The Hong Kong government launched the Top Talent Pass Scheme (TTPS) at the end of 2022 to attract global high-end talent to address local labor shortages and an aging population.

The scheme is divided into three categories:

Category A: Applicants must have an annual income of HKD 2.5 million or above in the year preceding the application.

Category B: Applicants must have obtained a bachelor's degree from a recognized university and accumulated at least three years of work experience in the five years preceding the application.

Category C: Applicants must have obtained a bachelor's degree from a recognized university but have less than three years of work experience.

Since its launch, the TTPS has attracted a large influx of talent to Hong Kong. Government statistics show that nearly 92,000 applications have been approved, with over 75,000 talents bringing their families to settle in the city. With over 80% being category A and B applicants, who have abundant capital and work experiences, they are able to boost the local economy and revitalise the weakened job market.

Impact and Economic Contribution

One of the key objectives of the TTPS is to fill local talent gaps. However, some incoming professionals struggle to find jobs matching their academic qualifications or professional backgrounds, leading to concerns of underemployment. For example, an IT professional graduated from a top tier university in mainland with years of experience, failed to find a job in the tech industry, and was forced to work part-time at a milk tea shop. Nonetheless, the Labour Department survey indicates that more than half of TTPS applicants have successfully secured jobs, mainly in managerial and professional roles. The median monthly income among them is around HKD 50,000, with about 25% earning HKD 100,000 or more per month. Additionally, nearly 20% of accompanying spouses have also secured employment, contributing to the local economy.

Surge in School Enrollment

Most of these incoming professionals are under 40, with many bringing young children. According to Professor Chong of the Chinese University of Hong Kong, child education is a primary motivation for many TTPS applicants, and their presence could help mitigate Hong Kong's aging population problem. Surveys indicate that 62% of TTPS applicants with children under 18 require local primary and secondary school placements. This has led to an increased demand for school spots. For the 2024/25 academic year, Hong Kong primary schools are adding 158 additional classes to accommodate new students.

Moreover, some families see Hong Kong as an alternative to escape the highly competitive education system in mainland China. Unlike the selective and highly competitive Zhongkao (high school entrance exam) and Gaokao (university entrance exam) system in China, Hong Kong provides 12 years of free education without an elimination mechanism, stopping students from finishing high school. According to figures from Hong Kong Examinations and Assessment Authority, 37.5% of candidates in the 2024 HKDSE (university entrance exam) achieved the minimum threshold, with the top 8 universities entrance rate at 29.5%. Conversely, in the mainland, only 1.62% of Gaokao candidates were accepted to 985 universities (top universities in mainland China). This makes the TTPS an attractive pathway for families seeking a less stressful academic environment for their children and to improve their future prospects.

Adaptation Challenges

Despite the benefits of the TTPS, new arrivals face challenges in adapting to life in Hong Kong. Language barriers are a common issue, particularly for those unfamiliar with Cantonese, making job hunting difficult. Additionally, job security in Hong Kong is perceived to be lower than in mainland state-owned enterprises, causing concerns about long-term career stability. The risk of unemployment or underemployment increases the resistance for talents to adapt to Hong Kong as they may face much worse job opportunities and social status than their original lives in the mainland.

Renewal Issues and Legal Risks

Since TTPS visa renewal is contingent on employment status, some applicants attempt to meet the renewal criteria through unofficial means, such as setting up shell companies and processing payroll through them. However, such practices may pose legal risks, and the government may tighten regulations to prevent abuse of the system in the future.

On the Chinese social media Xiaohongshu (Rednote), many influencers are providing information on how to obtain renewal and enrollment to top schools, reflecting the rising demand for the TTPS.