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A man walks by an advertisement in Central, Hong Kong, during the coronavirus pandemic. Photo: Handout

Coronavirus: Hong Kong legislature approves HK$137.5 billion aid package

  • Earlier attempt to adjourn debate fails as tensions continue to simmer over Beijing’s recent criticism of pan-democratic camp
  • DAB’s Ann Chiang says her side is not wholly satisfied with measures either, but they should be endorsed first to help needy

Hong Kong’s legislature approved a HK$137.5 billion (US$18 billion) package of relief measures aimed at helping the city during the coronavirus pandemic on Saturday, but lawmakers on both sides of the political divide said more needed to be done for workers and the unemployed.

The package passed with 41 pro-establishment lawmakers in favour and 22 opposition politicians against, while independent lawmakers Pierre Chan and Cheng Chung-tai abstained.

The opposition camp had earlier tried to adjourn debate over the funding, arguing it failed to help some parts of society, including the elderly, but were voted down.

Council Front legislator Eddie Chu Hoi-dick, who moved the adjournment motion, also said Beijing’s latest criticism on the pro-democracy camp made it impossible for discussion to continue.

On Friday, the central government’s liaison office in Hong Kong issued a strongly worded statement to rebut accusations it was interfering in the city’s affairs. It stressed that it had the responsibility and the right to “supervise” how the “one country, two systems” policy was being implemented.
The central government’s liaison office building in Hong Kong. Photo: AP Photo

On opposition lawmakers’ threat on Friday that they would vote against the government’s proposed relief package, the liaison office’s spokesman also accused them of causing collateral damage with an “if we burn, you burn with us” mentality. It marked the second time in the week the office had commented on Beijing’s power over the city.

In the meeting earlier on Saturday, Chu said that under the Legislative Council Ordinance, it was a criminal offence for anyone to compel any lawmaker to declare himself in favour of or against any Legco matter.

Hong Kong’s jobless burn savings waiting for government help

“I also believe that the government’s wage subsidy, capped at HK$9,000 [US$1,160] a month, should include those aged above 65 and be given to employees directly,” he added.

The committee spent more than 12 hours on Friday debating the administration’s HK$137.5 billion injection, the largest aid package rolled out since Covid-19 hit.

The measures include HK$80 billion worth of wage subsidies to cover up to 50 per cent of workers’ salaries for six months, capped at HK$9,000 a month, along with one-off handouts for the hardest-hit sectors.

But the subsidy will be distributed through employers, and recipients must have a Mandatory Provident Fund (MPF) pension scheme account to qualify. Those aged 65 or above were no longer required to have an MPF account and thus would not benefit, critics said.

Council Front legislator Eddie Chu. Photo: Sam Tsang

Pro-establishment lawmakers criticised their political rivals as having turned from an opposition bloc into a “collateral damage camp”.

“We are not completely satisfied with the package either. But we should endorse it first to help those who are struggling, and we can work together to press the government for more,” said Ann Chiang Lai-wan, of the Democratic Alliance for the Betterment and Progress of Hong Kong.

Permanent Secretary for Financial Services and the Treasury Alice Lau Yim had warned that if the debate on the relief package was adjourned, the government would not be able to finish amending it according to lawmakers’ demands, within a short time.

Hong Kong workers on unpaid leave unsure they qualify for pandemic subsidies

Meanwhile, pro-government legislators also continued to press officials to roll out unemployment-related subsidies. The government proposed relaxing the asset cap for Comprehensive Social Security Assistance (CSSA), instead of rolling out unemployment subsidies. For example, the asset cap for a one-person household will go up from HK$33,000 to HK$66,000.

But New People’s Party lawmaker Eunice Yung Hoi-yan said CSSA was for the poorest families in the city. “Families with unemployed members have not reached that level yet, but they do need, for example, six months of assistance, with several thousand dollars a month,” she said.

In response to lawmakers’ criticisms, Chief Secretary Matthew Cheung Kin-chung suggested that legislators and residents should look at the package from a macro-level, rather than focusing on its imperfections.

“If we have time, we can do this like embroidery and make this perfect. But we are racing against time in offering relief,” he said.

This article appeared in the South China Morning Post print edition as: Lawmakers approve HK$137.5b relief package
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