Steady work: The jobless rate rose to 3.4% in the July to September period while the underemployment rate dropped to 1.8%.

The unemployment rate rose to 3.4% in the July to September period, from 3.2% in the June- August quarter. The underemployment rate dropped from 1.9% to 1.8%.

The Census & Statistics Department today said increases in the unemployment rate were mainly observed in the wholesale and retail, restaurants, manufacturing and financing sectors. Falls in the underemployment rate were mainly seen in the decoration and maintenance, and transport sectors.

Total employment dropped to 3,543,100 while the labour force increased to an all-time high of 3,677,200. The number of unemployed people increased to 134,000 while the number of underemployed people dropped to 66,300.

67,000 vacancies netted

In September, the Labour Department netted about 67,000 vacancies from the private sector, up 31% over the same period last year.

However, the vacancies received from the finance and real estate sectors, which may be more affected by the global financial turmoil, registered decreases of 4.3% and 5.8% over August. 

Secretary for Labour & Welfare Matthew Cheung said owing to a time lag, the vacancy level in September may not have reflected the impact of the global financial woes. 

Unemployment to rise

"Looking ahead, unemployment is likely to rise further in the near term. Some sectors are bound to be affected by a contraction in business triggered by the global economic crisis. The Labour Department will closely monitor the situation and stands ready to help the affected employees," he said.

The Government has proposed a series of measures to improve the Small and Medium Enterprises Funding Schemes with a view to strengthening support to small and medium enterprises.

"I believe SMEs could benefit from these measures. I hope that employers could actively consider job restructuring or job sharing as an option," he added.