The statistics seem great for Macau, but not everyone is celebrating the gaming boom in the semi-autonomous Special Administrative Region of China. Last year visitor numbers rose to 18.7 million, over 10.5 million from mainland China, and the unemployment figures are the lowest since the return to Chinese rule in 1999. The voracity of the gaming industry, however, is causing problems for other businesses in Macau as it can offer higher wages than most other sectors.

One solution put forward to solve the problem of the labour shortage is to bring in foreign workers, a policy the Macau government has not embraced in the past. At present there are restrictions on the employment of even mainland and Hong Kong residents. Following recent complaints by local businessmen about the difficulties of hiring staff, the government may relax its stance. The flourishing casino industry, where a single new hotel casino may employ over 3,000 people, has been accused of being too aggressive in its recruiting practices.

With so many casino resorts under construction in Macau, the building industry is also seeing a boom and a shortage of labourers. Should the government allow in more foreign workers to take up work in all sectors of industry and commerce, it will likely cause other problems. Already affordable accommodation is at a premium, pricing many workers out of the market, and an influx of newcomers would increase the housing shortage.

Last year, in a city with a population of around 450,000 some 34,600 were foreign workers, according to recent data released by the government. Tourist numbers may be on the increase but tourist stay and tourist spend are down, a decline causing some concern. Gross gaming receipts are, however, up by 9% and the government gets over 70% of its revenue from direct casino tax. (E-01.11.06)

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