18.01.2024

​Hong Kong’s Wealth Gap Reaches Record High of 57 times: Over 1.36 Million People Struggling In Poverty

​Oxfam Hong Kong released its ‘Hong Kong Poverty Report 2023: A Polarised Recovery in the Post-Pandemic Era,’ on the state of poverty in Hong Kong today, revealing that the wealth gap has surged from 34.3 times in 2019 to a staggering 57.7 times in the first quarter of this year, reflecting the severity of poverty in the city. The organisation recommends annual adjustments to the minimum wage and the promotion of a living wage to ensure income security and attract potential labour force. By comparing the median monthly incomes of the richest and poorest households before and after the pandemic, the report highlights the growing wealth disparity. In the first quarter of 2023, the poorest decile earned 57.7 times less than the richest decile, a significant increase from the 34.3 times gap observed in 2019. This stark division in economic recovery indicates that while high-income families have benefited, low-income families not only failed to reap the benefits but also faced additional challenges. In the first quarter of 2023, the unemployment rate stood at 3.1 per cent (114,800 people), with over 40 percent of them living in poverty. Among those unemployed and living in poverty, 67 percent reported being laid off or dismissed by their employers, underscoring the precarious nature of employment for grassroots workers in post-pandemic Hong Kong. Furthermore, over 57 percent of unemployed individuals living in poverty had been jobless for two months or more, and 31 percent had been unemployed for six months or longer. Credit: Reuters