Hong Kong authorities will tighten the regulations governing a labour importation scheme by introducing a two-tier vetting system and raising the maximum penalty for non-compliant employers, with the new arrangements taking effect on Tuesday.

Following a review of the Enhanced Supplementary Labour Scheme (ESLS), the Labour Department announced on Monday that the system would distinguish between general applications and sectors with shortages.

The long-awaited move to amend the legal regime followed an outcry from industries with high unemployment rates, such as the food, catering and construction sectors, as local workers’ livelihoods and job security faced fierce competition from imported labour.

Under Tier 1, employers must maintain a manning ratio of two local full-time employees per imported worker and complete a four-week local recruitment period.

Tier 2 applies stricter requirements to specific industries facing acute shortages. In the food and beverage sector, the manning ratio for designated posts will be tightened from 2:1 to 3:1. These posts include cooks, waiters, bar supervisors, restaurant supervisors, receptionists and cashiers.

The local recruitment period for these roles is extended to six weeks, with employers required to attend job fairs at Labour Department centres once every two weeks.

Employers who hire local persons with disabilities may apply a 1:1 manning ratio for imported worker applications.