Hong Kong’s seasonally adjusted unemployment rate soared to 6.4% in the July - September 2020 period from 2.9% during the same period last year. When compared to the June – August 2020 period, the unemployment rate jumped by 0.3%, according to the latest labour force statistics by the Census and Statistics Department.

The 6.4% jobless rate was the highest in close to 16 years.

The underemployment rate remained unchanged when comparing the June to August 2020 period to the July to September 2020 period.

The number of unemployed persons (not seasonally adjusted) increased by approximately 11,500 from 248,300 in June to August 2020 to 259,800 in July to September 2020. This was also higher than the 120,300 recorded in July to September 2019. The number of underemployed persons in July - September 2020 was 149,100, about the same as that in June - August 2020 (149 200).

Comparing July to September 2020 with June to August 2020, the unemployment rate (not seasonally adjusted) increased across almost all the major economic sectors, with more distinct increases observed in the retail, accommodation and food services sector; and arts, entertainment and recreation sector.

Total employment decreased by around 15,600 from 3.64 million in June - August 2020 to 3.62 million in July - September 2020. Over the same period, the labour force also decreased by around 4, 200. For comparison, total employment stood at 3.85 million in July to September 2019.

The year-on-year decline in total employment widened to 5.8%, while that in labour force remained at 2.1%.

Secretary for Labour and Welfare, Law Chi-kwong said, "The labour market deteriorated for the third quarter of 2020 as a whole amid the third wave of the local epidemic, particularly in July and August, but the pressure faced by the labour market showed signs of stabilisation towards the end of the quarter as the local epidemic situation abated in September.”

Looking ahead, Law said, "As the overall economic situation remains weak and the global pandemic is still evolving, the labour market will remain under pressure in the near term. The government has rolled out relief measures of unprecedented scale, including a series of measures on job retention and job creation, which help keep workers in employment. The government will continue to monitor the situation closely."