Asia-Pacific Urged to Act as Demographic Shifts Reshape Future of Work

Participants examined how policy action can strengthen labour market inclusion and resilience as populations age faster in Asia and the Pacific than in any other region worldwide.

Governments, employers and workers across Asia and the Pacific must act decisively to turn rapid demographic change into an opportunity for decent work, productivity and inclusive growth, a regional policy forum has warned.

The International Labour Organization (ILO) convened the two-day forum, “Demographic Shifts and the Future of Work,” in Bangkok on 29–30 January, bringing together representatives from governments, employers’ and workers’ organisations, and research institutions across India, Japan, Malaysia, New Zealand, Palau, the Republic of Korea, Singapore and Thailand. The forum was funded by the European Union.

Participants examined how policy action can strengthen labour market inclusion and resilience as populations age faster in Asia and the Pacific than in any other region worldwide. Discussions focused on extending working lives for older workers, tackling barriers to quality youth employment, and leveraging well-managed migration to address labour and skills shortages.

The forum also highlighted the central role of social protection systems in managing demographic transitions and identified key knowledge gaps to be addressed through a forthcoming series of research and policy briefs.

“Demographic change is already reshaping labour markets, workplaces and social protection systems across Asia and the Pacific,” said Kaori Nakamura-Osaka, ILO Assistant Director-General and Regional Director for Asia and the Pacific. “How we respond will determine whether these shifts drive productivity and inclusion, or deepen inequality and exclusion.”

European Union Ambassador to Thailand Luisa Ragher emphasised the importance of regional collaboration.

“The European Union is proud to support spaces like this forum, where countries can learn from one another and strengthen their capacity to design policies that turn demographic change into opportunities for decent work and sustainable growth,” she said.

Thailand highlighted the urgency of domestic reform as part of the regional discussion.

“Thailand faces the dual challenge of an ageing workforce and the need to create quality jobs for young people,” said Sakdinath Sontisakyothin, Assistant Permanent Secretary of Thailand’s Ministry of Labour. “How we respond will shape productivity, inclusion and social cohesion for decades.”

According to the Asia-Pacific Employment and Social Outlook 2024, population ageing is expected to significantly shrink the region’s labour supply, with labour force participation projected to fall from around 61 per cent in 2023 to 55 per cent by 2050, as the share of people aged 65 and over continues to rise. In many countries, demographic change is outpacing the ability of economic and institutional systems to adapt, intensifying labour shortages and pressure on skills development and social protection.

The forum was held under the Managing a Decent Future of Work Together – Asia and the Pacific project, a four-year initiative (2025–2029) funded by the European Union and implemented by the ILO. The programme promotes mutual learning and policy innovation in response to major megatrends, including demographic change, technological transformation, climate transition and evolving trade patterns.

Policymakers and social partners are urged to accelerate coordinated action to ensure demographic shifts strengthen, rather than undermine, decent work and inclusive growth across the region.