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APAC Edition
19th March 2025
 
THE HOT STORY
One in three female students harassed during Japan job interviews
In Japan's male-dominated corporate landscape, one in three female students has experienced sexual harassment during job applications, according to a report from the Ministry of Health, Labour and Welfare. Akiko, a pseudonymous student, shared her experiences, noting that while she has been fortunate, many peers have faced inappropriate questions about their personal lives. Sumie Kawakami, a gender-issues author, highlighted that such questions are often seen as acceptable by an older generation of men. She observes: “Ten years ago, this was not something that women brought up,” indicating a shift in awareness and reporting since then. As workplace attitudes evolve, Kawakami believes that inappropriate behaviours will decline, especially as younger individuals assume management roles. Companies are also taking steps to improve safety, with some prohibiting hiring staff from sharing personal contact information with candidates.
WORKFORCE
Korea faces looming worker shortage
Korea is projected to experience a significant decline in its economically active population, with a shortage of 820,000 workers anticipated by 2033, according to a report from the Korea Employment Information Service. The report highlights that the workforce will peak in 2029 and then decline, leading to a critical need for additional workers to sustain an annual economic growth target of 1.9%. Specific sectors, such as manufacturing and social welfare, are expected to be particularly affected, with shortages of 123,000 and 110,000 workers, respectively. The report emphasises the need for government intervention, observing that  “There should be policies to encourage more potential workers to join the workforce,” particularly among women and older adults. To address the shortfall, increasing the inflow of foreign workers may also be necessary, especially in industries like manufacturing and hospitality.
REMUNERATION
Pay rises on the horizon for HK workers
Despite a civil service pay freeze and uncertainty surrounding the impact of Trump administration policies, a recent survey indicates that many professionals in Hong Kong can expect salary increases this year. According to Hays, 77% of surveyed professionals anticipate raises, with over a third expecting increments of up to 2.4%. Lawrence Hung Yu-Yun, president of the Hong Kong Institute of Human Resource Management, noted: “The outlook in Hong Kong has improved from 2024, with organisations looking to provide increments to more working professionals this year.” While the civil service faces a pay freeze due to a significant deficit, the private sector appears more optimistic, with many firms planning to adjust salaries based on performance and economic conditions.
STRATEGY
Intel's bold direction under new CEO
Tan Lip-Buv, Intel's incoming chief executive, is set to implement significant changes to the company's approach to artificial intelligence and manufacturing. He aims to address what he perceives as a "slow-moving and bloated middle management layer" through staff cuts and restructuring. Tan, who previously served as CEO of Cadence, has expressed frustration with Intel's culture, stating it has lost its "only the paranoid survive" ethos. Following a substantial annual loss of US$19bn in 2024, Tan's immediate focus will be on improving performance at Intel Foundry and reviving plans to produce chips for AI servers. An Intel spokesman said "Lip-Bu will be spending a lot of time listening to customers, partners and employees" as he works to position the business for future success. Tan's strategy appears to build on the previous CEO's plans while aiming for a more aggressive approach to regain market competitiveness.
CYBERSECURITY
Mainland China names four Taiwanese in alleged cyberattack
Beijing's Ministry of State Security (MSS) has accused four members of Taiwan's Information, Communications and Electronic Force Command (ICEFCOM) of conducting cyberattacks against the Chinese mainland. The MSS published detailed information about the individuals, including their job titles and identity numbers, marking the first time such specifics have been disclosed. The ministry claims that ICEFCOM has been targeting the mainland since at least 2023, acting as agents for "Taiwan independence separatist forces." The hackers allegedly infiltrated critical infrastructure and spread fake news using automated accounts.
TECHNOLOGY
Chinese AI model banned on US government devices
The US Commerce Department has banned the Chinese artificial intelligence (AI) model DeepSeek on government devices, citing security risks, with staff instructed not to access or download related applications, sources claim. The decision follows concerns from US officials and lawmakers, including Congressmen Josh Gottheimer and Darin LaHood, who warned that DeepSeek could share sensitive data with the Chinese Communist Party, prompting legislative efforts and state-level bans in places like Virginia, Texas, and New York. The AI model’s low-cost offerings had previously unsettled global markets in January, intensifying fears about its threat to US AI leadership and data privacy.
DIVERSITY, EQUITY & INCLUSION
UBS ditches diversity goals for merit
UBS has removed its previous diversity targets from its 2024 annual report, opting instead to focus on meritocracy. The Swiss bank had previously aimed for women to hold 30% of director-level roles and for ethnic minorities to make up 18.8% of its US financial advisors by 2025. However, the latest report states: "We are committed to being a diverse and inclusive workplace based on meritocracy." A UBS spokesperson reiterated the bank's commitment to hiring the best talent while maintaining a diverse workforce. Additionally, UBS has revised its climate goals, extending its deadline to achieve net zero emissions by 2035. Finally, the FT notes that UBS chief executive Sergio Ermotti was paid SFr14.9m ($16.8m) last year, retaining his status as Europe's best paid bank boss.
TRAINING & DEVELOPMENT
‘Coachbots’ promise executive self-improvement for the masses
The FT reports on a new breed of "coachbots" that draw on generative AI and offer a cheaper version of a service that has hitherto been largely reserved for senior executives.
INTERNATIONAL
Trump moves to close down Voice of America
President Donald Trump has signed an order to strip back federally funded news organisation Voice of America (VOA). A White House statement said the order would "ensure taxpayers are no longer on the hook for radical propaganda." VOA, which is still primarily a radio service, says it currently reaches hundreds of millions of people globally each week. The president's order targets VOA's parent company U.S. Agency for Global Media (USAGM). It tells managers to "reduce performance . . . to the minimum presence and function required by law." VOA employees were reportedly notified in an email by Crystal Thomas, the USAGM human resources director. Mike Abramowitz, VOA's director, said he and virtually his entire staff of 1,300 people had been put on paid leave. Abramowitz said that the order left VOA unable to carry out its "vital mission . . . especially critical today, when America's adversaries, like Iran, China, and Russia, are sinking billions of dollars into creating false narratives to discredit the United States."
End of ‘blank cheque’ era for outside consultants in Saudi Arabia
A consulting boom in Saudi Arabia is slowing as Riyadh reins in spending and reassesses the vast sums being paid to outside advisers to help it pursue its infrastructure ambitions.
OTHER
Bubble tea brand makes Hong Kong milk tea ‘fashionable again'
Silk, a Hong Kong bubble tea brand, is aiming to popularise Hong Kong-style milk tea among younger consumers. Co-founders Adrian Ngan and Tim Tsung launched Silk in September 2022, and it has since expanded to six locations, including one in Singapore. Silk's menu features innovative drinks inspired by local dishes, such as the Smooth King and Smooth Sesame. The brand's identity is rooted in Hong Kong culture, with plans for further expansion both locally and internationally, including pop-ups in the US.
 


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