Hong Kong’s civic leaders on Thursday urged lawmakers to speed up approval of the government’s proposed HK$30 billion (US$3.85 billion) package to help the city ride out financial hardships caused by the novel coronavirus epidemic.
The government on Wednesday increased the subsidies for medical workers, business owners and underprivileged citizens to HK$30 billion and submitted the proposal to the Legislative Council’s Finance Committee. The package is expected to be scrutinized by legislators on Friday.
The catering industry is almost dead. We need cash badly so as not to lay off workers
Yeung Wai-sing, chairman of the Association for Hong Kong Catering Services Management
Lawmaker Alice Mak Mei-kuen — a member of the city’s largest labor group, the Hong Kong Federation of Trade Unions — said she supports early approval of the funding, which could help ease financial problems facing the catering sector.
Mak said she had received more than 6,000 inquiries from restaurant owners concerning possible suspension of business operations or bankruptcy. Some 1,000 workers in the industry said they’ve been forced to take unpaid leaves and appealed for help.
The proposed relief package includes HK$16.9 billion earmarked as cash handouts to retailers, restaurant and transport operators, exhibition organizers, technology startups, students and travel agents.
Once it’s approved, about 28,000 food-license holders are expected to benefit. Holders of a general restaurant license will get a one-time subsidy of HK$200,000, while light refreshment license holders will receive HK$80,000 each.
Besides financial aid for restaurant operators, Mak urged the authorities to help employees, such as offering cash bonuses, as further lay-offs are expected over the next few months.
Yeung Wai-sing, chairman of the Association for Hong Kong Catering Services Management, hopes the special funding could be approved soon as many restaurant owners may be unable to pay their employees due to a lack of cash.
“The catering industry is almost dead. We need cash badly so as not to lay off workers,” he said.
Legislator Leung Che-cheung said the government should also offer rent cuts for its properties, and negotiate with property owners on reducing rents for small business operators.
District councilor Yip Man-pan suggested that the government allow hard-hit catering enterprises to delay tax payments.
On Wednesday, more than 50 residents rallied outside the Legislative Council Complex to support the government’s relief measures. They urged lawmakers to set aside their political differences and protect people’s livelihood in this difficult period.
Chief Executive Carrie Lam Cheng Yuet-ngor said she hoped the legislature can approve the funding as soon as possible to relieve the suffering of affected businesses and their employees.
