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APAC Edition
13th March 2025
 
THE HOT STORY
China's unions tackle gender bias
Several Chinese labour unions, including those in Hunan and Shenzhen, have issued notices to companies prohibiting the requirement for female job seekers to disclose their marital and childbearing status. These notices, widely shared on social media, are seen as a step towards addressing gender inequality in the workplace. Many young women in China have been deterred from starting families due to fears of career repercussions. The Hunan Federation of Trade Unions said "Employers shall not further inquire or investigate the marital and childbearing status of female job seekers," emphasising that women should not face discrimination in hiring or employment due to their family status. While many welcomed this initiative, some expressed concerns that it might lead to fewer hiring opportunities for women.
LEGAL
Overtime pay ordered for workers
A Japanese town's controversial policy requiring government employees to clock in five minutes early has been overturned by the Japan Fair Trade Commission. The town, Ginan, was ordered to pay over ¥10.9m ($73,000) in back-paid overtime to 146 employees affected by the policy, which was implemented by former mayor Hideo Kojima. Despite no clear justification for the early start, the employees believed the additional time constituted overtime. Following a complaint filed in December 2023, the commission ruled in their favour, highlighting the ongoing issues surrounding Japan's overtime culture. As one observer noted, “Some companies want employees to have morning meetings... but they are all overtime under the law.” The town assembly has yet to address the compensation issue as of the latest reports.
WORKFORCE
Wage reform debate heats up
The debate surrounding Korea's seniority-based pay system has intensified as younger workers express dissatisfaction with wage structures that reward tenure over performance. Ahn, a 28-year-old employee, said "I'm tired of seeing wages increase just based on age," advocating for a system that ties salaries to job roles and performance. This pay model, established during Korea's economic boom in the 1960s and 70s, is now seen as outdated, particularly as younger generations prioritise fairness and growth. According to Lee Jung-min, a professor at Seoul National University, Korea has the highest wage compensation based on tenure among OECD countries. As the government considers raising the retirement age, experts warn that without restructuring the wage system, extending retirement could harm youth employment. The Ministry of Employment and Labor is pushing for performance-based pay in public institutions, but significant challenges remain, including resistance from corporate labour unions.
China's job market faces tough times
China is grappling with significant employment challenges, particularly with 12.22m college graduates set to enter the job market in 2025. Ms Wang Xiaoping, China's Minister of Human Resources and Social Security, stated that stabilising employment remains “an arduous task.” The government aims to create over 12m new urban jobs by 2025, focusing on fostering entrepreneurship and expanding vocational training to address the skills gap in the workforce. The external environment is increasingly complex, impacting economic recovery and job stability. Economist Tommy Xie noted that promoting private entrepreneurship could simultaneously drive technological advancement and tackle labour market issues. Dr Chen Bo highlighted the need for more entrepreneurs to meet the job expectations of young people, adding: “Right now, we have too many potential employees looking for jobs, but too few potential entrepreneurs creating jobs.”
Empowering seniors: a new alliance
The newly established Tripartite Workgroup on Senior Employment in Singapore aims to enhance job opportunities for older workers. Co-chaired by Senior Minister of State for Manpower Koh Poh Koon, the workgroup will create the Alliance for Action on Empowering Multi-Stage Careers for Mature Workers. Dr Koh said: “This will be a significant tripartite effort to review and refresh our approach towards senior employment.” The workgroup will collaborate with the National Trades Union Congress and the Singapore National Employers Federation to develop age-friendly workplaces and improve senior employability. Additionally, the Tripartite Workgroup on Human Capital Capability Development will set national standards for human resource practices, ensuring that practitioners can effectively contribute to business outcomes.
CORPORATE
Nissan CEO steps down
Makoto Uchida, the chief executive of Nissan, is resigning following disappointing financial results, with Ivan Espinosa set to take over on April 1. Espinosa, who has been with Nissan since 2003, expressed his belief that "Nissan has so much more potential than what we're seeing today." The company is anticipating a loss of ¥80bn yen ($538.2m) for the fiscal year. Uchida's tenure saw declining sales in key markets and significant job cuts. Other managerial changes were also announced, including expanded roles for key executives.
TAX
Businesses bemoan Indian ‘tax terrorism’ and red tape
Investors have long urged India to reduce red tape, relax labour laws and simplify taxation and compliance, arguing that reform, particularly of taxation, could stimulate investment and create jobs.
INTERNATIONAL
USAID employees 'ordered to shred records'
An official at the U.S. Agency for International Development (USAID) has instructed employees to shred records, according to a court filing brought by the American Federation of Government Employees and American Foreign Service Association, which represent government employees, as well as by anti-poverty organization Oxfam America, which asks a judge to block the move. In the motion filed in Washington, D.C. federal court, the unions cited an email from USAID acting executive secretary Erica Carr directing staff to come to the agency's office for "clearing classified safes and personnel documents." Carr wrote: "Shred as many documents first, and reserve the burn bags for when the shredder becomes unavailable or needs a break." The unions say the directive "suggests a rapid destruction of agency records on a large scale" that both violates federal record-keeping law and could destroy evidence in their case.
UBS fined for whistleblower harassment
A French court has fined Swiss bank UBS €75,000 for the psychological harassment of two whistleblowers who exposed a tax evasion scheme for wealthy French clients. The ruling concludes a 15-year legal battle. UBS was also ordered to pay €50,000 in damages to Nicolas Forissier, the bank's former head of internal auditing. The other victim, former marketing manager Stephanie Gibaud, reached an agreement with the bank. The bank and its French subsidiary were also definitively convicted of having set up a system of massive tax evasion between 2004 and 2012. Forissier's lawyer said it was the first time in France that a former employer of a whistleblower had been convicted of psychological harassment.
Estate agent's desk move 'counted as a demotion'
An employment tribunal judge in the UK has said that forcing senior employees to work at desks deemed inappropriate for their status could lead to perceptions of demotion. The case involved Nicholas Walker, a 53-year-old director at Robsons estate agency, who resigned after being assigned to a "middle" desk instead of the "back" desk, which was traditionally reserved for managers. Walker argued that this arrangement undermined his status. The employment tribunal concluded that the desk issue was a valid reason for Walker's resignation, indicating that his boss's actions could "destroy or seriously damage" the trust in their relationship. Compensation for Walker will be determined later.
OTHER
Global warming is a trade-off, US energy secretary says
US Energy Secretary Chris Wright has told attendees at CERAWeek, the nation's largest energy conference, in Houston, that global warming is a side effect of building a modern economy, and vowed to end former President Joe Biden's climate policies to promote the growth of fossil fuels. "The Trump administration will treat climate change for what it is, a global physical phenomenon that is a side effect of building the modern world," Wright said. "Everything in life involves trade-offs. Everything." He said oil, gas and coal were crucial to the global economy and that future energy demand growth was unlimited. Wright conceded that fossil fuels’ greenhouse gas emissions were warming the planet, but said “there is no physical way” solar, wind and batteries could replace the “myriad” uses of gas.
 


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