Call For ASEAN To Bolster Workforce Skills, Labour Market Reform For Economic Resilience

By Nur Ashikin Abdul Aziz

SINGAPORE, Oct 30 (Bernama) -- ASEAN must focus on enhancing workforce skills, improving labour market regulations, and fostering inclusive economic growth to effectively navigate critical challenges facing the labour sector in the region, said its secretary-general Dr Kao Kim Hourn.

Kao said that by concentrating on these areas, ASEAN can build a more resilient and equitable labour market that better meets the needs of the diverse and dynamic region.

“The labour sector in our region faces other critical challenges. The prevalence of informal employment remains significant, often leaving workers without adequate protections and benefits.

“Furthermore, the impact of climate change and natural disasters poses recurrent risks to livelihoods, particularly in agriculture-dependent economies, forcing young people to migrate to cities or overseas to find jobs,” he said at the opening of the 28th ASEAN Labour Ministers’ Meeting (28th ALMM), here on Wednesday.

The text of his speech was shared on the ASEAN website.

Kao noted that the labour sector, globally and within the ASEAN region, is undergoing significant transformations driven by technological advancements, economic shifts, and demographic changes.

He said that automation and artificial intelligence (AI) are reshaping job landscapes, shifting towards higher-skill roles while posing challenges to traditional employment sectors.

In addition, the rise of remote work and gig economies is altering employment patterns, challenging traditional labour regulations and protections.

“Addressing these challenges requires adaptive policies that support workforce retraining and equitable access to emerging opportunities,” he said.

Kao said the ALMM has been ASEAN’s key platform for tackling regional labour issues for five decades and has addressed critical challenges such as employment relations, worker well-being, and skills development.

Meanwhile, he emphasised that the urgency to enhance labour market conditions and protections has intensified, given their critical role in sustaining economic growth.

“With ASEAN’s economy projected to grow at 4.7 per cent in 2024 and to become the world’s fourth-largest economy by 2030, strengthening our labour frameworks is essential for continued success,” he said.

Kao also highlighted the importance of cross-pillar and cross-sectoral collaboration to address the multifaceted challenges facing the labour sector in the region.

He said ASEAN must adopt a comprehensive approach that ensures effective coordination across various sectors, including education, economic planning, finance and investment, and social welfare and protection.

-- BERNAMA