Hong Kong is one of the most densely populated and financially significant regions on Earth, but it also has a massive issue with income inequality. Roughly one-fifth of Hong Kong’s residents are living in poverty as of November 2018, with monthly income for those people falling below the poverty line equaling $700 a month. The average cost of living for a 900 square foot apartment plus utilities in a normal area for two equals $3,885 a month. In the text below, the top 10 facts about poverty in Hong Kong are presented.
Top 10 Facts About Poverty in Hong Kong
- The population is aging. With 7.4 million residents, Hong Kong is home to many people of older generations. The combination of changing technologies and markets has impacted those who served in more blue-collar jobs in years past. This has a dramatic effect on how they are able to pay for housing, food and basic necessities when white collar jobs are taking over the city. The government has provided handouts that have helped many in poverty, but what truly needs to be done is proper job reeducation and reassignment.
- Cohabitating with elderly parents is becoming necessary. As many young adults seek to explore their career paths and the vast megalopolis of the Pearl River Delta, they realize they don’t have the means to expand. In order to keep parents from falling below the poverty line and to give their future children exceptional opportunities, many young couples are forced to stay with their parents. However, this is only a temporary solution to the long-term issue of how to deal with economic struggles. Thankfully, the local and national governments are considering how to reengage the elderly through the use of their accumulated knowledge.
- Monthly rent is 70 percent of the median household income for half of Hong Kong. With the average monthly income of those below the poverty line not reaching the 70 percent statistic to pay for livable housing, a dark housing market has appeared. Illegal housing has entered roughly one in four structures in Hong Kong. In order to combat the rise of illegal housing and unlivable structures, the government of China must provide affordable and government subsidized housing rather than solely catering to the wealthy.
- Wages have not risen to meet the rise in housing cost. The average unskilled worker has to work 12-hours per day to afford a 100 square foot coffin home. In order to meet the needs of its citizens, Hong Kong must increase welfare payments in the form of Comprehensive Social Security Assistance (CSSA). CSSA must become more than just a safety net for basic needs and should fully encompass the needs of those in poverty in Hong Kong through food assistance and other means.
- Women are disproportionately affected by poverty. China has historically undervalued women. The one-child policy preferred boys and illegal sex-selective abortions were utilized. Hong Kong’s 2017 census stated that roughly 451,700 women fell below the poverty line, where only 80,800 men did. In order to fully engage society and bring skilled workers into the workforce, education and protections must be put in place for women and young girls.
- The poor are unfairly stigmatized. Those in poverty in Hong Kong are seen as being lazy for the position they’ve fallen into. This attitude speaks to a larger ambivalent attitude towards meaning and wealth in Hong Kong, as status and titles have unfortunately taken over humility and humanity. In order to combat this harsh attitude, people of Hong Kong must embrace the people in their society that make them uncomfortable.
- Cyber cafes have become havens for the poor. Hong Kongers who fall below the poverty line and cannot afford to house have taken to spending their days and nights at cyber cafes. For a low cost of entry, cyber cafes provide shelter and internet access between jobs for the poor.
- Hong Kong’s bureaucracy is one of the causes of the problem. The issues the homeless face could be solved, but government division has slowed progress. Separate departments cover similar issues but have no central governing body. Experts suggest that examples from New York’s consolidated Department of Homeless Services should be followed.
- Nongovernmental organizations could help Hong Kong. Government leasing of properties occurs in Hong Kong but leasing from nongovernmental organizations could greatly assist those in need. Government support of organizations who control these properties would allow for the poor and homeless to be taken care of effectively by trained professionals.
- The wealth distribution is uneven. The top 10 percent in Hong Kong earn roughly 44 times more than the lowest 10 percent who fall far below the top monthly earnings. This income divide is further pushed by wealthy business interests who influence politicians. This directly damages the ability of the poor and homeless to receive any assistance.
While poverty is a massive issue in Hong Kong, individuals and governing bodies can no longer turn a blind eye. For the sake of those in need, the country and its politicians must take notice of the damaged parts of their society, as it is shown in these top 10 facts about poverty in Hong Kong.
– Zach Margolis