Since the Principal Officials Accountability System (POAS) was introduced in 2002, the SEM, as all other secretary positions, is an ex officio member of the Executive Council (ExCo).

The position is a political appointment, and its term expires when the Chief Executive leaves office.

Before 1991, the office holders may be appointed by the Governor as ex officio member of the Legislative Council.

At the same time when the POAS was introduced in 2002, the responsibility of labour issues was transferred to the Secretary for Economic Development and Labour, formerly Secretary for Economic Services.

According to the proposal tabled by Donald Tsang's administration after he was re-elected as the Chief Executive, the manpower portfolio was transferred to the new Secretary for Labour and Welfare on 1 July 2007.