Oxfam Urges More Government Support for Active Ageing to Create Opportunities for Elders

 Oxfam Hong Kong released its ‘Hong Kong Poverty Report 2024: Pathways Out of Adversity – Embracing Change Through Transformation’ today, which analysed data from the Census and Statistics Department. It found that the overall poverty rate reached 20.2 percent in the first quarter of 2024, with over 1.39 million people living in poverty.

Comparing the median monthly incomes of the richest and poorest decile of households, it found that the poorest decile earned 81.9 times less than the richest decile in the first quarter of 2024 – up from 34.3 times in 2019. In the first quarter of 2024, more than 580,000 individuals aged 65 or above were living in poverty – a staggering 42.9 percent increase since 2019. The number of singleton and doubleton elderly poor households also reached 260,000. These figures highlight changes in Hong Kong's poor population structure following the Pandemic, particularly the continued rise in the number of poor elders and the widening wealth disparity problem.

The Wealth Gap in Hong Kong Surges to 81.9 Times

Oxfam Hong Kong analysed data from the government's statistics department between 2019 and 2023, as well as the first quarter of 2024. It looked at the median monthly household income by decile (The first decile being the poorest and the tenth decile being the wealthiest). In the first quarter of this year, the median monthly income for the poorest 10 percent of households was only HK$1,600, a drastic drop of more than half (54.3 percent) compared to before the Pandemic. In contrast, the wealthiest 10 percent of households had a median monthly income of HK$131,100, rising nearly 10 percent from 2019, resulting in a disparity of 81.9 times between the two groups.

The Number of Poor Households in Hong Kong Climbs To 619,000

In the first quarter of this year, the number of poor households in Hong Kong increased to 619,000, accounting for 22.7 percent of all households. Among them, the number of singleton elderly poor households rose sharply by 47.2 percent to 131,700 households, while the number of doubleton elderly poor households also increased by 55.3 percent to 132,800 households.

In the second year of post-COVID, more than 580,000 individuals aged 65 or above were living in poverty, including 558,900 elderly individuals who were economically inactive, representing a sharp 42.9 percent increase since 2019.

Hong Kong's labour force participation rate for elders is only 13.9 percent, lower than Mainland China's 25 percent and Norway's 22 percent. However, many elders in Hong Kong still possess the ability and willingness to work.

Oxfam Hong Kong believes that the above data highlights that the composition of Hong Kong's poor population has changed after the Pandemic, with the number of poor elderly continuing to rise.

Promoting Active Ageing in Hong Kong

"Population ageing does not necessarily lead to a social crisis. Oxfam believes that if society as a whole works towards the goal of Active Ageing by developing an elder-friendly living environment, especially by leveraging technological and social innovations to address the primary needs of elderly community members, and if the government provides adequate policy incentives to 'enable' motivated seniors with opportunities to re-engage in society and the job market, then seniors can become important social capital as well," Kalina Tsang, Director General of Oxfam Hong Kong, said.

Oxfam Hong Kong proposes the following recommendations:

1. Achieve Targeted Poverty Alleviation below the Poverty Line by Including ‘Enabling’ and ‘Active Ageing’ Targets

Oxfam suggests re-evaluating the poverty line to gain a comprehensive understanding of poverty trends, supporting the development of ‘Targeted Poverty Alleviation.’ This report endorses addressing elderly poverty. We hope the upcoming framework includes clear targets for ‘Enabling’ and ‘Active Ageing’ for vulnerable groups.

Targets for ‘Enabling’ should include labour market participation through employment assistance. For ‘Active Ageing’, targets should focus on helping singleton and doubleton elderly poor households connect elders, especially those who are hidden, to social services.

2. Support More Impactful Social Innovation Projects by Encouraging Collaboration among Government, Businesses, and NGOs

We urge the government to encourage businesses to adopt the Pay-for-Success model, Innovative Programmes, and other models to actively support poverty alleviation and social innovation projects, thereby creating a more significant social impact.

3. Promote Active Ageing

Establish a Database to Identify Target Groups and Provide Tailored Support

The government can establish a database for singleton and doubleton elderly households to better understand the actual situation of elders by integrating data from various departments (including the Hong Kong Housing Authority, Social Welfare Department, Hospital Authority, etc.). The government can also expand the ‘Pilot Scheme on Supporting Elderly and Carers’ to all 18 districts to provide targeted home visits, emotional support, and referrals through outreach teams.

Create Opportunities for Able and Willing Elders to Participate in the Labour Market

Create a working environment conducive to the employment of the elderly including more flexible hours and diverse job roles. The government can create more job opportunities in the public sector that require less physical labour and limited computer or language skills for seniors, such as clinic companions and school bus attendants.

Enhance the Employment Programme for the Elderly and Middle-aged

The government can enhance the Employment Programme for the Elderly and Middle-aged by simplifying the application procedures and conditions for employers, and by directly providing subsidies based on the number of new elderly employees hired. Employers only need to submit proof of employment and payroll records to receive subsidies.

Lower the Threshold of the Working Family Allowance Scheme Application to Increase Incentives for Elderly Employment

The government can lower the threshold for elders to receive subsidies under the ‘Working Family Allowance Scheme’. Even if they engage in part-time work for less than 144 hours, if they do not receive the Old Age Living Allowance, they could still enjoy full subsidies.

Leverage Technological Innovation to Strengthen Primary Healthcare and Enhance Home Care Support for Elders in Need

For elders needing care, the government should utilise telemedicine and technologies to provide suitable medical care. It should also promote senior-friendly exercises such as dance and stretching, combining programmes with online platforms to enable home training. The government could consider expanding medical vouchers to include online/offline health courses on exercise, allowing elders to manage their health independently.

4. Create Flexible Job Opportunities to Enhance Social Well-being

Demand for ‘Integrated Home Care Services’ and ‘Enhanced Home and Community Care Services’ in Hong Kong far exceeds supply, with average wait times of nine months. Meal delivery, escort services, and housework assistance are most in demand. The government can increase funding for non-profit organisations to expand these services. By offering flexible work arrangements, more individuals, such as homemakers or capable seniors could participate,  thereby shortening elder care waitlists and enhancing the quality of life for those in need.

5. Improve Childcare Services to Provide Economically Inactive Women with the Opportunity to Join the Workforce

The government should increase the number of places for 0-2-year-olds in aided child care centres attached to kindergartens, and expand home-based childcare services to encourage more economically inactive women to rejoin the workforce.

6. Promote a Living Wage to Enhance Social Mobility

As Hong Kong's largest employer, the government should lead by example, by paying outsourced workers a living wage. The living wage level should be announced annually to encourage all employers. Additionally, The HKEX should also ensure that ‘social’ reporting is mandatory for companies, just as ‘governance’ and ‘environment’ in ESG are, to enhance companies’ overall social corporate responsibility performance and transparency. Mandatory social reporting should also include information on whether the company pays its employees a living wage.

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About Oxfam
Oxfam is a global organisation committed to creating a world without poverty through its advocacy, development and humanitarian work.
 
For media enquiries:

From the left:
• Terry Leung Ming-fung, Research and Advocacy Manager, Oxfam Hong Kong
• Kalina Tsang Ka-wai, Director General, Oxfam Hong Kong
• Wong Shek-Hung, Director of Hong Kong, Macau, Taiwan Programme, Oxfam Hong Kong