The average real salary increase for workers in Hong Kong is forecast to be 1.4% above inflation in 2020, a slight increase on the 1.0% rise that workers saw in 2019.
Although a nominal salary increase of 4.0%, after factoring in the forecast inflation of 2.6%, workers in Hong Kong will only see an average increase of 1.4% in real terms - one of the lowest increases in the Asia-Pacific region.
Lee Quane, Regional Director - Asia, ECA International, explained, "Despite nominal salary increases staying at 4% next year, the predicted drop in inflation from 3.0% to 2.6% means that employees in Hong Kong will see a slightly better overall salary increase in real terms next year."
This is still lower than the overall APAC average, which is predicted to be 3.2%, significantly higher than the global average of 1.4% and nearly three times the European average of 1.1%.
Paul Arkwright
Publisher
