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APAC Edition
14th March 2025
 
THE HOT STORY
Japan's new plan for foreign workers
The Japanese government has approved new guidelines aimed at transforming the foreign trainee programme into a more supportive initiative for foreign workers, set to commence in 2027. Prime Minister Shigeru Ishiba said “The labour shortage in our country is getting worse,” as he highlighted the need for an attractive working environment for foreign nationals. The revamped plan will focus on training unskilled foreign workers in specific skills and Japanese language proficiency over three years, allowing them to transition to specified skilled worker visas with improved conditions. Unlike the current system, which mandates trainees to return home after five years, the new programme will enable workers to change jobs and stay longer in Japan. Additionally, the government aims to prevent the concentration of foreign workers in major cities and will cap the number of participants over five years. As of June last year, Japan had approximately 426,000 foreign trainees, with a significant number coming from Vietnam, Indonesia, and the Philippines.
HIRING
Singapore revamps work permits
The upcoming revamp of Singapore's work permit framework aims to streamline the hiring process for migrant workers, reducing costs and training time. Minister for Manpower Tan See Leng announced that there will be no maximum duration for long work permit holders, allowing them to work until the retirement age of 63. This change is expected to provide greater job security for workers like Mr Sethu Rajinikanth, who said: “I feel greater job security with the pressure of the employment limit lifted.” The new rules will also expand the list of eligible occupations and allow hiring from Bhutan, enhancing the talent pool. Industry leaders, including Mr Ivan Koh from Strategic Marine, believe these changes will improve workforce stability and efficiency, despite potential challenges such as increased healthcare costs. Overall, the adjustments are designed to address manpower shortages while promoting local talent development through initiatives like SkillsFuture.
India AI talent crisis looms
India is on the brink of a significant shortfall of over 1m skilled artificial intelligence (AI) professionals by 2027, jeopardising its ambition to become a global AI talent hub. According to Bain & Company's report, the demand for AI expertise is surging, with job openings expected to exceed 2.3m, while the talent pool is projected to reach only 1.2m. Saikat Banerjee, partner at Bain & Company, commented: "India has a unique opportunity to position itself as a global AI talent hub. However, by 2027, the job openings in AI are expected to be 1.5–2x of the talent availability." This widening skills gap necessitates urgent reskilling and upskilling efforts to ensure that India can meet the growing demand for AI professionals and avoid obstructing AI adoption across various industries.
WORKFORCE
Indonesian president tells ride-hailing firms to award holiday bonuses
Indonesian President Prabowo Subianto has ordered ride-hailing firms including GoTo Group and Grab Holdings Ltd. to give holidays bonuses to their drivers as the country nears its biggest annual holiday. Private companies and state-owned enterprises should disburse the holiday bonuses at least seven days before the Eid holiday is expected to start on March 31st, the president said.
DIVERSITY, EQUITY & INCLUSION
Empowering women: a call to action
Indian President Droupadi Murmu has highlighted the need for equal opportunities in education and the workplace, particularly for women. Speaking at the 'Nari Shakti Se Viksit Bharat' conference, she addressed the barriers to women's employment, noting that some employers view childcare leave negatively, which contributes to lower workforce participation. Murmu said: "If a mother takes leave to care for her children and their education, her efforts are for the betterment of society." She emphasised that as India aims to become the world's third-largest economy, increasing women's participation in the workforce is critical. Celebrating 50 years of International Women's Day, she reflected on her own journey from a humble background in Odisha to the presidency, symbolising the progress made in women's rights and social justice in India.
CORPORATE
China boosts tech M&A loans
China has introduced relaxed rules for merger and acquisition loans aimed at tech companies, as part of a pilot programme to enhance technological competitiveness. The National Financial Regulatory Administration announced that banks can now lend up to 80% of transaction values for acquisitions of controlling stakes in tech firms, an increase from the previous 60% limit. Additionally, loan repayment periods have been extended to a maximum of 10 years. The pilot programme, which covers 18 cities including Beijing and Shanghai, is designed to support tech firms with strong research and development capabilities.
INTERNATIONAL
UK lawmakers back landmark workers' rights bill
MPs in the UK have backed a package of workers' rights reforms that has been described as “a once-in-a-generation chance to reshape the world of work.” Deputy Prime Minister Angela Rayner said the Employment Rights Bill is a “landmark” piece of legislation that is “pro growth and pro business and pro worker.” The bill changes several rules which employers must follow when they hire and dismiss workers. Employment authorities would treat workers who are sacked for failing to agree changes in their contracts as automatically unfair unless the employer can show they were unavoidable. Workers would also have a right from their first day of employment to request flexible working, although bosses can deny such requests for several reasons, including if the new arrangement would introduce additional costs, or if it would have a “detrimental effect on ability to meet consumer demand.” The proposed new law includes a new right to guaranteed hours, prohibiting zero-hour contracts, and introduces new restrictions on “fire and rehire” processes when employees are let go and then re-employed on new contracts. Meanwhile, paternity leave will be a “day one” right, meaning new fathers would not need to complete 26 weeks of continuous service before taking time off, bereavement leave will cover miscarriage, and the government plans to announce a new right for grieving workers to take time off work. A Fair Work Agency would enforce this package of measures “by bringing together” existing authorities.
UAE approves remote work system for federal employees overseas
The UAE has introduced a new work system allowing federal government employees to work remotely from abroad, as it seeks to attract international talent for government projects and studies. Announced by Sheikh Mohammed bin Rashid Al Maktoum, the initiative is part of a broader six-year national investment strategy to boost foreign direct investment (FDI) inflows from Dh 112bn in 2023 to Dh 240bn by 2031. Sheikh Mohammed said: “The UAE continues to develop its economy, open new markets, attract investments, and create the best business environment globally.”
Reykjavík's payroll blunder costs millions
At the end of last year, the City of Reykjavík corrected payments to employees amounting to 34m ISK ($252,000) due to a payroll system error affecting the December bonus. Eva Bergþóra Guðbergsdóttir, the City of Reykjavík's communications director, confirmed that approximately 4,900 employees were overpaid, with the highest individual adjustment being 11,900 ISK. The error impacted about 40% of the city's workforce, which comprises around 13,000 employees. The mistake was identified the day after the payment was processed, leading to the necessary corrections made on December 31st.
OTHER
Meet the robotic dog cleaning up Taishan Mountain
At Taishan Mountain in Shandong province, a robotic dog is revolutionising waste management. The artificial intelligence (AI)-powered machine, deployed by a logistics company under the Taishan Cultural Tourism Group, efficiently carries a 120 kg payload up steep inclines while navigating crowds. With 8m annual visitors generating 24,000 tonnes of waste, the robotic dog significantly enhances cleanup efficiency. "The robotic dog can climb mountains, wade through water, and overcome obstacles while carrying loads," said a company staffer. The rise of such technology reflects China's booming consumer robotics market, projected to reach 75bn yuan by 2029. Government initiatives are further propelling advancements in AI robotics, addressing societal needs and transforming daily life. "This transformation goes beyond technological advancement, as it strikes at the very core of human needs", observed Kang Xiaohu, co-founder of Hengbot Innovation Ltd.
 


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