Hong Kong workforce projected to shrink by 20,000 annually through 2028
Government report highlights persistent labor shortages in key sectors despite talent importation efforts
Quick Look
- A Hong Kong government report forecasts a workforce decline of 20,000 people annually until 2028.
- Despite labor importation measures, a 130,000-person shortfall remains, with AI adoption expected to impact entry-level and clerical positions significantly.
AI-generated summary
Why It Matters
The government is implementing talent and labor importation measures to address demographic and economic shifts. AI adoption is identified as a factor in both labor demand reduction and industry transformation.
Hong Kong’s workforce is forecast to shrink by around 20,000 a year until 2028 despite measures to import labour and talent, with shortages remaining most acute among skilled technical workers.
A government report on manpower projections on Tuesday found that although the labour shortfall would narrow to 130,000 by 2028, down by nearly a third from the original estimate of 180,000, the city would continue to face critical manpower challenges across key sectors.
“Due to economic transformation, the adoption of AI [artificial intelligence] and various talent and labour importation measures, the predicted manpower shortfall in 2028 will narrow to 130,000, but most critical industries, especially innovation, aviation, construction, city operations and healthcare, still face a manpower crunch,” said Acting Secretary for Labour and Welfare Ho Kai-ming.
“The adoption of AI is expected to accelerate and companies are likely to take a more cautious approach when hiring for entry-level positions. We believe demand for these roles will ease and some clerical jobs will undergo restructuring. Overall, fresh graduates and middle-aged clerical staff are expected to be most impacted.”
Open Questions
- What specific policies will be used to mitigate the 130,000-person shortfall?
- How will the government support workers displaced by AI-driven restructuring?




