Hong Kong is expected to face a manpower shortage of around 130,000 by 2028, new government figures have revealed – a significant drop from the last official projection.

The opening ceremony of Hong Kong Talent Engage, an office specially for talent attraction and services launched on October 20, 2023. Photo: Kyle Lam/ HKFP.

The latest mid-term manpower projection from the Labour and Welfare Bureau came during a press conference on Thursday, one day after leader John Lee unveiled the city’s first Five-Year Plan and his fifth Policy Address. It represents a reduction from the last numbers released in 2023, which estimated that Hong Kong would be short of 180,000 workers in 2028.

Secretary for Labour and Welfare Chris Sun attributed this reduction to government policies aimed at developing artificial intelligence (AI) and attracting top talent from outside Hong Kong.

Without initiatives like the Top Talent Pass Scheme (TTPS), which relaxes visa requirements for top earners and graduates from elite universities, Hong Kong would be around 300,000 workers short in 2028, Sun said.

Secretary for Labour and Welfare Chris Sun. File photo: Kyle Lam/HKFP.

The labour chief also said on Thursday that TTPS visa holders will see further relaxations to visa extension requirements.

For example, employees of start-ups based in Cyberport, Hong Kong Science Park, or the Hong Kong-Shenzhen Innovation and Technology Park will not need to submit proof of company revenue when applying for visa renewals.

Government to create more jobs

Chief Executive John Lee announced in his Policy Address on Wednesday that the government and the business sector will launch a two-year “30,000 Youth Employment and Internship Programme” to facilitate youth employment and development, especially for those with limited or no work experience.

Sun said on Thursday that, as part of the programme, the Labour and Welfare Bureau will launch a scheme to create around 10,000 new jobs for young people in the coming two years.

Only Hong Kong permanent residents aged under 29 will be eligible for the scheme, Sun said, adding that there will be no educational requirements.

The University of Hong Kong. File photo: GovHK.

Sun also said the Labour and Welfare Bureau will work with six major chambers of commerce, including the Employers’ Federation of Hong Kong and the Chinese General Chamber of Commerce, to encourage major companies to create new jobs.

The target is to create 5,000 additional jobs in 2027 and another 5,000 in 2028.

The government will cover one-third of the salaries for these positions, which must offer employment terms of at least six months.