Over the past few weeks, some of the world’s biggest brands — Microsoft, Nissan, Siemens, and Hong Kong’s Hang Seng Bank — have announced plans to restructure their organizations.
Inevitably, these plans often involve staff layoffs, as one of the core objectives in any organizational change is to shave off “unnecessary fat” so as to provide the resources to invest in new roles in meeting the future needs of the organization. Since US President Donald Trump returned to office, uncertainties have permeated the global trade and economic landscape. According to Fortune magazine, over half of the CEOs from the world’s biggest companies are pessimistic about the economic outlook over the next 12 months.
With the backdrop of an uncertain global trade and economic landscape, employers are looking inward to ensure their organizations are highly adaptable to any external factors that may have a significant impact on their business operations. Hence, budget holders are charged with the responsibility to scrutinize their cost structures more carefully than ever. Although employees are often considered the biggest asset in an organization, they are also listed as one of the largest expenditures on the profit and loss statement. Even the public sector is not immune. In response to a looming budget deficit, the Hong Kong Special Administrative Region government is looking to shave 10,000 personnel from the civil service by 2027. Employees are under the microscope, with their contributions to organizational value, under the backdrop of artificial intelligence and business process automation, being assessed closely.
According to a McKinsey report released in March, organizations are starting to make changes designed to generate value from AI. One key insight is that AI enables businesses to “do more with less”. In terms of job roles, the report predicts the most likely decrease in headcount lies in functions such as service operations, sales and marketing, and supply chain management. The financial sector is one of the industries affected by AI. Based on a survey conducted by Bloomberg Intelligence (BI) with 93 banks, AI-driven productivity is expected to generate an astounding $180 billion in profit gains. However, this increase in efficiency comes at a cost: 200,000 jobs are at risk as automation accelerates. While the BI report does not specify which roles are most at risk, insights can be drawn from the World Economic Forum’s The Future of Jobs Report 2025. Clerical, administrative, and secretarial roles are forecast to get hit the hardest. The report also specifically discussed how technology is seen as central to workforce planning, with 76 percent of Hong Kong companies aiming to augment their workforce using new technologies, while they expect 43 percent of tasks to be completed primarily by technology by 2030.
From a macro job-market perspective, Hong Kong’s workforce has little to fear. The government recently projected a shortfall of 180,000 workers by 2028 across various sectors. Adding to this, the ambitious Skytopia airport city vision is expected to create more new roles in transportation, aviation, and logistics. However, from a microindustry perspective, the narratives may be slightly different. Employees in roles that are highly replaceable by technology must adapt. They need to not only embrace this new technology but also demonstrate their value by helping the organization improve productivity. The words of Nvidia CEO Jensen Huang are particularly relevant: “You are not going to lose your job to AI, but you are going to lose your job to somebody who uses AI.”
While some jobs may become obsolete, new opportunities are constantly emerging. This underscores the importance of lifelong learning in today’s digital age. For those in knowledge-based roles, upskilling is essential. Online learning platforms like LinkedIn Learning, Udemy, and Coursera offer flexible courses in “bite-size” formats, catering to the needs of working professionals seeking emerging skills. For those who prefer a structured classroom experience, every Hong Kong resident is entitled to the Continuing Education Fund (CEF), which provides up to HK$25,000 ($3,195) in subsidies for accredited courses registered under the Qualifications Register. The CEF includes courses covering business, IT, AI, and innovation technology, among others, supporting Hong Kong’s economic priorities. Notably, many CEF courses can be delivered online, offering flexibility to students. Lifelong learning is a critical tool for staying competitive, as opportunities favor those who are ready to seize them.
For those who may not feel that their jobs are knowledge-based, there is still no need to worry. Based on the latest manpower projections, thousands of roles are expected to open in each of the following sectors from now until 2028: construction, city operations, health services, retail, hospitality, social services, transportation, and aviation. Furthermore, Chief Executive John Lee Ka-chiu stressed the need to ramp up the supply of skilled technical workers, including technicians and mechanics, in industries such as aviation and construction in his latest Policy Address. With grave challenges in filling vacancies, employers in these industries are more likely to be willing to hire candidates with the right mindset, even if they have little or no relevant experience. This highlights the importance of being open to change and adapting to new job natures.
In addition to technology adoption, another key to thriving in this evolving job market is to keep demonstrating unique and irreplaceable value to employers. For example, Lee has just concluded his second visit to the Middle East since he took office. Financial Secretary Paul Chan Mo-po has also advocated the prospect of tapping into Islamic finance opportunities. Business leaders who joined the delegation will no doubt be exploring relevant opportunities along with their staff, suppliers and partners. Employees with knowledge of sharia law and a solid understanding of Islamic culture are naturally in demand. However, preparation is critical — opportunities come to those with an open mind.
AI is just one of the driving forces reshaping Hong Kong’s job market and how businesses operate. While this transformation brings uncertainties, it also creates opportunities for those willing to adapt. As the naturalist Charles Darwin aptly said, “It is not the strongest of the species that survive, nor the most intelligent, but the ones most responsive to change.”
The author is a senior lecturer at the Hang Seng University of Hong Kong, and co-chair of the Advocacy and Policy Research Committee at the Hong Kong Institute of Human Resource Management.
The views do not necessarily reflect those of China Daily.
