Last week, commerce chief Edward Yau Tang-wah said the drop in tourist arrivals had accelerated from a 1.5 per cent year-on-year decrease in mid-July to 26 per cent by the end of the month. In early August, the drop was 31 per cent, he said.

Massive disruption to flights as protesters swamp Hong Kong airport

The survey of 1,012 industry workers from August 1 to 10 was conducted by four labour groups, including the Federation of Hong Kong and Kowloon Labour Unions and the Hong Kong Tour Guides General Union.

Carrie Lam warned of a looming economic slump if the crisis persists. Photo: Nora Tam

It found 103 people, or 10 per cent of respondents, had not worked on any city tours in June and July, while 118 people, or 12 per cent, reported no earnings in the past two months.

The poll showed 82 per cent of respondents had to cut spending on food and beverages and 79 per cent had experienced greater mental stress as a result of reduced income.

Lam Chun-sing, chairman of the Federation of Hong Kong and Kowloon Labour Unions, said the results were very worrying.

Hong Kong has been rocked by two months of protests. Photo: Felix Wong

“There are immediate cash flow problems, with some of our members having to borrow money to feed their family,” he said.

“Many are the main breadwinners of the family and have to support elderly parents and young children. Their money problems may even worsen in September when the school term begins with more expenditure for parents.”

The trade union boss said the government should give HK$5,000 (US$641) in short-term relief to each tour guide and escort without work for the past two months, set up an interest-free loan scheme to help support workers in need, and waive the licence renewal fee for tour guides and escorts in the city.

This article appeared in the South China Morning Post print edition as: Tourism workers’ earnings plunge as protests bite
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