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APAC Edition
17th February 2025
 
THE HOT STORY
Malaysian state contractors who did not finish school lose jobs
The Malaysian government's decision to terminate 30,000 contract staff without a school-leaving certification is facing a significant backlash for its perceived lack of compassion. Prime Minister Anwar Ibrahim's efficiency drive aims to cut state spending and integrate artificial intelligence (AI) into the civil service. Adnan Mat, president of the Congress of Unions of Employees in the Public and Civil Services, said: “Many have dedicated years to public service and rely entirely on these jobs. Their sudden dismissal is deeply distressing.” The new requirement for government jobs mandates a school-leaving certification, leaving many long-serving employees without benefits or pensions. Public reaction has been mixed, with some questioning the need for strict qualifications for lower-skilled roles. Meanwhile, the Ministry of Digital announced a collaboration with Google to provide AI tools to 445,000 civil servants, aiming to enhance efficiency and work quality.
STRATEGY
Meta layoffs hit Singapore
Meta's recently announced layoffs have had an impact on the company's Singapore workforce, according to a leaked internal memo from Janelle Gale, the vice president of human resources. The layoffs, which began on February 10, have been described as "deeply emotional and challenging" by a Meta product manager in Singapore, who noted the heartbreak of seeing colleagues' deactivated profiles. Christopher Fong, co-founder of local career networking platform Key, organised a gathering to support those affected, observing: "People who have been through layoffs want to help and offer a sense of comfort."
LEGAL
Indian labour ministry steps in over Infosys
India's Ministry of Labour and Employment has directed Karnataka's state labour ministry to address a dispute following Infosys's recent termination of employees at its Mysuru campus. The intervention follows complaints from the Nascent Information Technology Employees Senate (NITES), which labelled the terminations as "illegal, unethical" and in violation of labour laws. Infosys claims that fewer than 350 employees resigned through "mutual separation" after failing internal assessments, while NITES alleges the number affected is closer to 700. The controversy escalated when Infosys reportedly asked trainees to resign within three hours, leaving many without accommodation. NITES has called for an immediate investigation and reinstatement of the terminated employees, warning that such actions "set a dangerous precedent for the IT industry."
HIRING
Apple's iPhone city faces hiring slump
The iPhone assembly plant in Zhengzhou, known as iPhone City, is experiencing a significant reduction in hiring as Apple loses market share in China and Foxconn relocates production overseas. Local labour dispatch agents report a stark decline in jobseekers. The factory, which once employed up to 300,000 workers, is now struggling to attract temporary workers, especially after the Lunar New Year. In 2023, foreign employment in China fell by 15%, the steepest drop since 1990. Despite expectations of a production surge due to a government trade-in programme, job postings indicate lower wages, further discouraging potential workers. Apple's market share in China has also declined, dropping to 15% in 2024, as competition from domestic brands intensifies.
TECHNOLOGY
Machine learning is 'biggest shift of our lifetimes, Google boss says
At the AI Action Summit in Paris, Google chief executive Sundar Pichai told attendees that although the shift towards machine learning was still in its early days, "it will be the biggest of our lifetimes - a fundamental rewiring of technology and an accelerant of human ingenuity." He cited the recent development of DeepSeek, a Chinese AI start-up, as a catalyst for the shift towards machine learning. Pichai also said that Google plans to spend $75bn on capital projects this year, primarily on AI.
MANAGEMENT
'Feminine' negotiation strategies are a strength in the boardroom
Rebecca Ponce de Leon, assistant professor in the Management Division of Columbia Business School, along with Anyi Ma, assistant professor of management at the University of Wisconsin-Madison and Ashleigh Shelby Rosette, the James L. Vincent professor of leadership at Duke University, have carried out a survey which found that women are more likely than men to avoid expensive impasses during negotiations. Their findings come amid a renewed focus among chief executives and other business leaders on so-called "masculine energy." Ponce de Leon observed: "For years and years now, the narrative has been that women should behave more like men to get ahead and to be successful. But these findings illustrate that there is a place for more traditionally feminine and communal behaviours at work, and that they can be a source of strength and strategic advantage for our workplaces.”
CORPORATE
Nissan and Honda merger talks collapse
Nissan and Honda have terminated merger discussions aimed at creating a $60bn automotive giant, plunging Nissan into further uncertainty amid increasing competition from Chinese manufacturers. The negotiations, which began in December, faltered due to disagreements over power dynamics, particularly Honda's proposal to make Nissan a subsidiary. Following the collapse, both companies will maintain their existing collaboration on technology development with Mitsubishi Motors. 
TAX
Australian tax incentive laws for critical minerals passed
Production tax breaks could be given in Australia for critical minerals and renewable hydrogen after the country's parliament passed laws to boost energy transition plans. Resources Minister Madeleine King said: "By processing more of these minerals here in Australia, we will create jobs and diversify global supply chains." The news comes after the government vowed last year to introduce tax incentives worth some A$7bn for processing and refining critical minerals, alongside A$6.7bn for the production of renewable hydrogen between 2028 and 2040.
INTERNATIONAL
Thousands of US probationary employees fired
Thousands of probationary employees in the US civil service are being fired as the Trump administration directs federal agencies to carry out widespread layoffs. CNN reports that officials are targeting probationary workers because they have fewer job protections and lack the right to appeal. More than 200,000 employees have worked within the federal government for less than a year, according to 2024 data from the U.S. Office of Personnel Management (OPM). “The probationary period is a continuation of the job application process, not an entitlement for permanent employment,” an OPM spokesperson said. “Agencies are taking independent action in light of the recent hiring freeze and in support of the President’s broader efforts to restructure and streamline the federal government to better serve the American people at the highest possible standard.”
Commerzbank to cut 3,900 jobs, mainly in Germany
Commerzbank is to lay off around 9% of its workforce in an attempt to boost profitability and convince investors of its standalone prospects as it seeks to head off an unwanted approach from Italy’s UniCredit. The bank said the jobs cuts, mainly in Germany, are expected to take place by 2028. Hiring outside the country would mean full-time positions will remain steady at 36,700, the bank noted. "This provides us with a strong basis for the years to come," chief executive Bettina Orlopp said.
Law firm restricts AI amid concerns over staff use
International law firm Hill Dickinson has restricted general access to artificial intelligence (AI) tools after noticing a sharp rise in staff usage. A senior director warned employees that much of the usage did not align with the firm's AI policy. Staff must access the tools via a request process from now on. The firm reported over 32,000 hits to ChatGPT and 3,000 to DeepSeek in just a week, along with nearly 50,000 hits to Grammarly. The move highlights ongoing concerns about AI use in professional settings, particularly around security and compliance. A spokesperson from the UK's Information Commissioner's Office told BBC News that firms should "offer their staff AI tools that meet their organisational policies and data protection obligations."
OTHER
Australia to cap grocery prices for remote areas
Australian Prime Minister Anthony Albanese has announced a plan to improve well-being in remote Indigenous communities by imposing a price cap on essential groceries, including milk, bread, rice, chicken, feminine hygiene products, nappies, toothpaste, and toilet paper. The plan also includes the rollout of new laundries in 12 rural areas and the upskilling of up to 120 Indigenous workers in remote stores to build a nutrition workforce. Seventy-six remote stores will offer the products, funded and managed by Commonwealth-owned Outback Stores.
 


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